Hershy Silberstein pays $6.4M to Charlotte Kuey for industrial in East Morrisania
Hershy Silberstein through the entity Cyh 810 LLC paid $6.4 million to Charlotte Kuey through the entity 810 East 170th Street Realty Corp. for the industrial building (E1) at 810 East 170th Street in East Morrisania, Bronx.
The deal closed on February 28, 2023 and was recorded on March 7, 2023. The property has 34,488 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $186 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 Charlotte Kuey was Charlotte Kuey. The signatory for Hershy Silberstein was Hershy Silberstein.
To finance the purchase, Hershy Silberstein through the entity Cyh 810 LLC as borrower signed an acquisition loan with lender IceCap Group through the entity Ice Lender Holdings, LLC valued at $8 million.
Prior sales and revenue
Prior to this transaction, PincusCo has records that the buyer Hershy Silberstein purchased four properties in four transactions for a total of $9.2 million and has no record it sold any properties over the past 24 months.
The seller Charlotte Kuey had not purchased any other properties and had not sold any properties over the same time period. The 34,488-square-foot property generated revenue of $302,041 or $9 per square foot, according to the most recent income and expense figures.
The property
The 810 East 170th Street parcel has frontage of 47 feet and is 130 feet deep with a total lot size of 6,153 square feet. The lot is irregular. The zoning is R7-1 which allows for up to 3.44 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $1.3 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 received two DOB violations and $2,600 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 $5 million on this tax lot.
The neighborhood
In East Morrisania, the bulk, or 43 percent of the 11.9 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 30 percent of the space. In sales, East Morrisania has had very little sales volume relative to other neighborhoods with $107.3 million in sales volume in the last two years. For development, East Morrisania has near average amount of major developments among other neighborhoods and is the 10th highest in Bronx. It had 871,570 square feet of commercial and multi-family construction under development in the last two years, which represents 7 percent of the neighborhood’s built space.
The block
On this tax block, PincusCo has identified the owners of 10 of the 24 commercial properties representing 148,056 square feet of the 218,186 square feet. The largest owner is Xhafer Gecaj, followed by Workforce Housing Group and then Lemle & Wolff.
On the tax block, there were three new building construction projects totaling 37,923 square feet. The largest is a 29-unit, 17,243-square-foot R-2 building developed by Charles Schwartz with plans filed March 23, 2022 and permitted May 20, 2022. The second largest is a 28-unit, 16,226-square-foot R-2 building developed by Charles Schwartz with plans filed March 22, 2022 and permitted May 25, 2022.
The majority, or 54 percent of the 218,186 square feet of built space are walkup buildings, with elevator buildings next occupying 21 percent of the space.
The buyer
The PincusCo database currently indicates that Hershy Silberstein owned at least 10 commercial properties in New York City with 17,500 square feet and a city-determined market value of $7 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 40 percent of the 17,500 square feet of built space are mixed-use properties, with C0 properties next occupying 31 percent of the space. The bulk, or 80 percent of the built space, is in Brooklyn, with Bronx next at 20 percent of the space.
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