Initial Promise
In 2014, Michael Stern partnered with Joseph Chetrit to develop 9 DeKalb Avenue, later named The Brooklyn Tower, with the goal of creating Brooklyn’s first supertall skyscraper. Designed by SHoP Architects, the 93-story neo-Art Deco tower aimed to integrate the historic Dime Savings Bank, promising to redefine Downtown Brooklyn’s skyline. Stern envisioned the project as a milestone, offering residents unprecedented views and positioning Brooklyn as a luxury real estate destination. By 2019, Stern secured $664 million in financing for the over $1 billion project, anticipating strong demand for its 143 condominiums and rental units, with penthouses projected to fetch $7–8 million each.
Challenges and Setbacks
The Brooklyn Tower faced significant obstacles that derailed its ambitious timeline. Construction delays extended far beyond initial projections, and by 2018, Stern bought out Chetrit’s stake, assuming full control and seeking additional private investment. Despite these efforts, the project’s financial foundation weakened. By 2023, with completion still elusive, only 22 of the 143 condominiums had sold, and the rental units remained unfinished and unoccupied, missing the planned late-2023 move-in date.
The prolonged delays and sluggish sales strained the project’s finances, leading to a collapse in its economic viability. Investors, expecting returns from Brooklyn’s rising market, faced significant losses as many exited the project empty-handed. Condominium buyers who had purchased units years earlier were left in uncertainty, with the building’s ownership transitioning and its future unclear.
The Brooklyn Tower, initially heralded as a symbol of Brooklyn’s ascendancy, has instead become a cautionary tale of overambition and financial mismanagement. It underscores the risks of debt-heavy development strategies and highlights the challenges of delivering on grand real estate visions in a volatile market.
We hope that interested parties will send us any available information and documents exposing Stern’s fraudulent activities.