Dalan Real Estate acquires formerly bankrupt mixed-use in Tribeca in $19.6M transfer

Dalan Real Estate, the note holder, through the entity 175 Franklin Holder LLC acquired control from Bahram Benaresh through the entity Dc Franklin Lender LLC valued at $19.6M for five-unit mixed-use building (S5) at 175 Franklin Street in Tribeca, Manhattan.

The deal closed on December 3, 2025 and was recorded on March 11, 2026. The property has 12,300 square feet of built space and 875 square feet of additional air rights for a total buildable of 13,171 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $1,592 and the price per buildable square foot is $1,487 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.)
Dalan Real Estate bought the loan with an original principal of $11.2 million from G4 Capital partners in October 2024. A UCC foreclosure auction was scheduled for December 17, 2024, but that was halted after Bahram Benaresh filed for bankruptcy. The bankruptcy, 24-12341 was filed in December 2024 to halt the UCC foreclosure auction.. The bankruptcy filing was dismissed April 9, 2025. At that time the total liabilities were $13,632,467, according to a bankruptcy filing.

Prior sales, articles and revenue

Prior to this transaction, PincusCo has records that the buyer Dalan Real Estate purchased one property in one transaction for a total of $235.4 million and sold six properties in four transactions for a total of $276.2 million over the past 24 months.
The seller Bahram Benaresh had not purchased any other properties and had not sold any properties over the same time period.

The property

The mixed-use building with 5 residential units in Tribeca has 12,300 square feet of built space and 875 square feet of additional air rights for a total buildable of 13,171 square feet according to a PincusCo analysis of city data. The parcel has frontage of 25 feet and is 88 feet deep with a total lot size of 2,188 square feet. The zoning is C6-2A which allows for up to 6 times floor area ratio (FAR) for commercial and up to 6.02 times FAR for residential with inclusionary housing. The property is in the Tribeca West Historic District. The city-designated market value for the property in 2022 is $3.7 million.

Violations and lawsuits

The property was involved in zero lawsuits and one bankruptcy over the past two years. The bankruptcy was filed on December 16, 2024, by Bahram Benaresh citing assets of $45 million. In addition, according to city public data, the property has received $600 in OATH penalties in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on April 13, 2018. 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 Tribeca, The bulk, or 47 percent of the 15.3 million square feet of commercial built space are office buildings, with elevator buildings next occupying 28 percent of the space. In sales, Tribeca has 1.5 times the average sales volume among other neighborhoods with $496.1 million in sales volume in the last two years and is the 22nd highest in Manhattan. For development, Tribeca has 1.7 times the average amount of major developments relative to other neighborhoods and is the 14th highest in Manhattan. It had 2.6 million square feet of commercial and multi-family construction under development in the last two years, which represents 17 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of two of the 12 commercial properties representing 24,400 square feet of the 114,416 square feet. The two identified owners are 177 Franklin Street and Bahram Benaresh.
There are no active new building construction projects on this tax block.

The majority, or 42 percent of the 114,416 square feet of built space are office buildings, with mixed-use buildings next occupying 35 percent of the space.

The seller

The PincusCo database currently indicates that Bahram Benaresh owned at least three commercial properties with 51 residential units in New York City with 49,718 square feet and a city-determined market value of $6.8 million. (Market value is typically about 50% of actual value.) The portfolio has $27.6 million in debt, with top three lenders as Cathay Bank, G4 Capital Partners, and Dalan Real Estate respectively. Within the portfolio, the bulk, or 69 percent of the 49,718 square feet of built space are walkup properties, with mixed-use properties next occupying 31 percent of the space. They are all located in Manhattan.

The buyer

The PincusCo database currently indicates that Dalan Real Estate owned at least 39 commercial properties with 1,341 residential units in New York City with 1,278,859 square feet and a city-determined market value of $334.8 million. (Market value is typically about 50% of actual value.) The portfolio has $92.8 million in debt, with top three lenders as Infinity Capital Partners, Citizens Bank, and RWN Real Estate Partners respectively. Within the portfolio, the bulk, or 73 percent of the 1,278,859 square feet of built space are elevator properties, with walkup properties next occupying 19 percent of the space. The bulk, or 51 percent of the built space, is in Brooklyn, with Manhattan next at 49 percent of the space.

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