Built in 2022, 1 Eagle Street is a Class A+ quality development of two 39-story towers in the Greenpoint neighborhood of Brooklyn, New York.
BFLD Trust 2025-EWEST is raising $400 million for a large-loan, single-asset CMBS. The certificates are collateralized by a first lien mortgage on the borrower's fee simple interest in the property.
The loan sponsors are Brookfield Property Partners, L.P. and Brookfield Opportunity Zone Partners REIT LLC (collectively the loan sponsor). The sponsors are controlled by global investment firm Brookfield Corp., which has over $1 trillion of assets under management.
The loan will be serviced and administered by the master servicer KeyBank National Association, the special servicer Torchlight Loan Services, LLC, and the trustee Deutsche Bank National Trust Company.
According to Moody's Ratings, all apartments include a high-level finish, open-concept, flexible floor plans with abundant natural light, floor-to-ceiling windows with high-end woven solar window shades, wide plank oak flooring, quartz countertops, Bosch appliances, spacious walk-in closets and porcelain bathroom fixtures.
The development contains 745 multifamily units, 7,862 square feet of ground floor commercial space and a subgrade-level parking garage with a capacity for 233 vehicles. Many units have views of the East River and Manhattan.
Approximately 69.9% of the units are market rate and 30.1% are designated as affordable housing. A 421a New York State real estate tax abatement is received in return for maintaining affordability requirements.
Common amenities include crash pad, coworking space, fitness center and yoga studio, spin studio, the workshop, game room, children's room, test kitchen, central terrace, and indoor and outdoor pools.
The property's average property quality grade is 1.0 on a Moody's scale of 0 to 5 (best to worst).
The transaction's strengths include asset quality, strong location, submarket (a specific segment of a larger real estate market) performance and experienced sponsorship, Moody's says. Notable concerns are the interest-only loan profile, limited stabilized operating history, and lack of asset diversification.
The loan-first mortgage balance of $400 million represents a Moody's LTV (loan-to-value) ratio of 99.2% based on Moody's value, with an adjusted LTV ratio of 94.1%. The loan will have an initial term of two years with three extension options of one year each and will be interest-only for the fully extended term. The loan will accrue interest at SOFR plus 1.95%.
Moody's has assigned ratings of Aaa to $228 million of class A notes, Aa3 to $46.5 million class B, A3 to $41.9 million class C, Baa3 to class $47.8 million class D, Ba2 to $15.8 million class E, and Ba3 to $20 million class HRR certificates.
Moody's understands that the certificates have not and will not be registered under the Securities Act of 1933. The issuance has been designed to permit resale under SEC rule 144A.
