Key Highlights

• 250 Livingston Owner LLC, a Clipper Realty subsidiary, secured a $125.0 million loan on a Brooklyn asset.

• The loan note carries a 3.63% rate, matures on June 6, 2029 and requires interest‑only payments.

• Clipper Realty stock rose 3.6%, testing resistance near $3.01 after the announcement.

Clipper Realty Inc. (NYSE: CLPR) disclosed a consent and cooperation agreement that will enable the marketing of its $125.0 million loan secured by a Brooklyn property. The development follows a 3.6% increase in the firm’s share price, with the stock approaching the $3.01 resistance level.

Loan Structure Overview

The loan, formalized on May 31, 2019, was originated by Citi Real Estate Funding Inc. And is secured by 250 Livingston Street in Brooklyn. The promissory note carries an interest rate of 3.63% and will mature on June 6, 2029. Throughout its term, the borrower is required to make interest‑only payments.

Guarantee and Lender Details

Clipper Realty’s operating subsidiary, Clipper Realty L.P. Together with the parent company, act as guarantors of the loan obligations. Wells Fargo Bank, National Association, is identified as the current lender under the agreement.

Marketing and Sale Process

Effective June 4, 2026, the borrower and lender entered into an agreement to jointly market the loan to a third‑party buyer. The marketing window spans 45 days from the effective date and may be extended at the lender’s discretion. This structured approach aims to maximize transaction value while providing an orderly exit for the lender.

Foreclosure Rights and Borrower Options

At the conclusion of the marketing period, the lender retains the right to foreclose on the Brooklyn property or accept a deed in lieu of foreclosure. Concurrently, the borrower maintains the ability to submit a competing offer to purchase the loan, preserving strategic flexibility.

Share Performance Context

Investors responded positively to the loan‑sale announcement, with Clipper Realty shares gaining 3.6% and challenging the $3.01 resistance threshold. The stock’s upward momentum reflects market confidence in the company’s real‑estate asset base and its effort to manage debt exposure.

Regulatory Compliance Note

The company filed its report on July 2, 2026, providing necessary disclosures regarding the consent agreement and detailing the terms governing the loan’s potential sale and related rights.

This article is for informational purposes only and does not constitute financial advice. Please consult a licensed financial adviser before making investment decisions.