Behrooz Hedvat pays $21M for mixed-use in Tribeca

Behrooz Hedvat through the entity White Street Partners LLC paid $21 million to Gerald Weinstein and Martin Weinstein through the entity General Hardware Manufacturing Co., Inc. for the mixed-use building (K4) at 80 White Street in Tribeca, Manhattan. The expected use is cash flowing.
The deal closed on August 16, 2024 and was recorded on August 28, 2024. The property has 38,890 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $539 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 Gerald Weinstein and Martin Weinstein was Gerald Weinstein. The signatory for Behrooz Hedvat was Behrooz Hedvat. The contract date was February 22, 2024. Martin and Gerald Weinstein are the sons of Seymour and Dorothy Weinstein. The Weinsteins acquired the property in July 1949 through an estate sale following the death of millionaire bachelor and socialite Eugene Higgins, son of wealthy carpet manufacturer Elias S. Higgins, who had the building constructed.

According to a city historic landmark district document, on page 157, it says the building, “was constructed in 1867-68 for Elias S. Higgins & Co., carpet dealers.”

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Behrooz Hedvat purchased two properties in two transactions for a total of $24.3 million and has no record it sold any properties over the past 24 months.
The seller Gerald Weinstein had not purchased any other properties and had not sold any properties over the same time period.

The property

The mixed-use building with 1 residential units in Tribeca has 38,890 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 45 feet and is 119 feet deep with a total lot size of 5,415 square feet. The lot is irregular. 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 property is in the Tribeca East Historic District. The city-designated market value for the property in 2022 is $13.8 million. The most recent loan totaled $13 million and was provided by Bank of America on May 12, 2020.

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 $1,000 in OATH penalties in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on February 12, 2019. On the lot, there is one active major alteration construction project, 122703878, for a one-unit, 32,240 square-foot B building. The project was submitted by Gerald Weinstein with plans filed March 7, 2016 and permitted January 10, 2017.

The block

On this tax block, PincusCo has identified the owners of six of the 15 commercial properties representing 199,359 square feet of the 434,436 square feet. The largest owner is Bridgeton Holdings, followed by Gerald P. Weinstein and then Lana Choy.
On the tax block, there was one new building construction project filed totaling 42,973 square feet. It is a 32-unit, 42,973 square-foot residential (R-2) building submitted by Manuel Glas and filed by Manuel Glas with plans filed May 12, 2023 and it has not been permitted yet.

The majority, or 41 percent of the 434,436 square feet of built space are office buildings, with mixed-use buildings next occupying 21 percent of the space.

The buyer

The PincusCo database currently indicates that Behrooz Hedvat owned at least six commercial properties with 28 residential units in New York City with 98,646 square feet and a city-determined market value of $27.6 million. (Market value is typically about 50% of actual value.) The portfolio has $63.9 million in debt, with top three lenders as Ladder Capital, Signature Bank, and Israel Discount Bank respectively. Within the portfolio, the bulk, or 55 percent of the 98,646 square feet of built space are retail properties, with elevator properties next occupying 18 percent of the space. They are all located in Manhattan.

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