Church pays $4M for two commercial properties in Flatbush

The National Organization of the New Apostolic Church of North America paid $4 million to Steve Harooni through the entity Beverley Property LLC for the office building (O7) at 2146 Beverley Road and the mixed-use building (K4) at 2150 Beverley Road in Flatbush, Brooklyn.
The deal closed on January 17, 2023 and was recorded on January 25, 2023. The two properties have 5,944 square feet of built space and 9,193 square feet of additional air rights for a total buildable of 15,152 square feet according to PincusCo analysis of city data. The sale price per built square foot is $672 and the price per buildable square foot is $263 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 Steve Harooni was Steve Harooni. The signatory for National Organization of the New Apostolic Church of North America was Randolph M. Bauer.

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 2146 Beverley Road.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer National Organization of the New Apostolic Church of North America had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Steve Harooni had not purchased any other properties and had not sold any properties over the same time period. The two properties with a total of 5,944 square feet of built space generated revenue of $217,242 per year or $37 per square foot. The sale price per square foot was $673.

The property

The 2146 Beverley Road parcel has frontage of 44 feet and is 99 feet deep with a total lot size of 5,926 square feet. The lot is irregular. The zoning is R6B which allows for up to 2 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $528,000.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have received $300 in OATH penalties in the last year.

Development

For the tax lot buildings, one out of the two buildings received a initial certificate of occupancy in the last ten years. There are no active new building construction projects or major alteration projects with initial costs more than $5 million on this tax lot.

The neighborhood

In Flatbush, the majority, or 55 percent of the 37.9 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 21 percent of the space. In sales, Flatbush has near average sales volume among other neighborhoods with $373.6 million in sales volume in the last two years and is the 17th highest in Brooklyn. For development, Flatbush has near average amount of major developments among other neighborhoods and is the 16th highest in Brooklyn. It had 1.2 million square feet of commercial and multi-family construction under development in the last two years, which represents 3 percent of the neighborhood’s built space.

The block

On the tax block of 2146 Beverley Road, PincusCo has identified the owners of four of the 29 commercial properties representing 55,203 square feet of the 203,825 square feet. The two identified owners are Brookdale Hospital Medical Center and Atkins & Breskin.
There are no active new building construction projects on this tax block.

The majority, or 39 percent of the 203,825 square feet of built space are mixed-use buildings, with walkup buildings next occupying 32 percent of the space.

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