Brownsville affordable with 124 units sells for $14.7M

The entity Sutter Houses LLC, with an address at Truman Management, acquired an interest from the entity Sutter Houses Holdco LLC valued at $14.7M for 39-unit residential walkup building (C1) at 701 Ralph Avenue in Brownsville, Brooklyn, 39-unit residential walkup building (C1) at 29 Sutter Avenue in Brownsville, Brooklyn, and 25-unit residential walkup building (C1) at 32 Sutter Avenue in Brownsville, Brooklyn.
This is an entity level sale with full taxes paid, it is not a deed transfer. It is unclear who the beneficial owner-seller is, as the company was only created a few months before the sale. The fee owner entity, Sutter Houses Associates LP, has been located at the offices of Essex Plaza Management Associates. The late real estate developer Sydney Engel acquired the property in the 1980s.
The deal closed on April 15, 2024 and was recorded on April 16, 2024. The five properties have 98,000 square feet of built space and 6,072 square feet of additional air rights according to a PincusCo analysis of city data. The sale price per built square foot is $150 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.)

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 701 Ralph Avenue.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Truman Management had purchased any other properties and has no record it sold any properties over the past 24 months.
Essex Plaza Management Associates had not purchased any other properties and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes Michael Weiss, head officer and Charles Perez, officer. The business entity is Sutter Houses Assoc. Out of the five properties, one with a total of 98,000 square feet of built space generated revenue of $525,841 per year.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties for the past 24 months. In addition, according to city public data, the properties have received five housing violations, $2,895 in OATH penalties, and one housing litigation 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 the tax block of 701 Ralph Avenue, PincusCo has identified the owners of three of the nine commercial properties representing 61,248 square feet of the 197,839 square feet. The largest owner is Urbane, followed by Joseph Benjamin and then Garey V. Ellis.
There are no active new building construction projects on this tax block.

The majority, or 50 percent of the 197,839 square feet of built space are walkup buildings, with industrial buildings next occupying 25 percent of the space.

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