- Time Equities has acquired a 38-unit rent-stabilized building in Ditmas Park, Brooklyn, marking its first NYC multifamily deal since 2014.
- The $13.1M purchase was a distressed asset previously facing foreclosure, originally developed under the now-expired 421a tax abatement program.
- Chairman Francis Greenburger sees renewed opportunity in buildings hit by the pandemic and rent regulation changes, with more acquisitions in the pipeline.
Back In The Game
After a long hiatus from New York City’s multifamily market, Time Equities is buying again, as reported by The Real Deal. Led by chairman and CEO Francis Greenburger, the firm acquired a 38-unit rental building at 323 East 19th Street in Ditmas Park — its first multifamily purchase since 2014.
From Crisis To Opportunity
The building was developed by Lightstone Management under the city’s 421a tax abatement but became distressed during the pandemic. Rent drops and rising interest rates led to foreclosure proceedings on a $14.2M mortgage. Time Equities scooped up the property for $13.1M in a deal brokered by GFI Realty’s Sylvia Spielman.
Get Smarter about what matters in CRE
Stay ahead of trends in commercial real estate with CRE Daily – the free newsletter delivering everything you need to start your day in just 5-minutes
Betting On The Future
Despite its temporary rent-stabilized status through 2033, Time Equities sees long-term upside. “We believe we can right-size the ship and eventually benefit from rising market-rate rents,” said Seth Coston, director of residential asset management and operations at Time Equities.
A Broader Strategy
Time Equities has been increasingly active in sourcing deals between $10M and $30M, specifically targeting buildings impacted by the pandemic and rent laws. Time Equities is eyeing condo conversions and mixed-use projects, leveraging the new 485x tax break for office-to-residential deals.
Why It Matters
The move shows renewed investor interest in distressed, rent-stabilized assets, with Greenburger reentering despite past criticism of NYC rent laws. With pricing adjusting and interest rates cooling some valuations, deep-pocketed firms are reentering the multifamily space—cautiously, but opportunistically.
What’s Next
Greenburger is personally vetting new properties in Brooklyn, Manhattan, and Queens. As interest in underperforming rent-stabilized buildings grows, more legacy developers may follow suit, especially if tax incentives and pricing continue to align.
