David Horowitz of Apple Realty Capital through the entity Pitkin Equities LLC paid $2.7 million to Muhammed Irfan through the entity 2178-2182 Pitkin Ave LLC for two-unit mixed-use building at 2178 Pitkin Avenue in East New York, Brooklyn and midblock two-unit mixed-use building at 2182 Pitkin Avenue in East New York, Brooklyn.
The deal closed on May 10, 2022 and was recorded on June 1, 2022. The two properties have 8,306 square feet of built space and 11,700 square feet of additional air rights for a total buildable of 20,000 square feet according to PincusCo analysis of city data. The sale price per built square foot is $325 and the price per buildable square foot is $135 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 Muhammed Irfan was Muhammed Irfan. The signatory for Apple Realty Capital was David Horowitz.
Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 2182 Pitkin Avenue.
Prior sales and revenue
Prior to this transaction, Pincusco has records that the buyer David Horowitz purchased one properties in one transactions for a total of $2.8 million and has no record it sold any properties over the past 24 months.
The seller Muhammed Irfan had not purchased any other properties and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes Muhammed Andha, head officer and Ahad Arif, officer. The business entity is 2178-2182 Pitkin Ave Llc.
The 2182 Pitkin Avenue parcel has frontage of 25 feet and is 100 feet deep with a total lot size of 2,500 square feet. The zoning is R7A which allows for up to 4 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $447,000.
Violations and lawsuits
There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have received $450 in OATH penalties in the last year.
For the tax lot buildings, one out of the two buildings received a initial certificate of occupancy in the last ten years. There are no active new building construction projects or major alteration projects with initial costs more than $5 million on this tax lot.
In East New York, the bulk, or 31 percent of the 68.3 million square feet of commercial built space are 1-4 family buildings, with residential elevator buildings next occupying 26 percent of the space. In sales, East New York has the 4th highest sale turnover among other neighborhoods in the city with $2.1 billion in sales volume in the last two years. For development, East New York has 2.5 times the average amount of major developments relative to other neighborhoods and is the 8th highest in Brooklyn. It had 2.2 million square feet of commercial and multi-family construction under development in the last two years, which represents 3 percent of the neighborhood’s built space.
There are no active new building construction projects on this tax block.
The majority, or 69 percent of the 94,609 square feet of built space are 1-4 family buildings, with mixed-use buildings next occupying 23 percent of the space.
The PincusCo database currently indicates that David Horowitz owned at least one commercial property with 10,000 square feet and a city-determined market value of $546,000. (Market value is typically about 50% of actual value.) The portfolio consists of at least a single industrial property. It is located in Brooklyn.
Within a 400-foot radius of 2182 Pitkin Avenue, Pincusco identified two commercial real estate items of interests occurred over the past 24 months.
Of those two items, one was in new building development. It was a new building permit issued on March 8, 2021 for a 10,341-square-foot R-2 building with 15 residential units at 353 Miller Avenue.
One of those two items was a loan which Property Resources Corporation borrowed $436.6 million from NYC Housing Development Corporation secured by the 696,525-square-foot industrial (G7) on 260 Bradford Street and six other properties on January 25, 2022.
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