ASG Equities signs $29M renovation loan with Oceanview Life for retail in Bay Ridge

The Gindi family’s ASG Equities through the entity 502/12 86th Street LLC as borrower signed a renovation construction loan with lender Oceanview Life and Annuity Company valued at $29 million for the retail building (K4) at 8613 5th Avenue in Bay Ridge, Brooklyn.
The deal closed on April 18, 2024 and was recorded on April 24, 2024. The prior lender was North American Company for Life and Health Insurance which held debt that had an original loan amount of $21 million.
The property has 32,500 square feet of built space and 6,655 square feet of additional air rights for a total buildable of 39,150 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $892 and the price per buildable square foot is $740 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 ASG Equities was Isaac S. Gindi. The signatory for Oceanview Life was Marnie Adams.

The property

The retail building in Bay Ridge has 32,500 square feet of built space and 6,655 square feet of additional air rights for a total buildable of 39,150 square feet according to a PincusCo analysis of city data. The parcel has frontage of 125 feet and is 100 feet deep with a total lot size of 13,050 square feet. The lot is irregular. The zoning is C4-2A which allows for up to 3 times floor area ratio (FAR) for commercial and up to 3 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $19.2 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has not received any significant violations in the last year.

Development

On the lot, there is one active major alteration construction project for a building, under job number B00772818. The project was submitted by Austin DeBruin, an asset manager with ASG Equities, with plans filed July 26, 2023 and permitted April 10, 2024.

The neighborhood

In Bay Ridge, The bulk, or 30 percent of the 21 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 28 percent of the space. In sales, Bay Ridge has 2.1 times the average sales volume among other neighborhoods with $578.3 million in sales volume in the last two years and is the 10th highest in Brooklyn. For development, Bay Ridge has had very little major development activity relative to other neighborhoods.It had 363,958 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.

The block

On this tax block, PincusCo has identified the owners of four of the 22 commercial properties representing 50,450 square feet of the 136,107 square feet. The largest owner is Mohamed Hassan, followed by Ira Lifshutz and then Assunta Turano.
There are no active new building construction projects on this tax block.

The majority, or 62 percent of the 136,107 square feet of built space are mixed-use buildings, with retail buildings next occupying 24 percent of the space.

The borrower

The PincusCo database currently indicates that Asg Equities owned at least 27 commercial properties with five residential units in New York City with 1,065,141 square feet and a city-determined market value of $248.4 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 61 percent of the 1,065,141 square feet of built space are office properties, with retail properties next occupying 18 percent of the space. The bulk, or 72 percent of the built space, is in Manhattan, with Brooklyn next at 28 percent of the space.

Direct link to Acris document. link