Bed-Stuy rezoning lot: $11M deed, $38.1M loan, 391 homes pending
Norworth Holdings borrowed $38.1M on a Walworth Street lot it bought for $11M in June, inside a pending 391-unit Park Avenue rezoning in Bedford-Stuyvesant.
Norworth Holdings LLC recorded a $38.1 million mortgage with Valley National Bank on September 9, three months after it bought a vacant Walworth Street lot in Bedford-Stuyvesant for $11 million. The lot sits inside a Park Avenue rezoning that City Planning lists as still in public review, and the city’s own tracker moved on October 6.
Why it matters
The proposal covers six lots along Park Avenue and Spencer and Walworth Streets, all zoned M1-2 today. The applicant, Park Avenue Rezoning Partners LLC, seeks a map change to R7D/M1-4 and R6-1/M1-4 (MX), plus a mandatory inclusionary housing area, to allow about 391 homes and 244,088 sq ft of educational space, per the ZAP project page. This is a proposal, not an approval.
ZAP shows the City Council review step ending October 6, and a City Planning Commission review of a “modification scope” opening that day. The tracker does not say what is being modified, and we have not seen a filing that does.
The numbers
The Walworth Street lot, block 1717 lot 2, holds 13,613 sq ft of land and no building, per city property records. The June 2026 deed from LFFT TIC LLC to Norworth lists $11,000,000, or about $808 per sq ft of land. The September mortgage is 3.5 times that price. We did not open the instrument, so we cannot say whether it also covers other parcels or construction financing.
Other lots in the footprint have older records. 517 Park Avenue (12,270 sq ft, two stories) belongs to Spencer Park Developers LLC, which recorded a $7 million East West Bank assignment of leases in December 2025 and a mortgage satisfaction in April. 48 Spencer Street (12,500 sq ft) has a $5.2 million lender agreement from 2019. We did not establish whether any of these owners is the applicant.
What’s next
Watch for the City Planning Commission’s modification review and any change to the unit count or the educational floor area. Final Council action would settle whether the R7D and R6-1 districts take effect.
The same pipeline produced the Coney Island 414-unit rezoning we covered today. More New York coverage is at New York.
On the record
What we checked ourselves, and where you can check it too.
- Public recordNorworth Holdings LLC bought the Walworth Street lot (Brooklyn block 1717, lot 2) for $11,000,000 in a deed recorded June 18, 2026, then recorded a $38,100,000 mortgage with Valley National Bank on September 9, 2026.View the record on a836-acris.nyc.gov
- Public recordZAP shows City Council review of project 2022K0430 closing October 6, 2026, with a City Planning Commission review of a modification scope opened the same day.View the record on zap.planning.nyc.gov
Sources
- NYC Department of City Planning (ZAP)Park Avenue Brooklyn Rezoning, project 2022K0430
- NYC Department of Finance (ACRIS)Deed, LFFT TIC LLC to Norworth Holdings LLC, $11,000,000
- NYC Department of Finance (ACRIS)Mortgage, Norworth Holdings LLC to Valley National Bank, $38,100,000