Brooklyn, NY – The Domain Companies has announced the purchase of 420 Carroll Street in Brooklyn, NY, a 65,279sf property purchased for $47,500,000 from an affiliate of Property Markets Group (PMG).
Located on the corner of Carroll Street and Nevins Street, the property is currently zoned M2-1, allowing for a total of 130,000sf of buildable space with 350ft of Carroll Street frontage and 250ft of Gowanus Canal waterfront. Along with Domain’s purchase of 545 Sackett Street in December 2017, the sites represent two of the few sizable redevelopment parcels in Gowanus to sell over the past few years.
420 Carroll Street is a part of the area covered by the “Bridging Gowanus” community planning and land use process, an initiative led by local Councilmember Brad Lander to create a “sustainable, livable, inclusive future” for the Gowanus area, which was followed by a one-year PLACES study conducted by the Department of City Planning.
“Gowanus is a dynamic neighborhood, and we are excited to contribute to its growth,” said Matt Schwartz, The Domain Companies principal. “We’re looking forward to creating another unique, mixed-use project that will honor the deep-rooted sense of community in the area.”
Domain Companies has worked in several rezoned neighborhoods throughout New York and has developed a successful track record in creating affordable housing and remediating brownfield sites. Most recently, Domain developed Eleven33 in Greenpoint, Brooklyn, which announced $68M in refinancing in January. The LEED Gold-certified, mixed-income development participated in the New York State Brownfield Cleanup Program and received the 2015 Big Apple Brownfield Award for Green Building.
Financing for the acquisitions was arranged by Christopher Peck and Peter Rotchford at HFF.
As the owners of a significant number of properties along the Gowanus Canal waterfront, PMG has been actively engaged in both the Bridging Gowanus and the PLACES community planning process and is committed to a mix of uses on their sites that incorporates priority goals from this process, including residential, commercial, and maker space; community facilities; and design that draws the community to the canal.
“An active waterfront is key to our vision of a revitalized Gowanus Canal area, and we look forward to providing a robust mix of uses that will reflect community goals by improving public access to the canal and creating more affordable housing and vibrant commercial and maker uses,” said Kevin Maloney, PMG founder and principal.
PMG’s plans for mixed-use projects include market-rate and affordable components, community facilities, commercial and maker spaces, and significant, publicly accessible green space.
“PMG looks forward to coordinating efforts with Domain and to providing vibrant open space and design that that reflects Gowanus’s character and uses that will add significant benefits to the area and address neighborhood priorities” said Richard Lam, PMG principal.
The Gowanus area has been increasingly drawing a considerable amount of retail and entertainment attention. Whole Foods’ 52,000sf supermarket opened in the spring of 2013 and is one of the most active Whole Foods in the country. Much of Gowanus is currently zoned for commercial use only, which has helped spur creative repositioning of former warehouse and manufacturing buildings. The best-known examples are Dinosaur BBQ, Royal Palms Shuffle Board Club, Ample Hills Creamery, Brooklyn Boulders, and The Bell House. Just a few blocks from the R train stop at Union Street, and a 15-minute walk to the F and G trains at Carroll Street, the location is easily accessible for commuters.
For several years, parts of the Gowanus area have been on the cusp of residential rezoning. In 2008/09, the Department of City Planning proposed a framework for mixed-use zoning. Recently, Councilman Lander has jumpstarted the rezoning process with Bridging Gowanus, followed by the year-long PLACES process. Among many proposed changes is the “mandatory mixed-use zone” in the current Industrial Ombudsman Area, which Domain Companies is excited to move forward with.
About The Domain Companies
Founded in 2004, The Domain Companies is based in New Orleans and New York and specializes in the development and management of unique, mixed-use properties in core urban locations. Domain creates high-quality properties that stand apart through innovative design and exceptional management, enhancing the communities in which they build. Domain’s projects include the new construction and preservation of affordable, mixed-income, and luxury housing; the acquisition and repositioning of distressed housing; historic restoration; brownfield redevelopment; seniors and special needs housing; and hospitality, retail, and commercial development. www.thedomaincos.com
About Property Markets Group
Property Markets Group was founded by Kevin Maloney in 1991 and is a premier real estate investment, development, and general construction firm. The company is headquartered in New York with offices in Miami and Chicago. PMG is one of the few remaining full-service, large-scale development companies with staff capable of maneuvering all facets of the development process. With direct hands-on experience in the acquisition, renovation, financing, operation, and marketing of commercial and residential real estate, PMG has completed 85 residential buildings in New York, Florida, and Chicago, and over 150 real estate projects throughout the United States. www.propertymg.com