David Halberstam signs $41.2M refi for newly built 73-unit project in Downtown Brooklyn

David Halberstam through the entity 127 Concord Realty LLC as borrower signed a refi loan with lender Dwight Capital through the entity Dwight Mortgage Trust LLC valued at $41.2 million for the development building (V1) at 127-131 Concord Street in Downtown Brooklyn, Brooklyn.

On the lot, there was a new building construction project for a 73-unit, 48,558 square-foot R-2 building. The project was submitted by Chess Builders
and Cheskel Schwimmer with plans filed February 16, 2022 and permitted November 2, 2022.

The deal closed on December 29, 2023 and was recorded on January 31, 2024. The prior lender was S3 Capital which held debt that had an original loan amount of $36.5 million.

The owner bought the property on May 10, 2022, for $12.8 million. The signatory for David Halberstam was David Halberstam. The signatory for Dwight Capital was Josh Sasouness.

Prior sales and revenue

The 7,650-square-foot property generated revenue of $137,665 or $18 per square foot, according to the most recent income and expense figures.

The property

The parcel has frontage of 50 feet and is 138 feet deep with a total lot size of 6,899 square feet. The zoning is C6-2 which allows for up to 6 times floor area ratio (FAR) for commercial and up to 6.02 times FAR for residential. The city-designated market value for the property in 2022 is $759,000. The most recent loan totaled $36.5 million and was provided by S3 Capital on May 10, 2022.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received $21,957 in ECB penalties and $42,272 in OATH penalties in the last year.

The neighborhood

In Downtown Brooklyn, The bulk, or 40 percent of the 22.4 million square feet of commercial built space are office buildings, with elevator buildings next occupying 24 percent of the space. In sales, Downtown Brooklyn has 3.9 times the average sales volume among other neighborhoods with $1.2 billion in sales volume in the last two years and is the 2nd highest in Brooklyn. For development, Downtown Brooklyn has 2.5 times the average amount of major developments relative to other neighborhoods and is the 4th highest in Brooklyn. It had 2.6 million square feet of commercial and multi-family construction under development in the last two years, which represents 11 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of one of the two commercial properties representing 7,650 square feet of the 20,150 square feet. The identified owner is David Halberstam.
On the tax block, there were two new building construction projects totaling 338,662 square feet. The largest is a 270-unit, 290,104 square-foot residential (R-2) building submitted by AmTrust and filed by Thomas Aschmoneit with plans filed June 27, 2014 and permitted February 5, 2016. The second largest is a 73-unit, 48,558 square-foot residential (R-2) building submitted by Chess Builders and Cheskel Schwimmer and filed by Cheskel Schwimmer with plans filed February 16, 2022 and permitted November 2, 2022.

The majority, or 62 percent of the 20,150 square feet of built space are walkup buildings, with industrial buildings next occupying 38 percent of the space.

The borrower

The PincusCo database currently indicates that David Halberstam owned at least 12 commercial properties with 41 residential units in New York City with 49,805 square feet and a city-determined market value of $11.7 million. (Market value is typically about 50% of actual value.) The portfolio has $131.1 million in debt, with top three lenders as S3 Capital, Valley National Bank, and Bank of Princeton respectively. Within the portfolio, the bulk, or 27 percent of the 49,805 square feet of built space are elevator properties, with mixed-use properties next occupying 16 percent of the space. They are all located in Brooklyn.

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