Eric Zhu pays $5.1M to Albert Wu for office in Chinatown

Eric Zhu through the entity Scooby Dooby Doo LLC paid $5.1 million to Albert Wu through the entity Lap Realty Corp. for the office building (O5) at 86 Elizabeth Street in Chinatown, Manhattan.
The deal closed on September 15, 2022 and was recorded on September 29, 2022. The property has 9,433 square feet of built space and 4,117 square feet of additional air rights for a total buildable of 13,545 square feet according to PincusCo analysis of city data. The sale price per built square foot is $540 and the price per buildable square foot is $376 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 Albert Wu was Albert Wu. The signatory for Eric Zhu was Eric Zhu.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Eric Zhu had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Albert Wu had not purchased any other properties and had not sold any properties over the same time period. The 9,433-square-foot property generated revenue of $434,112 or $46 per square foot, according to the most recent income and expense figures.

The property

The 86 Elizabeth Street parcel has frontage of 24 feet and is 89 feet deep with a total lot size of 2,250 square feet. The lot is irregular. The city-designated market value for the property in 2022 is $1.9 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 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 $5 million on this tax lot.

The neighborhood

In Chinatown, the bulk, or 35 percent of the 8.5 million square feet of commercial built space are walkup buildings, with mixed-use buildings next occupying 17 percent of the space. In sales, Chinatown has had very little sales volume relative to other neighborhoods with $133.6 million in sales volume in the last two years. For development, Chinatown has had very little major development activity relative to other neighborhoods.It had 494,107 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 one of the 20 commercial properties representing 7,300 square feet of the 310,068 square feet. The identified owner is Greg Sun.
On the tax block, there was one new building construction project filed totaling 19,129 square feet. It is a 21-unit, 19,129-square-foot R-2 building developed by Jin Rong Zhang with plans filed January 14, 2013 and it has not been permitted yet.

The majority, or 33 percent of the 282,066 square feet of built space are mixed-use buildings, with walkup buildings next occupying 25 percent of the space.

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