Updated
Updated · Crain's New York Business · Jul 3
Canadian Pension Fund, EB-5 Investors Take Heavy Losses at 1 Willoughby Square
Updated
Updated · Crain's New York Business · Jul 3

Canadian Pension Fund, EB-5 Investors Take Heavy Losses at 1 Willoughby Square

1 articles · Updated · Crain's New York Business · Jul 3

Summary

  • 1 Willoughby Square inflicted steep losses on a major Canadian pension fund and on EB-5 investors tied to the Brooklyn office project.
  • The losses hit two distinct capital sources in the deal, underscoring how badly the property's value or recovery prospects deteriorated.
  • EB-5 investors — who typically fund projects in exchange for U.S. residency eligibility — were among those caught in the write-downs.
  • The outcome highlights the risks facing office-backed real estate investments as troubled projects spread pain across both institutional and immigration-linked investors.

Insights

With a $120M loss at a landmark tower, are new EB-5 investor protections enough to prevent future catastrophic failures?
When an EB-5 project collapses, how can investors recover their money without losing their chance at a green card?
Why must some immigrant investors wait seven years for a green card while others wait only two for the same program?