Elad Group pays $5.9M to Walter & Samuels on UWS for likely dev site

Elad Group through the entity 2581 Broadway Owner LLC paid $5.9 million to Walter & Samuels through the entity Bewss Company for the retail building (K2) at 2581 Broadway in Upper West Side, Manhattan. The expected use is ground up development.
The deal closed on February 28, 2025 and was recorded on March 5, 2025. The property has 4,800 square feet of built space and 14,190 square feet of additional air rights for a total buildable of 18,988 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $1,223 and the price per buildable square foot is $309 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 Walter & Samuels was David I. Berley . The signatory for Elad Group was Orly Daniell. The contract date was December 13, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Elad Group purchased one property in one transaction for a total of $72.2 million and sold four properties in one transaction for a total of $18.2 million over the past 24 months.
The seller Walter & Samuels had not purchased any other properties and sold 10 properties in 10 transactions for a total of $156.5 million over the same time period. The 4,800-square-foot property generated revenue of $657,815 or $137 per square foot, according to the most recent income and expense figures.

The property

The retail building in Upper West Side has 4,800 square feet of built space and 14,190 square feet of additional air rights for a total buildable of 18,988 square feet according to a PincusCo analysis of city data. The parcel has frontage of 25 feet and is 100 feet deep with a total lot size of 2,525 square feet. The zoning is R9A which allows for up to 7.52 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $3.3 million.

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 $80 in OATH penalties 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 Upper West Side, The majority, or 59 percent of the 52.9 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 23 percent of the space. In sales, Upper West Side has 4 times the average sales volume among other neighborhoods with $1.1 billion in sales volume in the last two years and is the 8th highest in Manhattan. For development, Upper West Side has 2.7 times the average amount of major developments relative to other neighborhoods and is the 10th highest in Manhattan. It had 3.1 million square feet of commercial and multi-family construction under development in the last two years, which represents 6 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of 10 of the 14 commercial properties representing 183,743 square feet of the 375,921 square feet. The largest owner is Solomon Borg, followed by Richard Eisenberg and then Brusco Realty.
There are no active new building construction projects on this tax block.

The majority, or 79 percent of the 375,921 square feet of built space are elevator buildings, with walkup buildings next occupying 17 percent of the space.

The seller

The PincusCo database currently indicates that Walter & Samuels owned at least seven commercial properties in New York City with 452,280 square feet and a city-determined market value of $93.8 million. (Market value is typically about 50% of actual value.) The portfolio has $112.1 million in debt, borrowed from Bank of America and Citibank. Within the portfolio, the bulk, or 97 percent of the 452,280 square feet of built space are office properties, with retail properties next occupying 2 percent of the space. They are all located in Manhattan.

The buyer

The PincusCo database currently indicates that Elad Group owned at least four commercial properties with 51 residential units in New York City with 164,434 square feet and a city-determined market value of $42.3 million. (Market value is typically about 50% of actual value.) The portfolio has $499.3 million in debt, with top three lenders as Lionheart Strategic Management, Valley National Bank, and G4 Capital Partners respectively. Within the portfolio, the bulk, or 97 percent of the 164,434 square feet of built space are office properties, with walkup properties next occupying 3 percent of the space. They are all located in Manhattan.

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