GAIA signs $33.5M refi loan with JLL for three properties in East Village
GAIA Real Estate through the entity 50-58 East Third Street Owner LLC as borrower signed a refi loan with lender JLL through the entity JLL Real Estate Capital, LLC valued at $33.5 million for three properties with 72 residential units including the 24-unit residential walkup building (C1) at 50 East 3rd Street in East Village, Manhattan, 24-unit residential elevator building (D1) at 54 East 3rd Street in East Village, Manhattan, and 24-unit residential walkup building (C1) at 58 East 3rd Street in East Village, Manhattan.
The deal closed on October 7, 2024 and was recorded on October 8, 2024. The prior lender was Bank of America which held debt that had an original loan amount of $36 million.The three properties have 46,968 square feet of built space and 40 square feet of additional air rights according to a PincusCo analysis of city data. The loan price per built square foot is $713 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 GAIA Real Estate was David Kusy. The signatory for JLL was Patrick McCarren.
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 54 East 3rd Street.
Prior sales and revenue
The owners according to the Department of Housing Preservation and Development includes Alison Maguire, head officer and Sheldon Holder, site manager. The business entity is 50-58 East Third Street Owner Llc.
The property
The residential elevator building with 24 residential units in East Village has 46,968 square feet of built space and 40 square feet of additional air rights according to a PincusCo analysis of city data. The parcel has frontage of 33 feet and is 101 feet deep with a total lot size of 4,017 square feet. The lot is irregular. The zoning is R8B which allows for up to 4 times floor area ratio (FAR) for residential. The property is in the East Village / Lower East Side Historic District. The city-designated market value for the property in 2022 is $7.2 million. The most recent loan totaled $36 million and was provided by Bank of America on August 26, 2021. The property has 4 rent regulated units according to city tax records from 2022.
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 received $312 in ECB penalties, 20 housing violations, $3,807 in OATH penalties, and two housing litigations 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 block
On the tax block of 54 East 3rd Street, PincusCo has identified the owners of nine of the 23 commercial properties representing 139,187 square feet of the 325,394 square feet. The largest owner is Gaia Real Estate, followed by Janet Giaimo Vitale and then Gemini Rosemont.
On the tax block, there were two new building construction projects totaling 119,986 square feet. The largest is a 87-unit, 100,708 square-foot residential (R-2) building submitted by Gemini Rosemont Development and filed by Brian Ferrier with plans filed August 24, 2020 and permitted July 20, 2022. The second largest is a 22-unit, 19,278 square-foot residential (R-2) building submitted by Manouchehr Ashourzadeh and filed by Manny Ashourzadeh with plans filed March 8, 2024 and permitted July 30, 2024.
The majority, or 45 percent of the 325,394 square feet of built space are walkup buildings, with specialty buildings next occupying 34 percent of the space.
The borrower
The PincusCo database currently indicates that Gaia Real Estate owned at least four commercial properties with 88 residential units in New York City with 58,233 square feet and a city-determined market value of $23.6 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 72 percent of the 58,233 square feet of built space are walkup properties, with elevator properties next occupying 28 percent of the space. They are all located in Manhattan.
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