Carlyle Group pays $3.8M for 6-unit walkup in Bushwick

Carlyle Group through the entity Townhouse Rental II, L.L.C paid $3.8 million to Yoram Hakim through the entity 339 Group LLC for the six-unit residential walkup building (C2) at 339 Cornelia Street in Bushwick, Brooklyn.
The deal closed on March 15, 2023 and was recorded on March 21, 2023. The property has 4,299 square feet of built space and 560 square feet of additional air rights for a total buildable of 4,860 square feet according to PincusCo analysis of city data. The sale price per built square foot is $883 and the price per buildable square foot is $781 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 November 13, 2018, for $925,000. The signatory for Yoram Hakim was Yoram Hakim. The signatory for Carlyle Group was Carter Martin.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Carlyle Group purchased 144 properties in 126 transactions for a total of $768.5 million and sold one properties in one transactions for a total of $4 million over the past 24 months.
The seller Yoram Hakim had not purchased any other properties and had not sold any properties over the same time period.

The property

The 339 Cornelia Street 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 $731,000.

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

For the tax lot building, it received an initial certificate of occupancy on October 25, 2022. 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 14 of the 26 commercial properties representing 73,447 square feet of the 126,349 square feet. The largest owner is Paul W. Henry, followed by Oren Hakim and then Moses Pollak.
There are no active new building construction projects on this tax block.

The majority, or 78 percent of the 126,349 square feet of built space are walkup buildings, with mixed-use buildings next occupying 22 percent of the space.

The buyer

The PincusCo database currently indicates that Carlyle Group owned at least 194 commercial properties in New York City with 2,319,536 square feet and a city-determined market value of $555.7 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 2,319,536 square feet of built space are elevator properties, with walkup properties next occupying 13 percent of the space. The bulk, or 41 percent of the built space, is in Brooklyn, with Queens next at 39 percent of the space.

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