Bindu Dalal acquires office co-op for $4.2M in Penn Plaza

Bindu Dalal through the entity Marigold West LLC acquired the tenth floor office cooperative unit from Issac Sutton of Century Development & Leasing through the entity JSI 31st Holdings LLC for $4.2 million in the commercial cooperative building (O6) at 25 West 31st Street in Penn Plaza, Manhattan.
The deal closed on February 6, 2024 and was recorded on February 13, 2024. The property has 60,133 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $69 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 Bindu Dalal was Bindu Dalal. This is the 10th floor office cooperative unit. Michael Rudder of Rudder Property Group was the listing broker on the sale.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Bindu Dalal had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Issac Sutton had not purchased any other properties and had not sold any properties over the same time period. The 60,133-square-foot property generated revenue of $2.7 million or $45 per square foot, according to the most recent income and expense figures.

The property

The office building in Penn Plaza has 60,133 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 58 feet and is 98 feet deep with a total lot size of 5,759 square feet. The zoning is C6-4 which allows for up to 10 times floor area ratio (FAR) for commercial and up to 10 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $11.7 million.

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 three DOB violations and $600 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 neighborhood

In Penn Plaza, The majority, or 76 percent of the 20.4 million square feet of commercial built space are office buildings, with hotel buildings next occupying 8 percent of the space. In sales, Penn Plaza has near average sales volume among other neighborhoods with $290.4 million in sales volume in the last two years and is the 27th highest in Manhattan. For development, Penn Plaza has 1.2 times the average amount of major developments relative to other neighborhoods and is the 23rd highest in Manhattan. It had 1.2 million square feet of commercial and multi-family construction under development in the last two years, which represents 6 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of 15 of the 28 commercial properties representing 1,519,759 square feet of the 1,746,232 square feet. The largest owner is Uikun Lee, followed by Ui Kun Lee and then Torkian Group.
On the tax block, there were two new building construction projects totaling 76,850 square feet. The largest is a 27-unit, 59,149 square-foot residential (R-2) building submitted by Cottonwood Management and filed by Alex Shing with plans filed June 28, 2017 and it has not been permitted yet. The second largest is a 37-unit, 17,701 square-foot hotel/dormitory/shelter (R-1) building submitted by Raizada Vaid with plans filed March 20, 2015 and it has not been permitted yet.

The majority, or 79 percent of the 1.7 million square feet of built space are office buildings, with retail buildings next occupying 8 percent of the space.

Direct link to Acris document. link