Carlyle pays $4.98M to Icon for 5-unit walkup in Williamsburg

Carlyle Group through the entity Townhouse Rental II, L.L.C. paid $4.98 million to Icon Realty Management through the entity 413 South 5 Realty Associates LLC for the five-unit residential walkup building (C2) at 413 South 5th Street in Williamsburg, Brooklyn.
The deal closed on September 8, 2023 and was recorded on September 15, 2023. The property has 4,043 square feet of built space and 1,264 square feet of additional air rights for a total buildable of 5,299 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $1,232 and the price per buildable square foot is $940 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 April 28, 2015, for $2 million. The signatory for Icon Realty Management was Terrence Lowenberg. The signatory for Carlyle Group was Carter Martin. The contract date was September 8, 2023.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Carlyle Group purchased 182 properties in 164 transactions for a total of $1.1 billion and sold one property in one transaction for a total of $4 million over the past 24 months.
The seller Icon Realty Management purchased one property in one transaction for a total of $4.8 million and sold four properties in four transactions for a total of $63.2 million over the same time period. The former owners according to the Department of Housing Preservation and Development includes Terrence Lowenberg, head officer and Todd Cohen, officer. The business entity is 413 South 5 Realty Associates LLC.

The property

The residential walkup building with 5 residential units in Williamsburg has 4,043 square feet of built space and 1,264 square feet of additional air rights for a total buildable of 5,299 square feet according to a PincusCo analysis of city data. The parcel has frontage of 24 feet and is 89 feet deep with a total lot size of 2,181 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 for the past 24 months. 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 $1 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of seven of the 15 commercial properties representing 56,691 square feet of the 103,579 square feet. The largest owner is Sam Wasser, followed by Robert Shull and then Jacob Hager.
There are no active new building construction projects on this tax block.

The majority, or 93 percent of the 103,579 square feet of built space are walkup buildings, with mixed-use buildings next occupying 4 percent of the space.

The seller

The PincusCo database currently indicates that Icon Realty Management owned at least 99 commercial properties with 1,420 residential units in New York City with 1,111,733 square feet and a city-determined market value of $411.2 million. (Market value is typically about 50% of actual value.) The portfolio has $294.3 million in debt, with top three lenders as Signature Bank, BCB Community Bank, and New York Community Bank respectively. Within the portfolio, the bulk, or 64 percent of the 1,111,733 square feet of built space are walkup properties, with elevator properties next occupying 14 percent of the space. The bulk, or 87 percent of the built space, is in Manhattan, with Brooklyn next at 13 percent of the space.

The buyer

The PincusCo database currently indicates that Carlyle Group owned at least 244 commercial properties with 2,399 residential units in New York City with 2,774,030 square feet and a city-determined market value of $731 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 53 percent of the 2,774,030 square feet of built space are elevator properties, with walkup properties next occupying 15 percent of the space. The bulk, or 40 percent of the built space, is in Brooklyn, with Queens next at 30 percent of the space.

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