A Brooklyn hotel project that filed for bankruptcy protection in December 2020 is now up for bankruptcy sale, Commercial Observer has learned.
Call for tenders for the project under construction at 159 Broadway starts at $28 million. Plans filed for the site describe a 26-storey tower comprising apartments and a 235-room hotel.
Rosewood Real Estate Group was exclusively engaged to market the bankruptcy sale. A source said Rosewood is considering partnering with the former owners in a joint venture to recapitalize the project. Cornell Realty appears to be the owner in the past reports
“This is an unparalleled opportunity to develop what is potentially North Brooklyn’s best development site,” said Greg Corbin, the president of bankruptcy and restructuring at Rosewood Realty Group. “With its unbeatable location, stunning views of Brooklyn and Manhattan, rooftop pool, fitness center, restaurant and bars, the property will provide significant cash flow and be a huge hit.”
The previous owners, two LLCs registered as 159 Member of Broadway and WB Bridge Hotel, listed assets and liabilities of $10 million and $50 million, respectively, in a Chapter 11 petition filed in Manhattan. The Chapter 11 court filing covers a 26-story tower planned for 159 Broadway which includes apartments and a 235-room hotel, according to Bloomberg.
Located in a Qualified Opportunity Zone, the 130,154 square foot site includes a 25-year industrial and commercial relief program. The site is currently in the early stages of excavation and construction can resume immediately.
Cornell Realty officials did not immediately respond to a request for comment.
Emily Fu can be reached at [email protected].