Clipper Equity adds to Crown Heights assemblage, obtains $30M loan

Clipper Equity pays $4.7M to Harry Einhorn for two industrial buildings in Crown Heights, to add to a three parcel assemblage, and at the same time obtained a $30 million loan.

Clipper Equity through the entity Dean Owner LLC paid $4.7 million to Harry Einhorn through the entity 643 Classon LLC for industrial building at 643 Classon Avenue in Crown Heights, Brooklyn and industrial building at 953 Dean Street in Crown Heights, Brooklyn.

Clipper Realty through the entity Dean Owner LLC as borrower signed an acquisition loan with lender Bank Leumi valued at $30 million for three industrial buildings including the industrial building at 643 Classon Avenue in Crown Heights, Brooklyn, industrial building at 953 Dean Street in Crown Heights, Brooklyn, and industrial building at 1050 Pacific Street in Crown Heights, Brooklyn. The deal closed on December 22, 2021 and was recorded on January 12, 2022.

The two newly purchased properties have 6,218 square feet of built space and 19,374 square feet of additional air rights for a total buildable of 25,604 square feet according to PincusCo analysis of city data. The sale price per built square foot is $760 and the price per buildable square foot is $184 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 Harry Einhorn was Boris Saks. The signatory for Clipper Equity was David Bistricer.
Prior to this transaction, the buyer Clipper Equity purchased one properties in one transactions for a total of $26 million, which was the other parcel in this loan, and had not sold any properties over the past 24 months.
The seller Harry Einhorn had not purchased any other properties and had not sold any properties over the same time period.
The two properties with a total of 6,218 square feet of built space generated revenue of $83,998 per year or $14 per square foot. The sale price per square foot was $761.

(340760108) Plans for a 42-unit, 29,310 square-foot R-2 were filed on August 27, 2020.
David Bistricer is the founder of Clipper Equity. Harry Einhorn signed as the seller LLC on the previous deed.

In Crown Heights, the majority, or 27 percent of the 66.4 million square feet of built space are residential elevator buildings, with residential walkup buildings next occupying 27 percent of the space. In sales, Crown Heights has 1.2 times the average sales volume in the city with $336.3 million in sales volume in the last two years and is the 11th highest in Brooklyn. For development, Crown Heights has 1.7 times the average amount of major developments relative to other neighborhoods and is the 12th highest in Brooklyn. It had 1.6 million square feet of commercial construction under development in the last two years, which represents 2 percent of the neighborhood’s built space.
On the tax block, the majority, or 28 percent of the 156,496 square feet of built space are 1-4 family buildings, with office buildings next occupying 23 percent of the space.
Within a 400-foot radius of 643 Classon Avenue, PincusCo identified seven commercial real estate items of interests occurred over the past 24 months.
Of those seven items, one was for major renovation including a certificate of occupancy change. It was a permit issued on August 17, 2021 for the $1.7 million renovation of 26,606-square-foot B building with no residential units at 964 Dean St.
Of those seven items, two were sales above $5 million totaling $48.1 million. The most recent of the two was Clipper Equity which bought the 0-square-foot industrial (G7) on PACIFIC Street for $26 million from Harry Daskal on January 4, 2022.
Of those seven items, four were loans above $5 million totaling $66.5 million. The most recent of the four was Black Spruce Management which borrowed $21 million from Sterling National Bank secured by the 6,500-square-foot, eight-unit rental (C1) on 1063 Pacific Street and 13 other properties on November 12, 2021.

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