Daniel Garcia pays $5.7M for industrial in Mott Haven

Daniel R. Garcia through the entity 909 E. 135th St. LLC paid $5.7 million to Errol Bier through the entity Rugus Realty Inc. for industrial building at 909 East 135th Street in Mott Haven, Bronx.
The deal closed on March 24, 2022 and was recorded on April 4, 2022. The property has 17,675 square feet of built space and 17,747 square feet of additional air rights for a total buildable of 35,494 square feet according to PincusCo analysis of city data. The sale price per built square foot is $322 and the price per buildable square foot is $160 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 Errol Bier was Errol Bier. The signatory for Daniel R. Garcia was Daniel R. Garcia.

Prior sales and revenue

Prior to this transaction, Pincusco has no record that the buyer Daniel R. Garcia had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Errol Bier had not purchased any other properties and had not sold any properties over the same time period. The 17,675-square-foot property generated revenue of $196,694 or $11 per square foot, according to the most recent income and expense figures.

The property

The 909 East 135th Street parcel has frontage of 101 feet and is 175 feet deep with a total lot size of 17,747 square feet. The zoning is M3-1 which allows for up to 2 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $959,000.

Violations and lawsuits

The property was not involved in any lawsuits or bankruptcies in the past years. In addition, according to city public data, the property has 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 $5 million on this tax lot.

The neighborhood

In Mott Haven, the bulk, or 38 percent of the 43.4 million square feet of commercial built space are residential elevator buildings, with industrial buildings next occupying 23 percent of the space. In sales, Mott Haven has 2.7 times the average sales volume among other neighborhoods with $744 million in sales volume in the last two years and is the highest in Bronx. For development, Mott Haven is the 7th most active neighborhood among other neighborhoods. It had 4.3 million square feet of commercial and multi-family construction under development in the last two years, which represents 10 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of one of the five commercial properties representing 17,745 square feet of the 199,000 square feet. The identified owner is Royal Waste Services. There are no active new building construction projects on this tax block.

The majority, or 77 percent of the 199,000 square feet of built space are industrial buildings, with mixed-use buildings next occupying 14 percent of the space.

Surrounding

Within a 400-foot radius of 909 East 135th Street, PincusCo identified two commercial real estate items of interests occurred over the past 24 months.
One of those two items was a sale which Realterm bought the industrial (G7) lot on Ross Feiss Boulevard and two other properties for $37.8 million from Parallel Products on May 26, 2021.
One of those two items was a loan which Royal Waste Services borrowed $6 million from Valley National Bank secured by the 17,745-square-foot, one-unit industrial (Z9) on 891 East 135th Street on December 30, 2021.

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