A $160 million offer has reportedly been made by developer Two Trees Management for the much-sought-after Domino Sugar Factory site, which comprises 12 acres of real estate along the Williamsburg side of the East River waterfront. Completion of the deal hinges on the two current owners coming to an agreement on whether, how much and to whom to sell the property.
The Domino site – once the world’s largest sugar refinery – is jointly owned by Community Preservation Company (CPC) and Katan Group; the latter said in a statement that they would block the Two Trees deal, which they accused the CPC of not only negotiating behind their back but also “undervaluing the asset” and using funds from a $125 million loan.
The two parties paid $55 million for the property back in 2005; Katan estimates its current value – considering the booming interest in Williamsburg real estate – at approximately $200 million. They are suing CPC for project mismanagement.
If approved, the Two Trees plan would include 2,200 housing units, 600 units of which would give priority to local residents, and a four-acre waterfront park. That plan had been developed following Katan and CPC’s purchase seven years ago.
Two Trees did not respond to requests for comment as of press time.