Evenhar Development pays $21M for East Harlem dev site

Evenhar Development paid a total of $21 million for a development site in East Harlem to two separate sellers in two transactions. Evenhar has not filed new building plans at the site that would use all the development rights.

In the larger purchase, Evenhar Development through the entity Lexington Two Holdings LLC paid $15.2 million to the Children’s Aid Society for property at 130 East 101st Street in East Harlem, Manhattan and specialty building (Q2) at 134 East 101st Street in East Harlem, Manhattan.
The deal closed on January 24, 2023 and was recorded on February 10, 2023. The two properties have 8,860 square feet of built space and 11,830 square feet of additional air rights for a total buildable of 11,830 square feet according to PincusCo analysis of city data. The sale price per built square foot is $1,715 and the price per buildable square foot is $1,284 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 Children’s Aid Society was Phoebe Boyer. The signatory for Evenhar Development was Oren Evenhar. The Children’s Aid Society plans to buy back a portion of the site after a building is constructed. Evenhar Development Evenhar bought the first piece of the four parcel assemblage in 2021 for $2.5 million, then it closed the last three pieces on January 24, composed of the $15.2 million purchase from the Children’s Aide Society and the $5.9 million purchase from the church, for a total land purchase price of $23.6 million. The developer shows plans for a large building at the site.

In the second, Evenhar Development through the entity Lexington Two Holdings LLC paid $5.9 million to Life Changers Church & Ministries of Manhattan for the specialty building (M1) at 1578 Lexington Avenue in East Harlem, Manhattan.
The deal closed on January 24, 2023 and was recorded on February 10, 2023. The property has 8,740 square feet of built space and 3,840 square feet of additional air rights for a total buildable of 12,583 square feet according to PincusCo analysis of city data. The sale price per built square foot is $678 and the price per buildable square foot is $471 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 Life Changers Church & Ministries of Manhattan was Joseph Harris. The signatory for Evenhar Development was Oren Evenhar. The contract date was April 28, 2017, but a memorandum of contract notes a prior contract between the church and Evenhar dated December 2014. The church bought the property in 1957.

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 130 East 101st Street.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Evenhar Development purchased four properties in three transactions for a total of $16.5 million and has no record it sold any properties over the past 24 months.
The seller Children’s Aid Society 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 since September of 2020. In addition, according to city public data, the properties have received $50 in OATH penalties in the last year.

The block

On the tax block of 130 East 101st Street, PincusCo has identified the owners of 18 of the 29 commercial properties representing 268,411 square feet of the 332,741 square feet. The largest owner is Minnie Denton, followed by MDG Design + Construction and then Emerald Equity Group.
On the tax block, there was one new building construction project filed totaling 15,000 square feet. It is a 15,000-square-foot office (B) building developed by Oren Evenhar with plans filed November 2, 2022 and it has not been permitted yet.

The majority, or 99 percent of the 327,222 square feet of built space are walkup buildings, with mixed-use buildings next occupying 1 percent of the space.

The buyer

The PincusCo database currently indicates that Evenhar Development owned at least four commercial properties in New York City with 22,732 square feet and a city-determined market value of $11.7 million. (Market value is typically about 50% of actual value.) The portfolio has $11.1 million in debt, borrowed from Fort Amsterdam Capital and Tilden Park Capital Management. Within the portfolio, the bulk, or 72 percent of the 22,732 square feet of built space are mixed-use properties, with M1 properties next occupying 15 percent of the space. They are all located in Manhattan.

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