Brazil’s Klein family signs $7.5M refi with Citibank for retail in Midtown East

Brazil’s Klein family through its Kireland Equity Investments and the entity Kireland LLC as borrower signed a refi loan with lender Citibank valued at $7.5 million for the retail condominium unit at 250 East 49th Street in Midtown East, Manhattan.
The deal closed on March 25, 2024 and was recorded on April 4, 2024. The prior lender was Citibank which held debt that had an original loan amount of $9.6 million.
The property has 3,856 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $1,948 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 owner bought the property on September 13, 2010, for $11.1 million. The signatory for Kireland Equity Investments was attorney Alex Kurkin. The signatory for Citibank was Eric J. Torres. Kireland is owned by the Brazil Klein family.

The property

The retail condo in Midtown East has 3,856 square feet of built space according to a PincusCo analysis of city data. The parcel has a total lot size of 3,856 square feet. The property has a 421A exemption that started in 2012 and expires in 2022. The city-designated market value for the property in 2022 is $2 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 not received any significant violations in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on July 27, 2012. 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 Midtown East, The majority, or 81 percent of the 62.6 million square feet of commercial built space are office buildings, with hotel buildings next occupying 7 percent of the space. In sales, Midtown East has the 2nd highest sale turnover among other neighborhoods in the city with $3.8 billion in sales volume in the last two years. For development, Midtown East is the 2nd most active neighborhood among other neighborhoods. It had 15.7 million square feet of commercial and multi-family construction under development in the last two years, which represents 25 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other retail buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of three of the 11 commercial properties representing 574,047 square feet of the 629,828 square feet. The largest owner is William Kaufman Organization, followed by Ricky Hiang and then Moshe Khoshkheraman.
There are no active new building construction projects on this tax block.

The majority, or 92 percent of the 629,828 square feet of built space are office buildings, with retail buildings next occupying 2 percent of the space.

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