Carlyle Group pays $2.6M to Z+G Property Group for 3-family in Bushwick

Carlyle Group through the entity Brooklyn Townhouse Property Owner, L.L.C. paid $2.6 million to Z+G Property Group through the entity ZG 277 Woodbine LLC for the three-unit building (C0) at 277 Woodbine Street in Bushwick, Brooklyn.
The deal closed on May 2, 2023 and was recorded on May 8, 2023. The property has 3,120 square feet of built space and 1,740 square feet of additional air rights for a total buildable of 4,860 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $832 and the price per buildable square foot is $534 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 July 25, 2022, for $1.2 million. The signatory for Z+G Property Group was Jason Greenberg. The signatory for Carlyle Group was Carter Martin. Under the signature line for the buyer is the name Jason Hart, who is an executive with Carlyle Group, but the name is struck with a line and signed by attorney Carter Martin, who signs for Carlyle’s small residential properties.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Carlyle Group purchased 153 properties in 135 transactions for a total of $847.9 million and sold one property in one transaction for a total of $4 million over the past 24 months.
The seller Z+G Property Group purchased two properties in two transactions for a total of $8.3 million and sold one property in one transaction for a total of $9.5 million over the same time period. The former owner according to the Department of Housing Preservation and Development is David Cohen, head officer. The business entity is ZG 277 Woodbine Llc.

The property

The 1-4 family building with 3 residential units in Bushwick has 3,120 square feet of built space and 1,740 square feet of additional air rights for a total buildable of 4,860 square feet according to a PincusCo analysis of city data. The parcel has frontage of 20 feet and is 100 feet deep with a total lot size of 2,000 square feet. The zoning is R6 which allows for up to 2.43 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $884,000.

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 received $660 in OATH penalties 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 two of the seven commercial properties representing 12,623 square feet of the 28,635 square feet. The two identified owners are Linda Vera-Benitez and All Year Management.
There are no active new building construction projects on this tax block.

The majority, or 49 percent of the 28,635 square feet of built space are mixed-use buildings, with walkup buildings next occupying 39 percent of the space.

The seller

The PincusCo database currently indicates that Z+G Property Group owned at least three commercial properties with 20 residential units in New York City with 24,600 square feet and a city-determined market value of $5.7 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 58 percent of the 24,600 square feet of built space are walkup properties, with mixed-use properties next occupying 42 percent of the space. They are all located in Brooklyn.

The buyer

The PincusCo database currently indicates that Carlyle Group owned at least 207 commercial properties with 2,272 residential units in New York City with 2,699,029 square feet and a city-determined market value of $686.3 million. (Market value is typically about 50% of actual value.) The portfolio has $1.1 billion in debt, with top three lenders as Invesco Real Estate, Invesco, and Santander Bank respectively. Within the portfolio, the bulk, or 55 percent of the 2,699,029 square feet of built space are elevator properties, with walkup properties next occupying 14 percent of the space. The bulk, or 36 percent of the built space, is in Brooklyn, with Queens next at 33 percent of the space.

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