Albert Malekan signs $20M refi with Citibank for office in NoHo

Albert Malekan through the entity Akjo-26 Delaware LLC as borrower signed a refi loan with lender Citibank through the entity Citi Real Estate Funding Inc. valued at $20 million for the office building (O6) at 419 Lafayette Street in NoHo, Manhattan.
Malekan acquired full control of the property last year in an entity level transactions valued at $29.4 million. Before that, Malekan controlled the property as the ground lease tenant.
The deal closed on June 11, 2024 and was recorded on June 13, 2024. The prior lender was JPMorgan Chase which held debt that had an original loan amount of $6 million.

The property has 57,729 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $346 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 Albert Malekan was Albert Malekan. The signatory for Citibank was Anna Gutteridge. $3.5 million of the original $6 million principal remained on the loan.

Prior sales and revenue

The 57,729-square-foot property generated revenue of $3.3 million or $58 per square foot, according to the most recent income and expense figures.

The property

The office building in NoHo has 57,729 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 52 feet and is 150 feet deep with a total lot size of 8,061 square feet. The lot is irregular. The property is in the NoHo Historic District. The city-designated market value for the property in 2022 is $17.1 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 nine DOB violations and $6,450 in OATH penalties in the last year.

The neighborhood

In NoHo, The majority, or 55 percent of the 3.8 million square feet of commercial built space are office buildings, with elevator buildings next occupying 14 percent of the space. In sales, NoHo has 1.2 times the average sales volume among other neighborhoods with $314.7 million in sales volume in the last two years and is the 25th highest in Manhattan. For development, NoHo has had very little major development activity relative to other neighborhoods.It had 403,001 square feet of commercial and multi-family construction under development in the last two years, which represents 11 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of six of the 16 commercial properties representing 444,056 square feet of the 947,652 square feet. The largest owner is Park-It Management, followed by New York University and then Himmel + Meringoff Properties.
There are no active new building construction projects on this tax block.

The majority, or 40 percent of the 947,652 square feet of built space are office buildings, with specialty buildings next occupying 37 percent of the space.

The borrower

The PincusCo database currently indicates that Albert Malekan owned at least four commercial properties in New York City with 106,285 square feet and a city-determined market value of $46.8 million. (Market value is typically about 50% of actual value.) The portfolio has $94.5 million in debt, with top three lenders as SKW Funding, Citibank, and M&T Bank respectively. Within the portfolio, all identified are office properties. They are all located in Manhattan.

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