Chun Y. Lee pays $4.8M for mixed-use in Alphabet City

Chun Y. Lee through the entity AAJ Ave A LLC paid $4.8 million to Kit Lam through the entity Lamng Corp for the mixed-use building (K4) at 34 Avenue A in Alphabet City, Manhattan. The expected use is cash flowing.
The deal closed on July 31, 2024 and was recorded on August 2, 2024. The property has 6,248 square feet of built space and 434 square feet of additional air rights for a total buildable of 6,688 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $768 and the price per buildable square foot is $717 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 October 22, 2008, for $4 million. The signatory for Kit Lam was Kit Lam. The signatory for Chun Y. Lee was Chun Y. Lee. The contract date was February 26, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Chun Y. Lee had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Kit Lam had not purchased any other properties and had not sold any properties over the same time period.

The property

The mixed-use building with 1 residential units in Alphabet City has 6,248 square feet of built space and 434 square feet of additional air rights for a total buildable of 6,688 square feet according to a PincusCo analysis of city data. The parcel has frontage of 22 feet and is 76 feet deep with a total lot size of 1,672 square feet. The zoning is R7A which allows for up to 4 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.4 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 $1,280 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 Alphabet City, The majority, or 56 percent of the 13 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 32 percent of the space. In sales, Alphabet City has 1.4 times the average sales volume among other neighborhoods with $364.6 million in sales volume in the last two years and is the 21st highest in Manhattan. For development, Alphabet City has had very little major development activity relative to other neighborhoods.It had 225,820 square feet of commercial and multi-family construction under development in the last two years, which represents 2 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of 11 of the 21 commercial properties representing 232,052 square feet of the 362,982 square feet. The largest owner is Abj Properties, followed by Adam Daniels and then Benchmark Real Estate Group.
There are no active new building construction projects on this tax block.

The majority, or 43 percent of the 362,982 square feet of built space are walkup buildings, with elevator buildings next occupying 42 percent of the space.

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