In Borough Park, where growing community schools and foundations compete fiercely for large-floorplate masonry buildings, a 111,756-square-foot pre-war warehouse on 38th Street is an irreplaceable campus prize. The Bnos Chaya Efraim Foundation paid $28 million ($251 per square foot) on September 4, 2026 to acquire the four-story building at 1365 38th Street from 1365 Realty Corp., financing the purchase with a $21 million senior mortgage from The Bank of Princeton. When the deed closed on September 4, 2026, The Bnos Chaya Efraim Foundation had officially taken down 1365 38th Street from 1365 Realty Corp. for $28 million, with Brooklyn Institutional Advisory brokering the trade.
At $251 a square foot across 111,756 square feet, the trade establishes a clean clearing mark for Borough Park 4-story institutional & industrial building assets.
The Bank of Princeton Provides 75 Percent Leverage for a Borough Park Campus
The real tell in any Brooklyn closing sits on the debt side of the ledger. To fund the purchase, The Bnos Chaya Efraim Foundation locked in a $21 million senior acquisition & campus expansion loan from The Bank of Princeton at 75 percent loan-to-value.
That loan commitment meant the buyers only needed to write a $7 million equity check to control a 4-story, 1915-vintage Borough Park asset. Credit committees aren't stretching to 75 percent leverage anymore, but when a sponsor brings $7 million of real cash equity and a basis of $251 a square foot, lenders like The Bank of Princeton are wide open for business.
From Our Desk
When we look at 1365 38th Street on our placement desk at Light Tower Group, the lesson for New York sponsors comes down to the marriage of entry basis and capital structure. The Bnos Chaya Efraim Foundation didn't try to fight the tape—they bought Borough Park footage at $251 a square foot and structured the stack to match the asset's timeline. Nonprofit educational and community buyers remain the ultimate price-makers for heavy-floorplate M1-2 buildings in central Brooklyn, and regional banks like The Bank of Princeton will gladly stretch to 75 percent LTV when backed by entrenched community fundraising.