Cammeby’s signs $55M renovation loan for two retail condos in Coney Island
Cammeby’s International Group through the entity 532 Neptune Commercial LLC as borrower signed a rehab construction loan with lender Valley National Bank valued at $55 million for two retail condominium units at 532 Neptune Avenue in Coney Island, Brooklyn.
The deal closed on June 29, 2023 and was recorded on October 13, 2023. The two properties have 165,274 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $332 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 Cammeby’s International Group was Avi Schron.
The property
The retail condos in Coney Island have 165,274 square feet of built space according to a PincusCo analysis of city data. The parcel has a total lot size of 80,620 square feet. The city-designated market value for the property in 2022 is $18.4 million. The most recent loan totaled $30 million and was provided by Valley National Bank on June 29, 2023.
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 not received any significant violations in the last year.
Development
For the tax lot buildings, one out of the two buildings received a initial certificate of occupancy in the last ten years. 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 Coney Island, The majority, or 68 percent of the 14.4 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 10 percent of the space. In sales, Coney Island has near average sales volume among other neighborhoods with $327.4 million in sales volume in the last two years and is the 25th highest in Brooklyn. For development, Coney Island has 1.2 times the average amount of major developments relative to other neighborhoods and is the 15th highest in Brooklyn. It had 1.2 million square feet of commercial and multi-family construction under development in the last two years, which represents 8 percent of the neighborhood’s built space.
The block
On the tax block, there were two new building construction projects totaling 707,105 square feet. The largest is a 576-unit, 706,085 square-foot residential (R-2) building submitted by Cammeby’s International Group and filed by Avi Schron with plans filed January 16, 2015 and permitted June 9, 2015. The second largest is a one-unit, 1,020 square-foot residential (R-3) building submitted by Igor Oberman with plans filed May 31, 2012 and permitted August 17, 2015.
The borrower
The PincusCo database currently indicates that Cammeby’s International Group owned at least 119 commercial properties with 16,258 residential units in New York City with 16,005,466 square feet and a city-determined market value of $1.9 billion. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 68 percent of the 16,005,466 square feet of built space are elevator properties, with walkup properties next occupying 23 percent of the space. The bulk, or 55 percent of the built space, is in Queens, with Brooklyn next at 30 percent of the space.
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