Bungalow Projects pays $3M to O’Connell Organization for small parcel next to Red Hook dev site

Susi Yu and Travis Feehan’s Bungalow Projects through the entity Nym 145 Wolcott, LLC paid $3 million to Greg O’Connell’s O’Connell Organization through the entity Pier 41 Red Hook LLC for the three-unit building (C0) at 198 Conover Street in Red Hook, Brooklyn. The property is adjacent to Bungalow Properties large film and television project. The expected use is ground up development.
The deal closed on October 31, 2024 and was recorded on November 14, 2024. The property has 2,250 square feet of built space and 2,750 square feet of additional air rights for a total buildable of 5,000 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $1,333 and the price per buildable square foot is $599 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 O’Connell Organization was Gregory T. O’Connell. The signatory for Bungalow Projects was Travis Feehan. The contract date was October 31, 2024. This is adjacent to a large three-parcel development site Bungalow Projects bought in April 2024 for $35.1 million, where it plans a film and tv production studio.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Bungalow Projects purchased 15 properties in four transactions for a total of $84.4 million and has no record it sold any properties over the past 24 months.
The seller O’Connell Organization 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 Greg O’Connell, head officer and Gregory O’Connell, officer. The business entity is Pier 41 Associates.

The property

The 1-4 family building with 3 residential units in Red Hook has 2,250 square feet of built space and 2,750 square feet of additional air rights for a total buildable of 5,000 square feet according to a PincusCo analysis of city data. The parcel has frontage of 25 feet and is 100 feet deep with a total lot size of 2,500 square feet. The zoning is M2-1 which allows for up to 2 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $2.1 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

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 four of the eight commercial properties representing 34,965 square feet of the 53,316 square feet. The two identified owners are Hilmi Ulgur Aydin and Bain Capital Real Estate.
On the tax block, there were three new building construction projects totaling 459,225 square feet. The largest is a 210-unit, 300,000 square-foot residential (R-2) building submitted by Draw Brooklyn and filed by Alexandros Washburn with plans filed October 14, 2020 and it has not been permitted yet. The second largest is a 155,069 square-foot 58 building submitted by Bungalow Projects and filed by Susi Yu with plans filed June 27, 2024 and it has not been permitted yet.

The majority, or 61 percent of the 53,316 square feet of built space are industrial buildings, with office buildings next occupying 21 percent of the space.

The seller

The PincusCo database currently indicates that O’Connell Organization owned at least 42 commercial properties with 53 buildings in New York City with 915,000 square feet. The properties are all located in Brooklyn, with most in Red Hook.

The buyer

The PincusCo database currently indicates that Bungalow Projects owned at least 15 commercial properties with 150 residential units in New York City with 223,115 square feet and a city-determined market value of $15.3 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 54 percent of the 223,115 square feet of built space are hotel properties, with mixed-use properties next occupying 30 percent of the space. They are all located in Brooklyn.

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