Carlyle Group and Z+G Property Group Acquire Gowanus Apartment Building for $105M
Private equity firm The Carlyle Group, in partnership with Z+G Property Group, has acquired a newly constructed multifamily property at 130 Second Street in Brooklyn’s Gowanus neighborhood for $105 million.
The 13-story residential building contains 132 apartments, including 99 market-rate units and 33 affordable housing units, reflecting the inclusionary housing requirements tied to the neighborhood’s recent rezoning.
The seller was a joint venture between Joyland Management, Meral Property Group, and The Loketch Group, which developed the property as part of the broader transformation of the Gowanus waterfront district.
JLL Capital Markets represented the seller in the transaction and also arranged $80 million in acquisition financing through Invesco Real Estate.
Newly Constructed Residential Asset
The building was recently completed and is part of the wave of new residential construction emerging in Gowanus following the neighborhood’s major rezoning initiative.
Projects developed under the new zoning framework typically include a mix of market-rate and affordable housing units while allowing significantly higher residential density than previously permitted.
The 130 Second Street building provides modern apartment amenities and was designed to attract renters seeking proximity to nearby neighborhoods such as Carroll Gardens, Cobble Hill, and Park Slope.
Continued Institutional Investment in Brooklyn Multifamily
The acquisition highlights ongoing institutional demand for multifamily assets across Brooklyn, particularly in neighborhoods undergoing large-scale redevelopment.
Gowanus has become one of the most active residential development markets in New York City as former industrial sites are converted into mixed-use residential communities.
Investors have increasingly targeted newly constructed rental properties in the area as the neighborhood transitions into a higher-density residential district.
Final Thoughts
The purchase of 130 Second Street underscores the continued appetite from institutional investors for newly built multifamily assets in Brooklyn.
With thousands of new housing units expected to be delivered in Gowanus over the coming years, transactions like this reflect confidence in the neighborhood’s long-term residential growth and its emergence as a major development corridor in New York City.
Real Observer Deals
Real Observer tracks commercial real estate transactions, development activity, and market intelligence across the Tri-State region. Subscribe free →