Alder Street pays $6.5M to Friedland Properties for industrial building in Harlem
David Neveloff’s Alder Street Capital Partners through the entity Ze 129 LLC paid $6.5 million to Friedland Properties through the entity 495 West 129 LLC for the industrial building at 497 West 129th Street in Harlem, Manhattan.
The seller sold the air rights before the purchase, according to industry sources.
The deal closed on December 30, 2021 and was recorded on January 14, 2022.
The property has 11,579 square feet of built space and 35,045 square feet of additional air rights for a total buildable of 46,572 square feet according to PincusCo analysis of city data. The sale price per built square foot is $561 and the price per buildable square foot is $139 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 seller bought the property on June 5, 2017, for $3.5 million.
The signatory for Friedland Properties was William Friedland. The signatory for Alder Street was David Neveloff.
Robert Shapiro, Eric Roth, Tyler Signora, Harry James of Cushman & Wakefield marketed the property and were brokers on the sale.
Prior to this transaction, the buyer Alder Street had not purchased any other properties and had not sold any properties over the past 24 months.
The seller Friedland Properties had not purchased any other properties and sold two properties in two transactions for a total of $200.6 million over the same time period. Friedland signed a contract to buy air rights on the Upper West Side late last year.
The 11,579-square-foot property generated revenue of $224,110 or $19 per square foot, according to the most recent income and expense figures.
Over the past five years, there have been 6 NYC Department of Buildings permit applications filed for this parcel valued at more than $20,000. Of those there was one major renovation application including a certificate of occupancy change (A1) filed with a total estimated value of $278,500. There were 5 renovation/alteration projects (A2) applied for with a total estimated value of $182,150. One of the projects were to change the building from a COM to a F-1 and were permitted on April 12, 2019.
In Harlem, the majority, or 42 percent of the 99.7 million square feet of built space are residential elevator buildings, with residential walkup buildings next occupying 24 percent of the space. In sales, Harlem has 2.2 times the average sales volume in the city with $607.8 million in sales volume in the last two years and is the 20th highest in Manhattan. For development, Harlem has 2.8 times the average amount of major developments relative to other neighborhoods and is the 5th highest in Manhattan. It had 2.6 million square feet of commercial construction under development in the last two years, which represents 3 percent of the neighborhood’s built space.
On the tax block, the majority, or 71 percent of the 689,602 square feet of built space are residential elevator buildings, with industrial buildings next occupying 14 percent of the space.
Within a 400-foot radius of 497 West 129th Street, PincusCo identified one commercial real estate item of interests occurred over the past 24 months.
It was a loan which Jacob Berger borrowed $20 million from New York Community Bank secured by the 120,570-square-foot, 130-unit rental (D1) on 1423 Amsterdam Avenue and one other property on May 19, 2021.
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