October 23, 2008
At the eleventh hour, R.A.L. Companies has walked away from its contract to purchase the former Bossert Hotel from the Watchtower Group, a source familiar with the situation tells us. RAL, the development company headed by Robert Levine, had signed an agreement to purchase the 14-story former hotel at 98 Montague Street in Brooklyn Heights for $92 million back in the spring of this year with the intention of leasing it out as student housing; the deal reportedly had been scheduled to close by the end of last month. Our source says that financing had been difficult to come by; it's also possible that with sales at One Brooklyn Bridge Park not as far along as hoped Levine didn't want any more Brooklyn Heights exposure right now. Either way, expect the 224-unit property to start being shown again soon. Tough break for Watchtower: It's hard to imagine the building fetching anywhere near $92 million in this environment.
The Bossert Finds a Buyer [Brownstoner] GMAP
The Bossert on the Block [Brownstoner]
Photo by hetteix