JLL Capital Markets sells Midtown East development site, secures financing for new multi-housing development

NEW YORK, Nov. 18, 2025 – JLL Capital Markets announced today that it has arranged both the $39 million acquisition of two corner development sites at 1059-1061 Second Ave. and the $38 million in land and pre-development financing for a planned luxury residential development at the southwest corner of East 56th St. and Second Ave. in Midtown East, Manhattan.

JLL represented the developer, a joint venture between EJS Group and Krown Point Capital, in the acquisition of the two contiguous lots and associated air rights. The company also secured pre-development financing through Maxim Capital Group.

The JV acquired the two parcels at 1059-1061 Second Ave. along with two air rights packages: one from 1055-1057 Second Ave. and another from 231 E. 55th St. JLL advised the partnership throughout the assemblage, acquiring the four buildings at the corner of 56th Street and Second Avenue and immediately selling the underlying buildings at 1055-1057 Second Ave. once the air rights were separated and transferred to the corner site.

The JLL Capital Markets Investment Sales and Advisory team was led by Managing Director Clint Olsen. The Debt Advisory team included Managing Director Jillian Mariutti and Senior Director Stephen Van Leer.

Ted Segal, Founder and President of EJS Group stated, “EJS is excited to have closed on this unique assemblage with Krown Point Capital and further expand our development pipeline across New York. We appreciate the efforts of Maxim and JLL in getting this transaction closed.”

Reggie Kronstadt, Principal of Krown Point Capital stated, “After first looking at this site almost 10 years ago, we look forward to developing this exciting project with EJS and delivering much needed housing to New York City.”

Jason Bordenick, Partner at Maxim Capital Group stated, “We’re thrilled to collaborate with EJS and Krown Point on this strategic acquisition. Their vision and creativity in assembling such a distinctive site in one of the most sought-after residential locations of Manhattan is truly exceptional.”

According to JLL Research, multifamily investment in New York City totaled $2.8 billion in the third quarter, bringing the year-to-date total to $5.6 billion. This is a 168% increase over the previous quarter and a 33% year-to-date increase over this time last year. In Midtown East, proximity to Grand Central and a constrained development pipeline continue to draw capital toward well-located residential opportunities positioned to benefit from sustained rental demand and long-term neighborhood stability.

JLL’s Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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