Greenbrook Partners pays $2.1M for mixed-use in Williamsburg

Greenbrook Partners through the entity 696 Grand St, LLC paid $2.1 million to William J. Reinhardt through the entity 696 Grand Street LLC for the two-unit mixed-use building (S2) at 696 Grand Street in Williamsburg, Brooklyn. The expected use is cash flowing.
The deal closed on October 22, 2024 and was recorded on October 29, 2024. The property has 3,600 square feet of built space and 4,400 square feet of additional air rights for a total buildable of 8,000 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $583 and the price per buildable square foot is $262 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 seller bought the property on March 10, 2004, for $700,000. The signatory for William J. Reinhardt was Michael S. Reinhardt. The signatory for Greenbrook Partners and was Gregory P. Fournier. The contract date was October 22, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Greenbrook Partners purchased 123 properties in 120 transactions for a total of $497.8 million and sold 27 properties in 27 transactions for a total of $155.6 million over the past 24 months.
The seller William J. Reinhardt had not purchased any other properties and sold one property in one transaction for a total of $1.9 million over the same time period.

The property

The mixed-use building with 2 residential units in Williamsburg has 3,600 square feet of built space and 4,400 square feet of additional air rights for a total buildable of 8,000 square feet according to a PincusCo analysis of city data. The parcel has frontage of 20 feet and is 100 feet deep with a total lot size of 2,000 square feet. The zoning is C4-4A which allows for up to 4 times floor area ratio (FAR) for commercial and up to 4 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $2.3 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received $50 in OATH penalties 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 neighborhood

In Williamsburg, The bulk, or 39 percent of the 50.4 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 25 percent of the space. In sales, Williamsburg has the 4th highest sale turnover among other neighborhoods in the city with $1.8 billion in sales volume in the last two years. For development, Williamsburg has 4.2 times the average amount of major developments relative to other neighborhoods and is the 2nd highest in Brooklyn. It had 4.7 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 nine of the 30 commercial properties representing 50,067 square feet of the 167,360 square feet. The largest owner is Kevin Daihao Zheng, followed by Bqbp Inc and then Joel Schwartz.
There are no active new building construction projects on this tax block.

The majority, or 63 percent of the 167,360 square feet of built space are mixed-use buildings, with walkup buildings next occupying 26 percent of the space.

The buyer

The PincusCo database currently indicates that Greenbrook Partners owned at least 331 commercial properties with 1,645 residential units in New York City with 1,500,466 square feet and a city-determined market value of $494.3 million. (Market value is typically about 50% of actual value.) The portfolio has $348.8 million in debt, with top three lenders as Invesco Real Estate, Rialto Capital Management, and MP Real Estate Capital respectively. Within the portfolio, the bulk, or 50 percent of the 1,500,466 square feet of built space are walkup properties, with C0 properties next occupying 13 percent of the space. The bulk, or 96 percent of the built space, is in Brooklyn, with Queens next at 4 percent of the space.
The PincusCo database currently indicates that owned at least two commercial properties in New York City with 218,631 square feet and a city-determined market value of $77.4 million. (Market value is typically about 50% of actual value.) Within the portfolio, all identified are specialty properties. They are all located in Manhattan.

Direct link to Acris document. link