Edward Ostad pays $7.25M for 3 buildings in Williamsburg

Edward Ostad paid $7.25 million for three buildings in Williamsburg, Brooklyn, in two separate transactions.

In the first, Edward Ostad through the entity 98 Graham Ave LLC paid $3.75 million to Suzanne Castagna through the entity Alir Management Corp. for the four-unit mixed-use building (S4) at 115 Seigel Street in Williamsburg, Brooklyn and two-unit mixed-use building (S2) at 100 Graham Avenue in Williamsburg, Brooklyn. The expected use is cash flowing.
The deal closed on October 30, 2024 and was recorded on November 13, 2024. The two properties have 8,750 square feet of built space and 3,400 square feet of additional air rights for a total buildable of 12,150 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $428 and the price per buildable square foot is $308 per the PincusCo analysis.

In the second, Edward Ostad through the entity 98 Graham Ave LLC paid $3.5 million to Suzanne Castagna through the entity Al-Frank Realty Corp. for the two-unit mixed-use building (S2) at 98 Graham Avenue in Williamsburg, Brooklyn. The expected use is cash flowing. The deal closed on October 30, 2024 and was recorded on November 13, 2024. The property has 8,750 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $400 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 Suzanne Castagna was Suzanne Castagna. The signatory for Edward Ostad was Edward Ostad. The contract date was January 25, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Edward Ostad purchased five properties in five transactions for a total of $24.2 million and sold one property in one transaction for a total of $4 million over the past 24 months.
The seller Suzanne Castagna had not purchased any other properties and had not sold any properties over the same time period.

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

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 Williamsburg, The bulk, or 39 percent of the 50.4 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 25 percent of the space. In sales, Williamsburg has the 5th highest sale turnover among other neighborhoods in the city with $1.8 billion in sales volume in the last two years. For development, Williamsburg has 4.3 times the average amount of major developments relative to other neighborhoods and is the 2nd highest in Brooklyn. It had 4.6 million square feet of commercial and multi-family construction under development in the last two years, which represents 9 percent of the neighborhood’s built space.

The block

On the tax block of 115 Seigel Street, PincusCo has identified the owners of three of the 11 commercial properties representing 16,400 square feet of the 49,895 square feet. The largest owner is Jacob Fulop, followed by Jose Reiser Trustee and then Oren Hakim.
There are no active new building construction projects on this tax block.

The majority, or 76 percent of the 49,895 square feet of built space are mixed-use buildings, with walkup buildings next occupying 19 percent of the space.

The buyer

The PincusCo database currently indicates that Edward Ostad owned at least 31 commercial properties with 675 residential units in New York City with 633,800 square feet and a city-determined market value of $114.3 million. (Market value is typically about 50% of actual value.) The portfolio has $214.6 million in debt, with top three lenders as Signature Bank, New York Community Bank, and Amalgamated Bank respectively. Within the portfolio, the bulk, or 49 percent of the 633,800 square feet of built space are walkup properties, with elevator properties next occupying 45 percent of the space. The bulk, or 66 percent of the built space, is in Manhattan, with Bronx next at 19 percent of the space.

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