Baruch Singer signs $8.5M refi for mixed-use retail in Lower East Side

Baruch Singer through the entity 114 Delancey LLC as borrower signed a refi loan with lender BDP Assets LLC valued at $8.5 million for the mixed-use retail building (K4) at 114 Delancey Street in Lower East Side, Manhattan.
The deal closed on November 26, 2024 and was recorded on November 29, 2024. The prior lender was Hirshmark Capital which held debt that had an original loan amount of $7 million. The property has 23,040 square feet of built space and 16,144 square feet of additional air rights for a total buildable of 39,190 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $368 and the price per buildable square foot is $216 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 Baruch Singer was Baruch Singer. The signatory for BDP Assets LLC was Daniel Shirazi.

Prior sales and revenue

The 23,040-square-foot property generated revenue of $1.4 million or $63 per square foot, according to the most recent income and expense figures.

The property

The mixed-use building in Lower East Side has 23,040 square feet of built space and 16,144 square feet of additional air rights for a total buildable of 39,190 square feet according to a PincusCo analysis of city data. The parcel has frontage of 65 feet and is 100 feet deep with a total lot size of 6,510 square feet. The zoning is C6-2A which allows for up to 6 times floor area ratio (FAR) for commercial and up to 6.02 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $7.4 million. The most recent loan totaled $7 million and was provided by Hirshmark Capital on November 22, 2022.

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 received $9,335 in OATH penalties in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on August 28, 2019. There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.

The neighborhood

In Lower East Side, The majority, or 51 percent of the 23.8 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 21 percent of the space. In sales, Lower East Side has near average sales volume among other neighborhoods with $245 million in sales volume in the last two years and is the 29th highest in Manhattan. For development, Lower East Side has had very little major development activity relative to other neighborhoods.It had 660,707 square feet of commercial and multi-family construction under development in the last two years, which represents 3 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of 14 of the 40 commercial properties representing 177,437 square feet of the 606,079 square feet. The largest owner is Delshah Capital, followed by Baruch Singer and then Mordehy Haber.
There are no active new building construction projects on this tax block.

The majority, or 33 percent of the 606,079 square feet of built space are walkup buildings, with specialty buildings next occupying 22 percent of the space.

The borrower

The PincusCo database currently indicates that Baruch Singer owned at least four commercial properties in New York City with 256,619 square feet and a city-determined market value of $23.6 million. (Market value is typically about 50% of actual value.) The portfolio has $146.2 million in debt, with top three lenders as Parkview Financial, Bank Leumi, and Berkshire Bank respectively. Within the portfolio, the bulk, or 74 percent of the 256,619 square feet of built space are specialty properties, with mixed-use properties next occupying 15 percent of the space. The bulk, or 74 percent of the built space, is in Brooklyn, with Manhattan next at 26 percent of the space.

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