ABJ Properties pays $3.4M for 7-unit walkup in South Slope

ABJ Properties through the entity 493 7th LLC paid $3.4 million to Steven Katz and Howard Katz through the entity Gotham NY Development, LLC for the seven-unit residential walkup building (C7) at 493 7th Avenue in South Slope, Brooklyn. The expected use is cash flowing.
The deal closed on July 24, 2024 and was recorded on July 29, 2024. The property has 6,040 square feet of built space and 2,229 square feet of additional air rights for a total buildable of 8,256 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $562 and the price per buildable square foot is $411 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 Steven Katz and Howard Katz was Neil Kupferman. The signatory for ABJ Properties was Benjamin Soleimani. The contract date was May 23, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer ABJ Properties purchased eight properties in seven transactions for a total of $24 million and has no record it sold any properties over the past 24 months.
The seller Steven Katz purchased two properties in two transactions for a total of $4.7 million and sold three properties in three transactions for a total of $8.2 million over the same time period. The former owners according to the Department of Housing Preservation and Development includes Steven Katz, head officer and Howard Katz, agent. The business entity is Gotham Ny Development.

The property

The residential walkup building with 7 residential units in South Slope has 6,040 square feet of built space and 2,229 square feet of additional air rights for a total buildable of 8,256 square feet according to a PincusCo analysis of city data. The parcel has frontage of 27 feet and is 97 feet deep with a total lot size of 2,752 square feet. The lot is irregular. The zoning is R6A which allows for up to 3 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.9 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received $150 in OATH penalties in the last year.

Development

There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of three of the 17 commercial properties representing 18,588 square feet of the 70,415 square feet. The two identified owners are Andreas Steiner and Wolf Sicherman.
There are no active new building construction projects on this tax block.

The majority, or 64 percent of the 70,415 square feet of built space are walkup buildings, with mixed-use buildings next occupying 36 percent of the space.

The seller

The PincusCo database currently indicates that Steven Katz owned at least six commercial properties with 25 residential units in New York City with 24,490 square feet and a city-determined market value of $9.8 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 54 percent of the 24,490 square feet of built space are mixed-use properties, with walkup properties next occupying 46 percent of the space. They are all located in Brooklyn.
The PincusCo database currently indicates that Howard Katz owned at least two commercial properties with 10 residential units in New York City with 8,888 square feet and a city-determined market value of $2.5 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 52 percent of the 8,888 square feet of built space are walkup properties, with mixed-use properties next occupying 48 percent of the space. They are all located in Brooklyn.

The buyer

The PincusCo database currently indicates that Abj Properties owned at least 87 commercial properties with 1,005 residential units in New York City with 950,883 square feet and a city-determined market value of $141.1 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 87 percent of the 950,883 square feet of built space are walkup properties, with elevator properties next occupying 9 percent of the space. The bulk, or 46 percent of the built space, is in Bronx, with Manhattan next at 36 percent of the space.

Direct link to Acris document. link