Allied Realty & Development pays $11M for 10-unit rental in Lenox Hill

Bahram Hakakian’s Allied Realty & Development through the entity Allied XXXX LLC paid $11 million to Michael Tsoumpas through the entity Tsoumpas 1105 Equities LLC for the 10-unit elevator and retail building at 1105 Lexington Avenue in Lenox Hill, Manhattan. The property was renovated in 2022 and the expected use is cash flowing.
The deal closed on October 29, 2024 and was recorded on November 7, 2024. The elevator building has 11,674 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $943 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 Michael Tsoumpas was Michael Tsoumpas. The signatory for Allied Realty & Development was Bahram Hakakian. The contract date was March 27, 2024.

The PincusCo database currently indicates that Allied Realty & Development owned at least 44 commercial properties with 476,474 square feet, 426 residential units and a city-determined market value of $92.8 million. (Market value is typically about 50% of actual value.) The portfolio has $39.9 million in debt, with top three lenders as First Republic Bank, Peapack-Gladstone Bank, and Teachers Federal Credit Union respectively. Within the portfolio, the bulk, or 53 percent of the 476,474 square feet of built space are walkup properties, with retail properties next occupying 26 percent of the space. The bulk, or 72 percent of the built space, is in Manhattan, with Brooklyn next at 15 percent of the space.

The property

The elevator building with 10 residential units in Lenox Hill has 11,552 square feet of built space and 9,452 square feet of additional air rights for a total buildable of 21,006 square feet according to a PincusCo analysis of city data. The parcel has frontage of 33 feet and is 70 feet deep with a total lot size of 2,334 square feet. The zoning is C1-8X which allows for up to 2 times floor area ratio (FAR) for commercial and up to 9 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $4.1 million. The most recent loan prior to the sale totaled $7.7 million and was provided by Urban Standard Capital on December 29, 2023.

Prior sales and revenue

The 11,552-square-foot property generated revenue of $635,360 or $55 per square foot, according to the most recent income and expense figures.

Violations and lawsuits

According to city public data, the property has received $625 in ECB penalties and $725 in OATH penalties in the last year.

There were no lawsuits or bankruptcies filed against the property for the past 24 months.

The neighborhood

In Lenox Hill, The bulk, or 34 percent of the 53.3 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 30 percent of the space. In sales, Lenox Hill has the highest sale turnover among other neighborhoods in the city with $4.4 billion in sales volume in the last two years. For development, Lenox Hill is the 7th most active neighborhood among other neighborhoods. It had 5.3 million square feet of commercial and multi-family construction under development in the last two years, which represents 10 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of nine of the 20 commercial properties representing 83,465 square feet of the 271,751 square feet. The largest owner is Brandon C. Rose, followed by Daniel Dermer Trustee Of Daniel Dermer and then Feil Organization. There are no active new building construction projects on this tax block.

The owner

The PincusCo database currently indicates that Simone Politidis owned at least one commercial property with 10 residential units in New York City with 11,552 square feet and a city-determined market value of $4.4 million. (Market value is typically about 50% of actual value.) The portfolio has $7.7 million in debt, borrowed from Urban Standard Capital. The portfolio consists of at least a single elevator property. It is located in Manhattan.

The owners according to the Department of Housing Preservation and Development includes Michael Tsoumpas, head officer and Simone Politidis, officer. The business entities are Tsoumpas 1105 Equities, Llc and Tsoumpas 1105 Equities Llc.

The surrounding

Within a 400-foot radius of 1107 Lexington Avenue, PincusCo identified three commercial real estate items of interests occurred over the past 24 months. Of those three items, three were sales above $5 million totaling $91.3 million. The most recent of the three was W Financial which bought the 2,448-square-foot, five-unit mixed-use building (K4) on 154 East 79th Street and four other properties for $61 million from HFZ Capital Group and HFZ Capital foreclosed on March 7, 2023.

Direct link to the property’s ACRIS page and link to DOB NOW portal.