Azzam Obeid pays $12.5M to Eric Markel for residential elevator in Bay Ridge

Azzam Obeid through the entity Al-Abassi Building, LLC paid $12.5 million to Eric Markel through the entity Do-Mor Realty LLC for 67-unit residential elevator building (D7) at 310 94th Street in Bay Ridge, Brooklyn.
The deal closed on July 6, 2022 and was recorded on July 18, 2022. The property has 48,000 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $260 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 Eric Markel was Eric Markel. The signatory for Azzam Obeid was Azzam Obeid.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Azzam Obeid had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Eric Markel had not purchased any other properties and sold 68 properties in two transactions for a total of $28 million over the same time period. The former owners according to the Department of Housing Preservation and Development includes Sheik Saddick, head officer and Eric Markel, officer. The business entity is Do Mor Realty Llc. The 48,000-square-foot property generated revenue of $1.3 million or $27 per square foot, according to the most recent income and expense figures.

The property

The 310 94th Street parcel has frontage of 98 feet and is 119 feet deep with a total lot size of 10,000 square feet. The lot is irregular. The zoning is R6A which allows for up to 3 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $4.7 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property since September of 2020. In addition, according to city public data, the property has received $4,725 in ECB penalties and $4,725 in OATH penalties 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 block

On this tax block, PincusCo has identified the owners of three of the 11 commercial properties representing 88,364 square feet of the 222,402 square feet. The largest owner is Charles Alpert (271), followed by Domenico Galofaro and then Mike Psaras. There are no active new building construction projects on this tax block.

The majority, or 45 percent of the 222,402 square feet of built space are walkup buildings, with elevator buildings next occupying 45 percent of the space.

The buyer

The PincusCo database currently indicates that Azzam Obeid owned at least three commercial properties in New York City with 39,605 square feet and a city-determined market value of $6.5 million. (Market value is typically about 50% of actual value.) The portfolio has $6.4 million in debt, borrowed from JPMorgan Chase. Within the portfolio, the bulk, or 52 percent of the 39,605 square feet of built space are elevator properties, with walkup properties next occupying 42 percent of the space. The bulk, or 58 percent of the built space, is in Manhattan, with Brooklyn next at 42 percent of the space.

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