Criterion Group pays Sam Farkas $14M for industrial in Mariners Harbor, contract from 2021

Shibber Khan’s Criterion Group through the entity 60-80 Davidson Staten, LLC paid Sam Farkas through the entity 60 Davidson CS LLC (and others), $14 million for the industrial building (E1) at 60 Davidson Street, and the adjacent industrial building (E1) at 82 Davidson Street, both in Mariners Harbor, Staten Island.
The deal closed on June 18, 2024 and was recorded on July 9, 2024. The two properties have 72,247 square feet of built space and 462,486 square feet of additional air rights for a total buildable of 534,496 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $193 and the price per buildable square foot is $26 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 Criterion Group was Shibber A. Khan. The contract date was September 10, 2021. The sale was litigated in Staten Island state court under index number 151198/2023.

The Farkas family owns the kosher dairy Mehadrin Dairy.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Criterion Group purchased four properties in two transactions for a total of $42 million and sold one property in one transaction for a total of $17.5 million over the past 24 months.
The seller Sam Farkas had not purchased any other properties and had not sold any properties over the same time period.

The property

The industrial building in Mariners Harbor has 72,247 square feet of built space and 462,486 square feet of additional air rights for a total buildable of 534,496 square feet according to a PincusCo analysis of city data. The parcel has frontage of 270 feet and is 516 feet deep with a total lot size of 116,999 square feet. The lot is irregular. The zoning is M2-1 which allows for up to 2 times floor area ratio (FAR) for manufacturing. The city-designated market value for the property in 2022 is $2.1 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties for the past 24 months. In addition, according to city public data, the properties have not received any significant violations 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 block

There are no active new building construction projects on this tax block.

The majority, or 100 percent of the 91,427 square feet of built space are industrial buildings, with development buildings next occupying 0 percent of the space.

The seller

The PincusCo database currently indicates that Sam Farkas owned at least nine commercial properties with 347 residential units in New York City with 356,343 square feet and a city-determined market value of $16.1 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 75 percent of the 356,343 square feet of built space are elevator properties, with walkup properties next occupying 25 percent of the space. The bulk, or 94 percent of the built space, is in Brooklyn, with Manhattan next at 6 percent of the space.

The buyer

The PincusCo database currently indicates that Criterion Group owned at least eight commercial properties in New York City with 300,121 square feet and a city-determined market value of $8.3 million. (Market value is typically about 50% of actual value.) The portfolio has $84.7 million in debt, with top three lenders as New York Community Bank, Flagstar Bank, and Stephanie Messing respectively. Within the portfolio, the bulk, or 83 percent of the 300,121 square feet of built space are E7 properties, with industrial properties next occupying 17 percent of the space. The bulk, or 85 percent of the built space, is in Queens, with Bronx next at 15 percent of the space.

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