Gilbane Development plans 266-unit shelter in Concourse Village

Dimitrios Katehis, of Gilbane Development, submitted a new building construction project for a 266-unit, 201,031 square-foot residential (R-2) building at 280 East 161st Street in Concourse Village, Bronx. The plan was filed with the New York City Department of Buildings on December 18, 2023 under job number X00851840. It calls for the construction of a 19-story building. The project is described in the filing as: this new building application filed for 19-story residential (R-2) shelter housing, project name is West Tower. The architect is Aufgang Architects.

Gilbane Development bought the property as part of a portfolio with Systima Capital Management, ELH Management and TerreAlto, according to a report in Crain’s.

The property

The elevator building with 204 residential units in Concourse Village has 239,712 square feet of built space and 165,730 square feet of additional air rights for a total buildable of 405,567 square feet according to a PincusCo analysis of city data. The parcel has frontage of 461 feet and is 255 feet deep with a total lot size of 67,370 square feet. The lot is irregular. The zoning is R8 which allows for up to 6.02 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $14.4 million. The most recent loan totaled $74 million and was provided by Systima Capital Management on December 8, 2022.

Prior sales and revenue

This property was sold by Spencer Equity Group for $40.8 million to Gilbane Development and Settlement Housing Fund on December 8, 2022 along with other buildings.

The 239,712-square-foot property generated revenue of $3.8 million or $16 per square foot, according to the most recent income and expense figures.

Violations and lawsuits

According to city public data, the property has received two DOB violations, $3,750 in ECB penalties, 98 housing violations, $5,950 in OATH penalties, and two housing litigations in the last year.

There were no lawsuits or bankruptcies filed against the property for the past 24 months.

The neighborhood

In Concourse Village, The bulk, or 39 percent of the 17.6 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 28 percent of the space. In sales, Concourse Village has near average sales volume among other neighborhoods with $148.8 million in sales volume in the last two years and is the 8th highest in Bronx. For development, Concourse Village has near average amount of major developments among other neighborhoods and is the 8th highest in Bronx. It had 823,140 square feet of commercial and multi-family construction under development in the last two years, which represents 5 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of eight of the 18 commercial properties representing 260,337 square feet of the 260,337 square feet. The largest owner is ACS, followed by Gilbane Development and then New York City Housing Authority. On the tax block, there was one new building construction project filed totaling 201,031 square feet. It is a 266-unit, 201,031 square-foot residential (R-2) building submitted by Gilbane Development and filed by Dimitrios Katehis with plans filed December 18, 2023 and it has not been permitted yet.

The owner

The PincusCo database currently indicates that Gilbane Development owned at least 23 commercial properties with 1,580 residential units in New York City with 1,776,839 square feet and a city-determined market value of $105.6 million. (Market value is typically about 50% of actual value.) The portfolio has $51.7 million in debt, borrowed from City of New York and Merchants Bank of Indiana. Within the portfolio, the bulk, or 91 percent of the 1,776,839 square feet of built space are elevator properties, with walkup properties next occupying 9 percent of the space. The bulk, or 53 percent of the built space, is in Brooklyn, with Bronx next at 47 percent of the space.

The owners according to the Department of Housing Preservation and Development includes Larry Hirschfield, head officer and Matthew Lawrence, officer. The business entities are Elh Mgmt.Llc and Teg Morrisania Llc.

The surrounding

Within a 400-foot radius of 308 East 161 Street, PincusCo identified four commercial real estate items of interests occurred over the past 24 months. Of those four items, one was in new building development. It was a new building permit issued on April 25, 2022 for a 116,509-square-foot residential (R-2) building with 154 residential units at 299 East 161st Street. One of those four items was a sale which Gilbane Development bought the 0-square-foot industrial (G7) on CONCOURSE Village East for $27.1 million from Spencer Equity Group on December 27, 2022. Of those four items, two were loans above $5 million totaling $59.4 million. The most recent of the two was Gilbane Development in which borrowed $19.4 million from Merchants Bank of Indiana secured by the 0-square-foot industrial (G7) on CONCOURSE Village East on December 27, 2022.

Direct link to the property’s ACRIS page and link to DOB NOW portal.