Abraham Friedrich pays $1.9M for mixed-use in Bedford Stuyvesant

Abraham Friedrich through the entity 1468 Fulton LLC paid $1.9 million to Desmond Lewis through the entity Desmond Lewis Incorporated for the six-unit mixed-use building (S5) at 1468 Fulton Street in Bedford Stuyvesant, Brooklyn.
The deal closed on October 19, 2023 and was recorded on October 26, 2023. The property has 4,000 square feet of built space and 4,400 square feet of additional air rights for a total buildable of 8,400 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $475 and the price per buildable square foot is $226 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 Desmond Lewis was Desmond Lewis. The signatory for Abraham Friedrich was Abraham Friedrich. The contract date was July 1, 2023.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Abraham Friedrich had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Desmond Lewis had not purchased any other properties and had not sold any properties over the same time period. The former owner according to the Department of Housing Preservation and Development is Desmond Lewis, individual owner.

The property

The mixed-use building with 6 residential units in Bedford Stuyvesant has 4,000 square feet of built space and 4,400 square feet of additional air rights for a total buildable of 8,400 square feet according to a PincusCo analysis of city data. The parcel has frontage of 20 feet and is 100 feet deep with a total lot size of 2,000 square feet. The zoning is R7D which allows for up to 4.2 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $464,000.

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 two DOB violations and $600 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 neighborhood

In Bedford Stuyvesant, The bulk, or 35 percent of the 54.7 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 29 percent of the space. In sales, Bedford Stuyvesant has 3.1 times the average sales volume among other neighborhoods with $1.1 billion in sales volume in the last two years and is the 4th highest in Brooklyn. For development, Bedford Stuyvesant has 2.9 times the average amount of major developments relative to other neighborhoods and is the 5th highest in Brooklyn. It had 3 million square feet of commercial and multi-family construction under development in the last two years, which represents 5 percent of the neighborhood’s built space. There were five pre-foreclosure suit filed among other mixed-use buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of 11 of the 33 commercial properties representing 191,453 square feet of the 321,653 square feet. The largest owner is Yosef Emergi, followed by Solomon Feder and then Rosemarie Lowery.
On the tax block, there were four new building construction projects totaling 126,881 square feet. The largest is a 132-unit, 101,646 square-foot residential (R-2) building submitted by Solomon Feder and Bruman Realty and filed by Solomon Feder with plans filed November 12, 2014 and permitted June 15, 2015. The second largest is a 10-unit, 11,965 square-foot residential (R-2) building submitted by Moses Strulowitz with plans filed November 12, 2014 and permitted June 12, 2015.

The majority, or 46 percent of the 321,653 square feet of built space are elevator buildings, with mixed-use buildings next occupying 28 percent of the space.

The buyer

The PincusCo database currently indicates that Abraham Friedrich owned at least 12 commercial properties with 73 residential units in New York City with 61,525 square feet and a city-determined market value of $14.5 million. (Market value is typically about 50% of actual value.) The portfolio has $41.2 million in debt, with top three lenders as Berkadia Commercial Mortgage, Metropolitan Commercial Bank, and Hanover Community Bank respectively. Within the portfolio, the bulk, or 61 percent of the 61,525 square feet of built space are walkup properties, with mixed-use properties next occupying 23 percent of the space. The bulk, or 98 percent of the built space, is in Brooklyn, with Queens next at 2 percent of the space.

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