60 Guilders pays $172.8M to Vornado for office building in Long Island City

60 Guilders through the entity LIC Northern Boulevard Owner, LLC paid $172.8 million to Vornado Realty Trust through the entity VNO 33-00 Northern Blvd LLC for five office condominium units that comprise at 33-00 Northern Boulevard in Long Island City, Queens.
The deal closed on June 17, 2022 and was recorded on July 5, 2022. The five properties have 458,215 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $377 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.)

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 33-00 Northern Boulevard.

The property

The 33-00 Northern Boulevard parcel has a total lot size of 311,265 square feet. The city-designated market value for the property in 2022 is $37.9 million.
The 33-00 Northern Boulevard parcel has a total lot size of 70,725 square feet. The city-designated market value for the property in 2022 is $8.6 million.
The 33-00 Northern Boulevard parcel has a total lot size of 43,790 square feet. The city-designated market value for the property in 2022 is $5.3 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have not received any significant violations in the last year.

Development

There are no active new building construction projects or major alteration projects with initial costs more than $5 million on this tax lot.

The neighborhood

In Long Island City, the bulk, or 34 percent of the 64.6 million square feet of commercial built space are residential elevator buildings, with industrial buildings next occupying 31 percent of the space. In sales, Long Island City has the 6th highest sale turnover among other neighborhoods in the city with $1.6 billion in sales volume in the last two years. For development, Long Island City is the 4th most active neighborhood among other neighborhoods. It had 8.4 million square feet of commercial and multi-family construction under development in the last two years, which represents 13 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other office buildings in the past 12 months.

The block

On the tax block of 33-00 Northern Boulevard, PincusCo has identified the owners of two of the 18 commercial properties representing 42,680 square feet of the 1,154,667 square feet. The two identified owners are Jack Guttman and Long Island Rail Road. There are no active new building construction projects on this tax block.

The majority, or 67 percent of the 715,257 square feet of built space are office buildings, with industrial buildings next occupying 29 percent of the space.

Surrounding

Within a 400-foot radius of 33-00 Northern Boulevard, PincusCo identified five commercial real estate items of interests occurred over the past 24 months.
Of those five items, one was in new building development. It was a new building permit application filed on March 11, 2022 for a 31,755-square-foot R-2 building with 41 residential units at 38-38 32nd Street.
Of those five items, one was for major renovation including a certificate of occupancy change. It was a permit application filed on March 10, 2022 for the $1,000,000 renovation of 47,621-square-foot R-2 building with 52 residential units at 32-03 39th Avenue.
Of those five items, two were sales above $5 million totaling $28.6 million. The most recent of the two was Yitzchok Katz which bought the 0-square-foot industrial (G7) on 39 Avenue for $9.5 million from AHRC New York City on June 16, 2022.
One of those five items was a loan which Yitzchok Katz borrowed $72.5 million from G4 Capital Partners secured by the 22,500-square-foot, one-unit industrial (W4) on 32-03 39th Avenue and one other property on June 28, 2022.

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