Camber, Settlement Housing pay $25.4M to K&R Preservation for residential elevator in West Farms

Camber Property Group and Settlement Housing Fund through the entity Trinity Apartments Housing Development Fund Corp paid $25.4 million to K&R Preservation through the entity Trinity Preservation Housing Development Fund Corp for the 75-unit residential elevator building (D7) at 2105 Daly Avenue in West Farms, Bronx.
The deal closed on December 29, 2022 and was recorded on January 5, 2023. The property has 73,824 square feet of built space and 3,367 square feet of additional air rights for a total buildable of 77,228 square feet according to PincusCo analysis of city data. The sale price per built square foot is $344 and the price per buildable square foot is $328 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 seller bought the property on June 29, 2011, for $9.8 million. The signatory for K&R Preservation was Brian Raddock. The signatory for Camber Property Group and Settlement Housing Fund was Rick Gropper and Fazeela Siddiqui.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Camber Property Group purchased 14 properties in eight transactions for a total of $249.5 million and has no record it sold any properties over the past 24 months.
The seller K&R Preservation 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 Scott Jaffee, head officer and Melania Cinque, officer. The business entity is Trinity Preservation. The 73,824-square-foot property generated revenue of $2 million or $27 per square foot, according to the most recent income and expense figures.

The property

The 2105 Daly Avenue parcel has frontage of 185 feet and is 100 feet deep with a total lot size of 22,450 square feet. The lot is irregular. The zoning is R7-1 which allows for up to 3.44 times floor area ratio (FAR) for residential. The property has a J-51 exemption that started in 2012 and expires in 2026. The city-designated market value for the property in 2022 is $7.1 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property since September of 2020. 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 $5 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of nine of the 15 commercial properties representing 164,713 square feet of the 249,752 square feet. The largest owner is Metropolitan Realty Group, followed by Martin Joseph and then Hershy Silberstein.
On the tax block, there was one new building construction project filed totaling 42,926 square feet. It is a 69-unit, 42,926-square-foot R-2 building developed by Hershy Silberstein with plans filed July 9, 2021 and permitted April 14, 2022.

The majority, or 65 percent of the 249,752 square feet of built space are elevator buildings, with walkup buildings next occupying 35 percent of the space.

The buyer

The PincusCo database currently indicates that Camber Property Group owned at least 69 commercial properties in New York City with 4,937,334 square feet and a city-determined market value of $331.4 million. (Market value is typically about 50% of actual value.) The portfolio has $729 million in debt, with top three lenders as Merchants Bank of Indiana, NYC Housing Development Corporation, and Citibank respectively. Within the portfolio, the bulk, or 74 percent of the 4,937,334 square feet of built space are elevator properties, with development properties next occupying 21 percent of the space. The bulk, or 78 percent of the built space, is in Bronx, with Brooklyn next at 16 percent of the space.
The PincusCo database currently indicates that Settlement Housing Fund owned at least 23 commercial properties in New York City with 1,636,869 square feet and a city-determined market value of $82.4 million. (Market value is typically about 50% of actual value.) The portfolio has $351.9 million in debt, with top three lenders as NYC Housing Development Corporation, Community Preservation Corporation, and UMB Bank respectively. Within the portfolio, the bulk, or 38 percent of the 1,636,869 square feet of built space are elevator properties, with D4 properties next occupying 30 percent of the space. The bulk, or 43 percent of the built space, is in Queens, with Bronx next at 30 percent of the space.

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