Albert Srour signs $18.6M refi loan with New York Community Bank for retail in Bed Stuy

Albert Srour through the entity Lollypop Import & Export Corp. as borrower signed a refi loan with lender New York Community Bank valued at $18.6 million for the retail building at 7 Marcus Garvey Boulevard in Bed Stuy, Brooklyn.
The deal closed on March 10, 2022 and was recorded on March 22, 2022. The prior lender was New York Community Bank which held debt that had an original loan amount of $14.5 million. The property has 35,300 square feet of built space and 25,300 square feet of additional air rights for a total buildable of 60,600 square feet according to PincusCo analysis of city data. The loan price per built square foot is $525 and the price per buildable square foot is $306 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 Srour was Albert Srour. The signatory for New York Community Bank was Alan L. Kaufman.

Prior sales and revenue

The 35,300-square-foot property generated revenue of $1.2 million or $35 per square foot, according to the most recent income and expense figures.

The property

The 7 Marcus Garvey Boulevard parcel has frontage of 100 feet and is 82 feet deep with a total lot size of 15,150 square feet. The lot is irregular. The zoning is C4-4L which allows for up to 4 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $5.1 million.

Violations and lawsuits

The property was not involved in any lawsuits or bankruptcies in the past years. In addition, according to city public data, the property has received two DOB violations and $130 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 $5 million on this tax lot.

The neighborhood

In Bed Stuy, the bulk, or 38 percent of the 92.5 million square feet of commercial built space are 1-4 family buildings, with residential elevator buildings next occupying 20 percent of the space. In sales, Bed Stuy has 1.5 times the average sales volume among other neighborhoods with $417.3 million in sales volume in the last two years and is the 6th highest in Brooklyn. For development, Bed Stuy is the 8th most active neighborhood among other neighborhoods. It had 4.3 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.

The block

There are no active new building construction projects on this tax block.

The majority, or 57 percent of the 100,022 square feet of built space are retail buildings, with mixed-use buildings next occupying 21 percent of the space.

The borrower

The PincusCo database currently indicates that Albert Srour owned at least nine commercial properties with 425,643 square feet and a city-determined market value of $45 million. (Market value is typically about 50% of actual value.) The portfolio has $70.9 million in debt, with top three lenders as Signature Bank, Investors Bank, and New York Community Bank respectively. Within the portfolio, the bulk, or 63 percent of the 425,643 square feet of built space are residential elevator properties, with office properties next occupying 17 percent of the space. The bulk, or 94 percent of the built space, is in Brooklyn, with Manhattan next at 6 percent of the space.

Surrounding

Within a 400-foot radius of 7 Marcus Garvey Blvd, PincusCo identified one commercial real estate item of interests occurred over the past 24 months.
It was an initial temporary certificate of occupancy issued on December 3, 2020 for the $1.1 million renovation of 28,370-square-foot B building with no residential units at 16 Sumner Place.

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