A
lloy Development's 505 State Street, the first all-electric tower in New York City, has secured a $290 million loan from New York Life Real Estate Investors. This permanent financing replaces a previous construction loan and marks Alloy's exit as the sole equity stakeholder after Ares Management's departure. The deal is a "significant milestone" according to CEO Jared Della Valle.

    The 44-story Brooklyn rental building, completed in July, boasts 441 units with 85% leased. Over 100,000 applications were received for its 45 affordable housing-lottery units, which cater to households earning between 40-100% of the area median income. Rents range from $763 to $2,155 for these units.

    The tower is part of a larger mixed-use development on the triangular block between State Street, Flatbush Avenue, and Third Avenue. The project includes two public schools built to passive-house standards, retail space, and office space. It features eco-friendly amenities such as induction cooktops, heat-pump dryers, and community solar providers.

    The development's rezoning in 2018 was a contentious issue, with local politicians expressing concerns about traffic congestion, classroom overcrowding, and shadow casting. However, the project ultimately received approval for a shorter building than initially proposed. The inclusion of two schools allowed Alloy to set aside only 10% of the first tower's apartments as affordable, but the second phase will increase this percentage to 27%, bringing the total income-restricted unit count to 200.