Alex Gill pays $8.6M to Zalman Bernstein for three industrial properties in Morrisania
Alex Gill through the entity W Residence LLC paid $8.6 million to Zalman Bernstein through the entity 1049 Claremont Village LLC for the industrial building (G1) at 1049 Washington Avenue in Morrisania, Bronx, industrial building (G7) at 439 East 165th Street in Morrisania, Bronx, and industrial building (G7) at 1037 Washington Avenue in Morrisania, Bronx.
The deal closed on June 7, 2023 and was recorded on June 20, 2023. The three properties have 12,337 square feet of built space and 80,997 square feet of additional air rights for a total buildable of 93,334 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $697 and the price per buildable square foot is $92 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 Zalman Bernstein was Zalman Bernstein. The signatory for Alex Gill was Alex Gill.
Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 439 East 165th Street.
Prior sales and revenue
Prior to this transaction, PincusCo has no record that the buyer Alex Gill had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Zalman Bernstein had not purchased any other properties and had not sold any properties over the same time period. Out of the three properties, one with a total of 12,337 square feet of built space generated revenue of $145,083 per year.
The property
The industrial building in Morrisania has 12,337 square feet of built space and 80,997 square feet of additional air rights for a total buildable of 93,334 square feet according to a PincusCo analysis of city data. The parcel has frontage of 94 feet and is 113 feet deep with a total lot size of 10,770 square feet. The zoning is M1-1/R7-2 which allows for up to 1 times floor area ratio (FAR) for manufacturing and up to 3.44 times FAR for residential. The city-designated market value for the property in 2022 is $651,000. The most recent loan totaled $5.5 million and was provided by Tideway Capital Funding on December 30, 2022.
Development
On these lots, there is one active new building construction project for a 16-unit, 13,737 square-foot R-2 building. The project was submitted by Alan Waintraub with plans filed February 23, 2022 and it has not been permitted yet.
The neighborhood
In Morrisania, The majority, or 52 percent of the 25.4 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 20 percent of the space. In sales, Morrisania has had very little sales volume relative to other neighborhoods with $219.6 million in sales volume in the last two years. For development, Morrisania has had very little major development activity relative to other neighborhoods.It had 466,413 square feet of commercial and multi-family construction under development in the last two years, which represents 2 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other industrial buildings in the past 12 months.
The block
On the tax block of 439 East 165th Street, PincusCo has identified the owners of seven of the 13 commercial properties representing 245,962 square feet of the 402,079 square feet. The largest owner is Storage Post, followed by Rami Esses and then Menachem Chazanow.
On the tax block, there was one new building construction project filed totaling 13,737 square feet. It is a 16-unit, 13,737 square-foot residential (R-2) building submitted by Alan Waintraub with plans filed February 23, 2022 and permitted May 20, 2022.
The majority, or 70 percent of the 402,079 square feet of built space are industrial buildings, with elevator buildings next occupying 27 percent of the space.
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