Financing · Brownsville
240 Lott Avenue lands $17.45M
Merchants Bank of Indiana is the lender on the recapitalization of a 150-unit, six-story affordable housing complex in Brownsville built in 1969, where the outgoing tax credit investors are Alliant funds.
- Amount
- $17.45M
- Type
- Financing
- Date
- Jul. 2026
240 Lott Avenue, Brooklyn, NY
Recorded in NYC property records.
- Borrower
- Plaza Residences, L.P.
- Borrower
- Plaza Housing Development Fund Company, Inc.
- Lender
- Merchants Bank of Indiana
- A recapitalization of an existing 1969-built, 150-unit affordable complex -- not new housing supply.
- NYC's own public housing records show the building carrying open HPD violations, including hazardous conditions and a recurring elevator-maintenance history, around the time of this financing.
- Structured as an LIHTC investor restructuring (Alliant Tax Credit Fund entities) alongside the bank mortgage, with NYC HPD directly party to a subordination agreement.
Overview
In July 2026, Plaza Residences, L.P. closed a $17.45 million mortgage with Merchants Bank of Indiana against 240 Lott Avenue (also addressed as 201 Hegeman Avenue), a 150-unit, six-story affordable housing complex in Brownsville built in 1969. Plaza Housing Development Fund Company, Inc. -- the nonprofit HDFC entity tied to the building's HPD-regulated ownership structure -- is also named on the mortgage, and a separate ACRIS filing shows NYC's Department of Housing Preservation and Development directly party to a subordination agreement on the same financing.
A companion transfer-tax filing names Alliant Tax Credit Fund 44, Ltd., Alliant Tax Credit Fund 50, Ltd., Alliant ALP 44, LLC, and Alliant ALP 50, LLC as the outgoing Low-Income Housing Tax Credit investor entities, consistent with an LIHTC-financed preservation recapitalization of an existing building rather than new construction.
This is a recapitalization of a long-standing affordable complex, not new housing supply -- the building has stood since 1969 and already houses 150 units. NYC's own public housing records show it carrying open HPD violations around the time of this financing, including hazardous conditions in at least one unit, a recurring elevator-maintenance history, and several 2026 eviction filings. No official source reviewed here states that this financing was undertaken specifically to address those conditions, but the scale and structure of the deal -- a bank mortgage plus an LIHTC investor restructuring plus direct HPD involvement -- make it a concrete, trackable commitment worth checking back against.
Parties Involved 4 recorded
Basis
Named as party1 (mortgagor) on the ACRIS MTGE document; confirmed as the registered owner of 240 Lott Avenue via NYC HPD building registration records.
Basis
Named on the ACRIS MTGE document alongside Plaza Residences, L.P., and again on a related SUBM (subordination) document alongside NYC HPD -- the nonprofit HDFC entity typical of NYC's regulated affordable-housing ownership structures.
Basis
Named as party2 (mortgagee) on the ACRIS MTGE document.
Basis
Named directly as a party on a companion SUBM (subordination) document recorded the same day as the mortgage (ACRIS doc 2026070800655003), alongside The City of New York.
Counts and combined values are computed from Hush Street’s own published Deal records only. “Combined” is the total value of the transactions a party appears on, not capital deployed by that party, and two parties on the same transaction each reflect its full amount. Not a career or market total.
Marks shown are Hush Street editorial monograms, generated from each party’s recorded name — not official company logos.
Property & Project
Sources & Recordsverification, citations & data notes
- ACRIS Document Detail -- MTGE — NYC ACRIS
- ACRIS Document Detail -- SUBM — NYC ACRIS
- ACRIS Document Detail -- RPTT&RET — NYC ACRIS
- Housing Maintenance Code Violations — NYC Open Data (HPD)