Capital One sells two loans totaling $29.15M secured by Robert Gilardian’s buildings
Capital One has sold two notes totaling $29.15 million secured by Robert Gilardian’s midblock 80-unit residential elevator building at 241-249 West 51st Street in Midtown West and 12-unit residential walkup building at 446 East 77th Street in Lenox Hill.
According to public records, both loans were bought by West 51 St Street Funding LLC, the owner of which is unclear. Robert Gilardian could not immediately be reached by PincusCo.
The deals closed on April 13, 2022 and were recorded on May 2, 2022. Matthew Brower signed for Capital One on the mortgage assignment documents.
The 241/249 West 51st Street property had a $23.0 million mortgage from Capital One before the debt sale while the 446 East 77th Street property had $6.15 million of debt against it.
Capital One sold a portfolio of commercial loans in New York City to PIMCO totaling at least $1.3 billion, according to an accounting by PincusCo.
The 241/249 West 51st Street property has 48,368 square feet of built space and 34,461 square feet of additional air rights for a total buildable of 82,840 square feet according to PincusCo analysis of city data. The 446 East 77th Street property has 9,500 square feet of built space and 11,246 square feet of additional air rights for a total buildable of 20,750 square feet.
Because multiple properties have been transacted, the following information pertains to the property with the highest loan which in this case is 241/249 West 51st Street.
Prior sales and revenue
The owners according to the Department of Housing Preservation and Development includes Robert Gilardian C/O Aj Clarke, head officer and Ali Lajai, site manager. The business entities are C/O Aj Clarke Re Corp and 245 W 51st Realty Llc C/O Aj Clarke. The 48,368-square-foot property generated revenue of $3.2 million or $65 per square foot, according to the most recent income and expense figures.
The property
The 241/249 West 51st Street parcel has frontage of 82 feet and is 100 feet deep with a total lot size of 8,284 square feet. The zoning is C6-5 which allows for up to 10 times floor area ratio (FAR) for commercial and up to 10 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $15.6 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 received one DOB violation and $100 in OATH penalties in the last year.
Development
For the tax lot building, it received its initial certificate of occupancy on July 18, 2012. There are no active new building construction projects or major alteration projects with initial costs more than $5 million on this tax lot.
The neighborhood
In Midtown West, the majority, or 69 percent of the 82.2 million square feet of commercial built space are office buildings, with hotel buildings next occupying 13 percent of the space. In sales, Midtown West has the 7th highest sale turnover among other neighborhoods in the city with $1.6 billion in sales volume in the last two years. For development, Midtown West is the 3rd most active neighborhood among other neighborhoods. It had 8.5 million square feet of commercial and multi-family construction under development in the last two years, which represents 10 percent of the neighborhood’s built space.
The block
There are no active new building construction projects on this tax block.
The majority, or 68 percent of the 1.2 million square feet of built space are hotel buildings, with residential elevator buildings next occupying 21 percent of the space.
The borrower
The PincusCo database currently indicates that Robert Gilardian owned at least two commercial properties with 100,492 square feet and a city-determined market value of $20.2 million. (Market value is typically about 50% of actual value.) The portfolio has $27.5 million in debt, borrowed from Valley National Bank. Within the portfolio, all identified are residential elevator properties. They are all located in Manhattan.
Surrounding
Within a 400-foot radius of 241/249 West 51st Street, Pincusco identified two commercial real estate items of interests occurred over the past 24 months.
Of those two items, one was for major renovation including a certificate of occupancy change. It was an initial temporary certificate of occupancy issued on December 11, 2020 for the $366,850 renovation of 19,612-square-foot R-2 building with 16 residential units at 302 W 51st St.
One of those two items was a loan which Algin Management borrowed $145.6 million from New York Life Insurance Company secured by the 542,276-square-foot, 428-unit rental (D8) on 242 West 53rd Street on December 23, 2021.
Direct link to Acris document. link
Direct link to Acris document. link