$45.8M refi loan with Valley National Bank at 11 Green Street in SoHo

The entity 11 Greene Street LLC as borrower signed a refi loan with lender Valley National Bank valued at $45.8 million for the 36-unit residential elevator building (D7) at 11 Green Street, also known as 335 Canal Street, in SoHo, Manhattan. Arch Companies took over development of the project several years ago.
The deal closed on September 23, 2022 and was recorded on September 29, 2022. The prior lender was Maxim Capital Group which held debt that had an original loan amount of $45 million. The property has 78,292 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $584 per the PincusCo analysis. (The price per square foot analysis is the transaction price divided by square feet as reported in public records and assumes no air rights have been sold.)
The signatory for the borrower was Asaf Bar Natan. The signatory for Valley National Bank was Oren Sapirstein and Roger Rofe. The property is subject to a ground lease with Solil Management, that expires in 2055 or 2059.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Jeffrey Simpson, head officer and Calynne Oyolokor, officer. The business entities are Firstservice Residential and 11 Greene Street Llc.

The property

The 335 Canal Street parcel has frontage of 65 feet and is 172 feet deep with a total lot size of 13,090 square feet. The zoning is M1-5B which allows for up to 5 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $19.9 million.

Violations and lawsuits

The property was involved in one lawsuit and zero bankruptcies over the past two years. The suit was a $111 million judgment concerning a ground lease filed on July 16, 2021, by Viatcheslav Mirilashvili and against None. In addition, according to city public data, the property has received three housing violations, $1,200 in OATH penalties, and one housing litigation in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on July 26, 2022. There are no active new building construction projects or major alteration projects with initial costs more than $5 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of three of the 10 commercial properties representing 38,789 square feet of the 200,806 square feet. The largest owner is Benzion Reifer, followed by Laurent Malecaze and then Javeri Capital.
there are no active new building construction projects on this tax block.

the majority, or 52 percent of the 194,336 square feet of built space are elevator buildings, with industrial buildings next occupying 20 percent of the space.

The borrower

The PincusCo database currently indicates that Arch Companies owned at least 15 commercial properties in New York City with 158,942 square feet and a city-determined market value of $37.6 million. (Market value is typically about 50% of actual value.) The portfolio has $141.4 million in debt, with top three lenders as Madison Realty Capital, CIM Group, and Valley National Bank respectively. Within the portfolio, the bulk, or 44 percent of the 158,942 square feet of built space are office properties, with elevator properties next occupying 39 percent of the space. The bulk, or 48 percent of the built space, is in Manhattan, with Brooklyn next at 46 percent of the space.

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