Benedict Realty Group pays $13.5M to Algin for 120-unit rental in Jackson Heights

Benedict Realty Group through the entity Richelieu L.P. paid $13.5 million to Algin Management through the entity Richelieu Gardens Co., LLC for the 120-unit residential elevator building (D1) at 34-44 77th Street in Jackson Heights, Queens. The expected use is cash flowing.
The deal closed on October 23, 2024 and was recorded on November 13, 2024. The property has 104,000 square feet of built space and 6,080 square feet of additional air rights for a total buildable of 110,080 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $129 and the price per buildable square foot is $122 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 Algin Management was Liane Ginsberg, Laurence Ginsberg, and Hilary Feshbach. The signatory for Benedict Realty Group was Daniel Benedict. The contract date was July 18, 2024.
Benedict Realty Group paid $33 million for other Algin Management properties in Elmhurst, PincusCo previously reported.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Benedict Realty Group purchased two properties in two transactions for a total of $33 million and has no record it sold any properties over the past 24 months.
The seller Algin Management had not purchased any other properties and sold two properties in two transactions for a total of $33 million over the same time period. The former owners according to the Department of Housing Preservation and Development includes Laurence Ginsberg, head officer and Liane Ginsberg, officer. The business entities are Algin Management Co., Llc and Richelieu Gardens Co Llc.

The property

The residential elevator building with 120 residential units in Jackson Heights has 104,000 square feet of built space and 6,080 square feet of additional air rights for a total buildable of 110,080 square feet according to a PincusCo analysis of city data. The parcel has frontage of 320 feet and is 100 feet deep with a total lot size of 32,000 square feet. The zoning is R7-1 which allows for up to 3.44 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $9 million. The most recent loan totaled $40 million and was provided by JPMorgan Chase on May 29, 2020. The property has 120 rent regulated units according to city tax records from 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 seven housing violations and $50 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 $1 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of two of the two commercial properties representing 228,600 square feet of the 228,600 square feet. The two identified owners are Katz Realty Group and Algin Management.
There are no active new building construction projects on this tax block.

All properties are elevator.

The seller

The PincusCo database currently indicates that Algin Management owned at least 17 commercial properties with 1,218 residential units in New York City with 1,399,940 square feet and a city-determined market value of $344.9 million. (Market value is typically about 50% of actual value.) The portfolio has $80.2 million in debt, borrowed from JPMorgan Chase and Algin Management. Within the portfolio, the bulk, or 75 percent of the 1,399,940 square feet of built space are elevator properties, with mixed-use properties next occupying 19 percent of the space. The bulk, or 74 percent of the built space, is in Manhattan, with Brooklyn next at 19 percent of the space.

The buyer

The PincusCo database currently indicates that Benedict Realty Group owned at least 45 commercial properties with 2,440 residential units in New York City with 2,132,338 square feet and a city-determined market value of $189.5 million. (Market value is typically about 50% of actual value.) The portfolio has $200.8 million in debt, with top three lenders as New York Community Bank, CBRE, and Santander Bank respectively. Within the portfolio, the bulk, or 79 percent of the 2,132,338 square feet of built space are elevator properties, with walkup properties next occupying 21 percent of the space. The bulk, or 74 percent of the built space, is in Queens, with Brooklyn next at 17 percent of the space.

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