Initial Promise:

Michael Stern’s ambitions extended far beyond Manhattan. In 2014, he turned his attention to Downtown Brooklyn, partnering with Joseph Chetrit to develop 9 DeKalb Avenue—designed to be Brooklyn’s tallest building and the borough’s first supertall skyscraper.

“This is an incredible milestone for Downtown Brooklyn,” Stern declared at the time, promising that future residents would live at the highest elevation ever available in the borough.

Designed by SHoP Architects, the project envisioned a 93-story neo-Art Deco skyscraper rising above the historic Dime Savings Bank, blending New York’s architectural heritage with its future.

Later named The Brooklyn Tower, the development was set to include:

• Approximately 150 luxury condominiums
• 425 rental apartments
• High-end amenities, including a panoramic terrace and a Life Time luxury fitness club

By 2019, inspired by Brooklyn’s rising popularity, Stern secured $664 million in financing for the $1+ billion project. It was anticipated that Brooklyn’s new status as a luxury real estate hub would attract global investors, with penthouses expected to sell for $7–8 million per unit.

Failures and Scandals:

The reality proved to be far harsher than Stern’s projections. Construction dragged on for years beyond initial forecasts.

In 2018, Stern bought out Chetrit’s stake, taking full control of the project and subsequently sought private investors.

By 2023, when the skyscraper should have been nearing completion, it became clear that the projected timelines in the business plan had no basis in reality. The financial structure of the project began to collapse.

• Failing to complete construction on time, sell condominiums, and repay outstanding loans, Stern secretly defaulted on his debt in March 2024, resulting in the project falling under the control of Silverstein Capital Partners—leaving all investors with total losses.

Since The Brooklyn Tower remained unfinished, the planned move-in timeline for late 2023 was never realized. By mid-2023, only 22 out of 143 condominiums had been sold, while the rental portion remained unoccupied and incomplete.

What was once touted as an architectural landmark had turned into a financial burden.

After nearly a decade of development, investors exited the project with no returns, likely suffering significant financial losses.

The Brooklyn Tower became yet another high-profile failure for investors, setting the stage for further legal action.

It serves as a stark reminder of how an aggressive, debt-driven strategy can lead to financial catastrophe.

Now, condominium buyers who purchased units long before completion find themselves in limbo—their homes now belong to new owners, and the future of the building remains uncertain.

Once promoted as the defining symbol of Brooklyn’s transformation, 9 DeKalb Avenue has instead become another troubled project under Michael Stern’s leadership—where initial optimism gave way to financial collapse for investors and an unfinished development for New York City.

We hope that interested parties will send us any available information and documents exposing Stern’s fraudulent activities.