Horizon Investors buys $17.1M note secured by Prestige Properties retail in Co-op City Bronx.

Horizon Investors Group LLC bought a note with an original principal of $17.1 million from Bank of America secured by Prestige Properties and Development’s mixed-use building at 340 Baychester Avenue in Co-op City, Bronx.
The deal closed on February 7, 2022 and was recorded on March 17, 2022. The prior lender was Bank of America which held debt that had an original loan amount of $17.1 million. The property has 73,750 square feet of built space and 411,812 square feet of additional air rights for a total buildable of 485,778 square feet according to PincusCo analysis of city data.

Prior sales and revenue

The 73,750-square-foot property generated revenue of $3.7 million or $50 per square foot, according to the most recent income and expense figures.

The property

The 340 Baychester Avenue parcel has frontage of 249 feet and is 195 feet deep with a total lot size of 199,909 square feet. The lot is irregular. The zoning is C4-3 which allows for up to 3.4 times floor area ratio (FAR) for commercial and up to 2.43 times FAR for residential. The city-designated market value for the property in 2022 is $20.7 million.

Violations and lawsuits

The property was not involved in any lawsuits or bankruptcies in the past years. In addition, according to city public data, the property has received $750 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 Co-op City, the majority, or 73 percent of the 26 million square feet of built space are residential elevator buildings, with mixed-use buildings next occupying 9 percent of the space. In sales, Co-op City has not had any sales in the last two years. For development, Co-op City has had very little major development activity relative to other neighborhoods.It had 49,497 square feet of commercial and multi-family construction under development in the last two years, which represents 0.19 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of four of the 64 commercial properties representing 1,280,080 square feet of the 7,224,433 square feet. The largest owner is City of New York, followed by Transformco and then TD Bank.

The majority, or 68 percent of the 20.1 million square feet of built space are residential elevator buildings, with mixed-use buildings next occupying 10 percent of the space.

Direct link to Acris document. link