Asen Kostadinov pays $18.5M for three industrial properties in Hunts Point

Asen Kostadinov of TopView Sightseeing, through the entity Longfellow Avenue Properties LLC paid $18.5 million to Howard Kramer and Tina Costello through the entity Trust Created Under The Lw&T Of William Kramer, for the industrial building (F1) at 1335 East Bay Avenue in Hunts Point, Bronx, industrial building (F1) at 407 Longfellow Avenue in Hunts Point, Bronx, and industrial building (F1) at 421 Longfellow Avenue in Hunts Point, Bronx.
The deal closed on September 16, 2022 and was recorded on September 23, 2022. The three properties have 46,075 square feet of built space and 49,000 square feet of additional air rights for a total buildable of 95,000 square feet according to PincusCo analysis of city data. The sale price per built square foot is $401 and the price per buildable square foot is $194 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 Howard Kramer and Tina Costello was Howard Kramer and Tina Costello. The signatory for Asen Kostadinov was Asen Kostadinov. Asen Kostadinov is the CEO of TopView Sightseeing.

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 1335 East Bay Avenue.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Asen Kostadinov had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Howard Kramer had not purchased any other properties and had not sold any properties over the same time period. The three properties with a total of 46,075 square feet of built space generated revenue of $826,647 per year or $18 per square foot. The sale price per square foot was $401.

The property

The 1335 East Bay Avenue parcel has frontage of 200 feet and is 175 feet deep with a total lot size of 30,000 square feet. The lot is irregular. The zoning is M3-1 which allows for up to 2 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $2.6 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have not received any significant violations 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 Hunts Point, the majority, or 59 percent of the 14.5 million square feet of commercial built space are industrial buildings, with specialty buildings next occupying 15 percent of the space. In sales, Hunts Point has near average sales volume among other neighborhoods with $363.5 million in sales volume in the last two years and is the 2nd highest in Bronx. For development, Hunts Point has had very little major development activity relative to other neighborhoods.It had 724,009 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

On the tax block of 1335 East Bay Avenue, PincusCo has identified the owners of four of the 63 commercial properties representing 18,739 square feet of the 364,852 square feet. The largest owner is Jack Guttman, followed by Pearl Realty Management and then Luis Blanco.
There is one active new building construction project totaling 200 square feet. It is a 200-square-foot I building developed by Javier Valverde with plans filed September 14, 2021 and it has not been permitted yet.

The majority, or 91 percent of the 364,852 square feet of built space are industrial buildings, with retail buildings next occupying 5 percent of the space.

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