City Urban Realty pays $8.2M for mixed-use in Williamsburg

City Urban Realty through the entity 143 Berry Holdings LLC paid $8.2 million to Dai Park through the entity JP Corban LLC for the six-unit mixed-use building (S5) at 143 Berry Street in Williamsburg, Brooklyn.
The deal closed on November 2, 2023 and was recorded on November 14, 2023. The property has 5,050 square feet of built space and 51 square feet of additional air rights for a total buildable of 5,109 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $1,633 and the price per buildable square foot is $1,614 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 Dai Park was Jason S. Park. The signatory for City Urban Realty was Michael Alvandi. The contract date was July 18, 2023. The prior owners Dai Y. Park and Jung S. Park transferred ownership in 2015 for no consideration to the seller entity which with Dai Y. Park as signatory at the time.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer City Urban Realty purchased three properties in three transactions for a total of $20.1 million and has no record it sold any properties over the past 24 months.
The seller Dai Park had not purchased any other properties and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes Dai Park, head officer and Jason Park, officer. The business entity is Jp Corban Llc.

The property

The mixed-use building with 6 residential units in Williamsburg has 5,050 square feet of built space and 51 square feet of additional air rights for a total buildable of 5,109 square feet according to a PincusCo analysis of city data. The parcel has frontage of 25 feet and is 67 feet deep with a total lot size of 1,703 square feet. The zoning is M1-2/R6A which allows for up to 2 times floor area ratio (FAR) for manufacturing and up to 3 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.9 million.

Violations and lawsuits

The property was involved in one lawsuit and zero bankruptcies over the past two years. The suit was a $1.9 million judgment concerning a specific performance filed on June 29, 2023, by City Urban Realty against Dai Y. Park and Jung S. Park. In addition, according to city public data, the property has received one housing violation 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 Williamsburg, The bulk, or 39 percent of the 50.4 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 25 percent of the space. In sales, Williamsburg has the 3rd highest sale turnover among other neighborhoods in the city with $2.7 billion in sales volume in the last two years. For development, Williamsburg is the 9th most active neighborhood among other neighborhoods. It had 4.2 million square feet of commercial and multi-family construction under development in the last two years, which represents 8 percent of the neighborhood’s built space. There were five pre-foreclosure suit filed among other mixed-use buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of five of the 15 commercial properties representing 65,217 square feet of the 115,370 square feet. The largest owner is Simon Schischa, followed by Robert Li and then L3 Capital.
On the tax block, there were two new building construction projects totaling 30,093 square feet. The largest is a 16,750 square-foot mercantile (M) building submitted by L3 Capital and filed by Domenic Lanni with plans filed August 23, 2021 and it has not been permitted yet. The second largest is a 12-unit, 13,343 square-foot residential (R-2) building submitted by Jerry Lebedowicz with plans filed February 26, 2008 and permitted July 8, 2022.

The majority, or 41 percent of the 115,370 square feet of built space are elevator buildings, with mixed-use buildings next occupying 33 percent of the space.

The buyer

The PincusCo database currently indicates that City Urban Realty owned at least seven commercial properties with 82 residential units in New York City with 64,226 square feet and a city-determined market value of $12.4 million. (Market value is typically about 50% of actual value.) The portfolio has $36.1 million in debt, borrowed from Calmwater Capital and Signature Bank. Within the portfolio, the bulk, or 87 percent of the 64,226 square feet of built space are walkup properties, with mixed-use properties next occupying 13 percent of the space. The bulk, or 75 percent of the built space, is in Brooklyn, with Manhattan next at 25 percent of the space.

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