Bayrock Capital signs $9.1M refi for dev site in Edenwald

Bayrock Capital through the entity 2101 Partners III LLC as borrower signed a refi loan with lender Popular Bank valued at $9.1 million for two properties including the development site at 2101 Needham Avenue and an adjacent vacant parcel, both in Edenwald, the Bronx.
The deal closed on December 27, 2024 and was recorded on January 30, 2025. The prior lender was John Palladino which held debt that had an original loan amount of $1.4 million.The two properties have 11,634 square feet of built space and 12,874 square feet of additional air rights for a total buildable of 24,434 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $782 and the price per buildable square foot is $372 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 Bayrock Capital was Moshe Glassman. The signatory for Popular Bank was David Rabban.

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 2101 Needham Avenue.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes John Palladino, head officer and Margaret Remesic, officer. The business entity is Rmj Motel Corp.

The property

The hotel building in Edenwald has 11,634 square feet of built space and 12,874 square feet of additional air rights for a total buildable of 24,434 square feet according to a PincusCo analysis of city data. The parcel has frontage of 174 feet and is 193 feet deep with a total lot size of 23,120 square feet. The lot is irregular. The zoning is R4 which allows for up to 0.75 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $1.3 million.

Violations and lawsuits

The properties were involved in one lawsuit and zero bankruptcies over the past two years. The suit was a $3 million commercial foreclosure concerning a loan filed on February 21, 2023, by John Palladino against Bayrock Capital, Moshe Glassman, and Daniel Rabinowitz. In addition, according to city public data, the properties have received three DOB violations in the last year.

Development

On these lots, there is one active major alteration construction project, X00969090, for a 22-unit, 17,788 square-foot 70 building. The project was submitted by Mark Glassman with plans filed December 13, 2023 and permitted July 25, 2024.

The neighborhood

In Edenwald, The majority, or 63 percent of the 3.9 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 27 percent of the space. In sales, Edenwald has the 42nd highest sale turnover among other neighborhoods in Bronx with $10.2 million in sales volume in the last two years. For development, Edenwald has had very little major development activity relative to other neighborhoods.It had 12,466 square feet of commercial and multi-family construction under development in the last two years, which represents 0.32 percent of the neighborhood’s built space.

The block

On the tax block of 2101 Needham Avenue, PincusCo has identified the owners of two of the five commercial properties representing 11,634 square feet of the 11,634 square feet. The two identified owners are Bayrock Capital and City Of New York.
There are no active new building construction projects on this tax block.

The majority, or 100 percent of the 11,634 square feet of built space are hotel buildings, with development buildings next occupying 0 percent of the space.

The borrower

The PincusCo database currently indicates that Bayrock Capital owned at least 21 commercial properties with 480 residential units in New York City with 782,634 square feet and a city-determined market value of $175.6 million. (Market value is typically about 50% of actual value.) The portfolio has $323.1 million in debt, with top three lenders as Broadview Capital, Popular Bank, and M&T Bank respectively. Within the portfolio, the bulk, or 82 percent of the 782,634 square feet of built space are hotel properties, with walkup properties next occupying 8 percent of the space. The bulk, or 88 percent of the built space, is in Queens, with Manhattan next at 6 percent of the space.

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