Midtown Equities has been working on purchasing an 11-acre development site in Williamsburg since May, and may be using the sale of a parcel of land at 205 Montague Street to make it happen. Currently, the Brooklyn Heights site houses a five-story retail and office building, but it has the potential for a 700-foot-tall, 300,000-square-foot residential tower. If the property sells for its $200 million asking price, Midtown Equities could then pour that money into a sale of the Williamsburg waterfront site. Proceeds from the sale may also be used to purchase retail space in high-street locations around the city and the nation, according to Cain's. In order to market the site, Midtown Equities hired a sales team from Cushman & Wakefield led by Chairman of Investment Sales Bob Knakal.
Before Midtown Equities' interest in the Williamsburg site, there were plans to develop it into Bushwick Inlet Park, but as property values soared over the years, the city stalled on their plans. Even Mayor de Blasio, who supported the park when he was in the City Council, seems to have changed his tune earlier this year, to the chagrin of local activists who still want to see the park become a reality. Midtown Equities's plans for the site site include more than 600,000 square feet of as-of-right manufacturing space, but there are rumors that the developer will also convert a portion of the site into parkland.
Midtown Equities purchased the site at 205 Montague Street for $33 million in 2010. In 2012, the developer paid $3.2 million to remove previous development restrictions and to purchase neighboring air rights to increase the amount of square footage capable of being built on the site. And if the Fortis plans for tall towers in Cobble Hill are any indication, it's unlikely that the neighborhood will be pleased with a not-quite-supertall tower coming to that corner.
· Midtown Equities offers 205 Montague for sale [Cain's New York Business]