Cedar Group pays $6.4M for industrial in Sunset Park

Cedar Group through the entity 255 47 Street LLC paid $6.4 million to Ramallah Trading Co. through the entity Bklyn 255 Realty, LLC for the industrial building (E1) at 255 47th Street in Sunset Park, Brooklyn. The expected use is cash flowing.
The deal closed on October 31, 2024 and was recorded on November 13, 2024. The property has 18,000 square feet of built space and 2,003 square feet of additional air rights for a total buildable of 20,034 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $355 and the price per buildable square foot is $319 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 Ramallah Trading Co. was James Bateh, Essa Bateh, and Robert Bateh. The signatory for Cedar Group was Nouri Shaaya. The contract date was May 6, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Cedar Group had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Ramallah Trading Co. had not purchased any other properties and had not sold any properties over the same time period.

The property

The industrial building in Sunset Park has 18,000 square feet of built space and 2,003 square feet of additional air rights for a total buildable of 20,034 square feet according to a PincusCo analysis of city data. The parcel has frontage of 100 feet and is 100 feet deep with a total lot size of 10,017 square feet. The zoning is M1-2D which allows for up to 2 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $1.6 million.

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 $25 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 neighborhood

In Sunset Park, The bulk, or 30 percent of the 35 million square feet of commercial built space are industrial buildings, with specialty buildings next occupying 26 percent of the space. In sales, Sunset Park has 1.6 times the average sales volume among other neighborhoods with $401.6 million in sales volume in the last two years and is the 16th highest in Brooklyn. For development, Sunset Park has had very little major development activity relative to other neighborhoods.It had -26,700 square feet of commercial and multi-family construction under development in the last two years, which represents -0.08 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of three of the 18 commercial properties representing 14,700 square feet of the 193,951 square feet. The largest owner is New York City School Construction Authority, followed by Lily Lum and then Nathan Yanovitch.
On the tax block, there was one new building construction project filed totaling 46,264 square feet. It is a 46,264 square-foot educational (E) building submitted by NYC School Construction Authority and filed by Elan Abneri with plans filed May 6, 2020 and it has not been permitted yet.

The majority, or 63 percent of the 193,951 square feet of built space are industrial buildings, with mixed-use buildings next occupying 25 percent of the space.

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