The Chetrit Group has secured an $80 million refinancing for its Maspeth warehouse at 57-18 Flushing Avenue, locking in a three-year loan that looks very much like a short-term cash lifeline. The fresh debt lands while creditors and prosecutors continue to press the family across a swath of New York properties.
Deal terms
As reported by The Real Deal, the Chetrit Group lined up an $80 million refinancing on the warehouse at 57-18 Flushing Avenue. Sources told the outlet that Iron Hound arranged the loan, while Maxim Capital Group and SL Green supplied the financing in a three-year package.
Property and history
The Maspeth complex covers five buildings and roughly 588,000 square feet, according to reporting by Commercial Observer and property listings. The site has been under Chetrit control since the mid-1990s and sits in a heavily trafficked industrial corridor that feeds both Long Island and Brooklyn markets.
Debt history
Property loan records show the warehouse was most recently mortgaged to UBS in 2021, following a $50 million loan from Maxim in 2020. PincusCo's property notes and deal records document the 2021 UBS mortgage along with the earlier Maxim financing on the Maspeth site, which has been a recurring item on the asset's balance sheet.
Short-term refi is likely a bridge
A three-year maturity is short for a stabilized industrial mortgage and is often structured as bridge financing while owners seek longer-term capital or negotiate with creditors. Industry loan guides note that bridge and interim debt typically runs one to three years, which suggests this new package is designed to buy time as the Chetrits manage other obligations, according to commercial-lending references on standard bridge terms.
Legal troubles complicate financing
The refinancing arrives in the middle of mounting collection efforts and legal actions. Meyer Chetrit has been ordered to pay a $132 million judgment tied to lender disputes, and some Chetrit holding-company interests were garnished and sold at marshal auctions earlier this year. The Real Deal reported on the garnishments, and Hoodline has noted the family's troubles extend to major assets such as 26 Broadway, whose loan was moved into special servicing last month, developments that complicate how loan proceeds and payouts are routed.
What happens next hinges on whether the Chetrits can refinance out of the short-term package into longer-term debt or reach settlements with creditors. If that does not materialize, special servicers or lenders could press for workouts or sales. Industry primers explain that special servicers have broad authority to negotiate modifications, extend maturities, or pursue discounted payoffs or asset sales in order to maximize recovery.
