A Jewish school in Brooklyn’s Gravesend neighborhood has received approval from the state attorney general for a $30 million construction loan, Commercial Observer has learned. 

Magen David Yeshivah, which operates multiple day schools in Gravesend, secured the $30 million loan from BankUnited for the continued construction of a new Sephardic high school along McDonald Avenue. The floating-rate, three-year loan agreement mortgages Magen David’s nearby elementary school property at 2130 McDonald Avenue.

Religious corporations in New York must have approval from the state attorney general or a supreme court justice before mortgaging, selling or leasing most real estate.

The school acquired its future home across three sites — 1905, 1911 and 1915 McDonald Avenue — in 2023 for $13.5 million. Jeff Sutton, a prominent retail landlord and an active Magen David trustee, assisted the school in the deal, The Real Deal reported at the time. It is unclear whether Sutton, or any brokers, lent their expertise in arranging the new loan terms.

Plans for the $50 million high school span 81,000 square feet, PincusCo first reported. Remaining construction costs total $37.46 million, and the building is slated for completion in early 2027. 

Magen David school, founded in 1946, sold its former high school at 7801 Bay Parkway to Success Academy Charter Schools for $37.2 million in 2024, according to TRD. It continues to operate an early childhood center at 2170 McDonald Avenue and its nearby elementary school.

Spokespeople for Magen David and BankUnited did not immediately respond to requests for comment. 

Emily Davis can be reached at edavis@commercialobserver.com.