Edison Equities pays $5.8M for three retail condos in Prospect Heights

Edison Equities through the entity RF110 Vanderbilt LLC paid $5.8 million to Greenland USA through the entity Pacific Park 550 Vanderbilt LLC for three retail condominium units at 550 Vanderbilt Avenue in Prospect Heights, Brooklyn.

The deal closed on December 29, 2023 and was recorded on January 9, 2024. The three properties have 7,042 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $823 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 Greenland USA was Gang Hu and Ketan Patel. The signatory for Edison Equities was Eli M. Dweck. The contract date was December 26, 2023.

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 550 Vanderbilt Avenue.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Edison Equities had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Greenland USA had not purchased any other properties and sold 11 properties in four transactions for a total of $314.5 million over the same time period.

The property

The retail condo in Prospect Heights has 7,042 square feet of built space according to a PincusCo analysis of city data. The parcel has a total lot size of 2,450 square feet. The property has a 421a exemption that started in 2019 and expires in 2044. The city-designated market value for the property in 2022 is $663,499.

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

For the tax lot buildings, one out of the three 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 $1 million on this tax lot. On the tax lot, the most recent condominium plan was filed by PACIFIC PARK 550 VANDERBILT, LLC to create 278 residential units and 3 commercial units in a building at 550 Vanderbilt Avenue in Prospect Heights, Brooklyn, called 550 Vanderbilt Condominium that has a $394.2 million sellout, according to an January 13, 2015 submission to the New York State Attorney General. The principals of the sponsor, PACIFIC PARK 550 VANDERBILT, LLC, were Hu Gang and Russell Zuckerman.

The neighborhood

In Prospect Heights, The bulk, or 49 percent of the 7 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 28 percent of the space. In sales, Prospect Heights has had very little sales volume relative to other neighborhoods with $185.7 million in sales volume in the last two years. For development, Prospect Heights has near average amount of major developments among other neighborhoods and is the 18th highest in Brooklyn. It had 866,875 square feet of commercial and multi-family construction under development in the last two years, which represents 12 percent of the neighborhood’s built space.

The block

On the tax block of 550 Vanderbilt Avenue, PincusCo has identified the owners of one of the three commercial properties representing 869,038 square feet of the 869,038 square feet. The identified owner is TF Cornerstone.
On the tax block, there were three new building construction projects totaling 1,522,440 square feet. The largest is a 798-unit, 921,290 square-foot residential (R-2) building submitted by TF Cornerstone and filed by Bruce Weill with plans filed October 21, 2019 and permitted June 1, 2020. The second largest is a 246-unit, 317,182 square-foot residential (R-2) building submitted by Greenland Group and filed by Robert Sanna with plans filed May 27, 2015 and permitted November 13, 2015.

The majority, or 100 percent of the 869,038 square feet of built space are elevator buildings, with development buildings next occupying 0 percent of the space.

The seller

The PincusCo database currently indicates that Greenland USA owned at least two commercial properties in New York City with 48,212 square feet and a city-determined market value of $15.8 million. (Market value is typically about 50% of actual value.) Within the portfolio, all identified are retail properties. They are all located in Brooklyn.

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