Developer faces backlash as it boots supermarket

first_imgSupermarket closings in the city inevitably trigger an outpouring of criticism and lament from community members and local elected officials.Akel Williams, a Crown Heights resident, called the Associated’s pending closure a “tragedy” that would make it “much more difficult for our seniors and many who for years have relied on Associated Supermarket to be an affordable food source.”Alejandra Caraballo, a member of Brooklyn Community Board 9, which represents the area, wrote on Twitter that the store has been a “vital link to access food for so many in Crown Heights.”“We can’t allow more grocery stores in the neighborhood to close so developers can build condos,” Caraballo said. The site’s zoning allows for a mid-size apartment building.Associated took over the location from A&P, which opened the store in 1991 and filed for bankruptcy in 2015.Midwood has yet to file for any demolition or construction permits, according to Bklyner. [Bklyner] — Akiko MatsudaContact Akiko Matsuda Full Name* Email Address* TagsbrooklynCommercial Real EstateRetail Real Estate Midwood Investment and Development CEO Josh Usdan and Associated Supermarket at 975 Nostrand Avenue (Google Maps)A New York-based developer is facing backlash after telling a supermarket tenant to vacate its Crown Heights store.Midwood Investment and Development, has notified the Associated Supermarket at 975 Nostrand Avenue that its lease would not be extended beyond the spring, the grocery’s owner, Pablo Espinal, told Bklyner.Midwood said the developer has been in talks with Espinal for more than two years about the company’s intention to change the use of the property as well as its willingness to work with the supermarket, which has been on a month-to-month deal since last summer. The store had renewed its lease after staving off another development effort in 2014.Read moreCrown Heights tenants sue infamous landlord for rent overchargesTenant organizer challenging incumbent doesn’t think “anyone should be paying rent”Here are new details on Bruce Eichner’s megaproject in Crown Heightscenter_img Message* Share via Shortlink Share on FacebookShare on TwitterShare on LinkedinShare via Email Share via Shortlinklast_img read more

Starwood Property Trust’s Q4 earnings fall 38%

first_img Starwood Property Trust Email Address* Barry Sternlicht (Getty, Starwood, iStock)Barry Sternlicht was in such a good mood during Starwood’s earnings call on Thursday that he joked he was taking all of the company’s cash and buying bitcoin.Sternlicht, chairman and CEO of Starwood Property Trust, said that while real estate is still just recovering from the effects of the pandemic, nearly all of the real estate investment trust’s business lines are in a “prime position.”He called the company’s collateralized loan obligations (CLO) and energy book business a “gamechanger.” On other segments of the real estate market, he said: industrial is “fine;” multifamily is “weak, but will be OK;” and office is a “question mark” but he believes people will return to the office on some scale. Retail is still “really difficult” to underwrite. And the single-family rental market is “crushing it.”Greenwich and Miami Beach-based Starwood reported $107 million in fourth quarter 2020 earnings, or 37 cents per share, down 38 percent from the same period in 2019. The REIT reported $290.6 million in revenue for the fourth quarter, up 1.5 percent from $286.4 million in the same period of the previous year. The company’s stock fell about half a percent to $22.74 per share as of 12:50 p.m. Thursday, following the earnings call.Commercial rent collections were high at 98 percent in 2020, executives said. Jeff DiModica, president and managing director of Starwood, and Sternlicht said the company plans to grow the residential lending business.Sternlicht also said that while New York will continue to struggle, it is “not going away.”Read moreStarwood’s Q3 earnings up 8% Starwood’s Barry Sternlicht predicts demand for hotels, retail will not return to pre-Covid levels “for awhile”Starwood eyes $11B raise for real estate, distressed bets Large 2,000-room hotels reliant on business travel will continue to struggle, especially mid-week, he said. Sternlicht predicted that big-box hotels won’t return to normal occupancy levels until 2024 or 2025.“Other parts of the hotel market will recover much faster,” he said, citing Starwood’s Miami Beach property that’s reporting 94 percent occupancy at $1,600 a night. Starwood co-developed and operates 1 Hotel South Beach.During the pandemic, the company deployed $3 billion, and now has more than $700 million in cash, said Rina Paniry, the company’s CFO. Starwood’s commercial loan portfolio totaled a record $10.2 billion at the end of 2020, including $335 million in new loans and $250 million in loan repayments. For loans secured by hospitality, some borrowers are still receiving short-term modifications, including partial interest deferrals.About $5 billion in loans were transferred to special servicing during Covid, and Starwood ended the year with an active servicing portfolio of $8.8 billion, Paniry said.Contact Katherine Kallergis Message* Full Name* Share via Shortlink Tags Share on FacebookShare on TwitterShare on LinkedinShare via Email Share via Shortlinklast_img read more