Elizabeth McDonald signs $5M construction loan for 6-unit project in Williamsburg

Elizabeth A. McDonald through the entity 40 Skillman Avenue LLC as borrower signed a new construction loan with lender East West Bank through the entity East West Bank valued at $5 million for the six-unit development project at 40 Skillman Avenue in Williamsburg, Brooklyn.
The deal closed on June 21, 2022 and was recorded on July 1, 2022.

On these lots, there is an active new building construction project for a six-unit, 11,508-square-foot R-2 building developed by 40 Skillman Avenue LLC with plans filed May 18, 2021 and it has not been permitted yet.
The owner bought the property on August 6, 2021, for $3 million. The signatory for Elizabeth A. McDonald was Elizabeth A. McDonald.

The property

The 40 Skillman Avenue parcel has frontage of 45 feet and is 100 feet deep with a total lot size of 4,500 square feet. The zoning is R6B which allows for up to 2 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.8 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property since September of 2020. In addition, according to city public data, the property has received $1,550 in OATH penalties in the last year.

Development

On these lots, there is an active new building construction project for a six-unit, 11,508-square-foot R-2 building developed by 40 Skillman Avenue Llc with plans filed May 18, 2021 and it has not been permitted yet.

The neighborhood

In Williamsburg, the bulk, or 40 percent of the 56.3 million square feet of commercial built space are residential elevator buildings, with residential walkup buildings next occupying 22 percent of the space. In sales, Williamsburg has 4.5 times the average sales volume among other neighborhoods with $1.4 billion in sales volume in the last two years and is the 2nd highest in Brooklyn. For development, Williamsburg is the 8th most active neighborhood among other neighborhoods. It had 5.2 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 this tax block, PincusCo has identified the owners of four of the 22 commercial properties representing 19,348 square feet of the 88,146 square feet. The largest owner is Pasquale Notaro, followed by Flatiron Real Estate Advisors and then Nancy Barca. There are seven active new building construction projects totaling 49,031 square feet. The largest is a nine-unit, 8,990-square-foot R-2 building developed by Louis Barricelli Jr with plans filed June 15, 2018 and it has not been permitted yet.The second largest is a six-unit, 11,508-square-foot R-2 building developed by 40 Skillman Avenue Llc with plans filed May 18, 2021 and it has not been permitted yet.

The majority, or 53 percent of the 88,146 square feet of built space are residential walkup buildings, with mixed-use buildings next occupying 39 percent of the space.

Surrounding

Within a 400-foot radius of 40 Skillman Avenue, PincusCo identified nine commercial real estate items of interests occurred over the past 24 months.
Of those nine items, one was for major renovation including a certificate of occupancy change. It was a permit issued on May 2, 2022 for the $735,993 renovation of 4,920-square-foot R-2 building with four residential units at 36 Skillman Avenue.
One of those nine items was a sale which Nicolas Aaron Dayan bought the 8,619-square-foot, 10-unit rental (D3) on 583 Lorimer Street for $10.8 million from Center Street Capital on February 10, 2022.
Of those nine items, seven were loans above $5 million totaling $76.1 million. The most recent of the seven was Paul Henry which borrowed $6.5 million from Emerald Creek Capital secured by the 3,300-square-foot, one-unit industrial (E1) on 545 Metropolitan Avenue and five other properties on June 1, 2022.

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