Industrial in Bed-Stuy sells for $4.1M

An unknown buyer through the entity 60 Energy LLC paid $4.1 million to Raymond Lee through the entity Silverman-Shaw Inc. for the industrial building (F5) at 60-62 Franklin Avenue in Bedford Stuyvesant, Brooklyn.
The deal closed on June 7, 2023 and was recorded on June 14, 2023. The property has 11,200 square feet of built space and 287 square feet of additional air rights for a total buildable of 11,510 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $366 and the price per buildable square foot is $356 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 Raymond Lee was Raymond Lee. The signatory for 60 Energy LLC was Alan Weiss.

Prior sales and revenue

The seller Raymond Lee had not purchased any other properties and had not sold any properties over the past 24 months. The 11,200-square-foot property generated revenue of $174,815 or $16 per square foot, according to the most recent income and expense figures.

The property

The industrial building in Bedford Stuyvesant has 11,200 square feet of built space and 287 square feet of additional air rights for a total buildable of 11,510 square feet according to a PincusCo analysis of city data. The parcel has frontage of 94 feet and is 112 feet deep with a total lot size of 5,755 square feet. The lot is irregular. The zoning is M1-2 which allows for up to 2 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $968,000.

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 not received any significant violations 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 Bedford Stuyvesant, The bulk, or 35 percent of the 54.7 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 29 percent of the space. In sales, Bedford Stuyvesant has 2.7 times the average sales volume among other neighborhoods with $964.7 million in sales volume in the last two years and is the 4th highest in Brooklyn. For development, Bedford Stuyvesant has 3.3 times the average amount of major developments relative to other neighborhoods and is the 5th highest in Brooklyn. It had 3.4 million square feet of commercial and multi-family construction under development in the last two years, which represents 6 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other industrial buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of three of the 16 commercial properties representing 204,096 square feet of the 471,548 square feet. The two identified owners are Zelig Weiss and Aaron Green.
On the tax block, there were two new building construction projects totaling 288,034 square feet. The largest is a 86-unit, 176,868 square-foot residential (R-2) building submitted by Zelig Weiss|Riverside Developers and filed by Zelig Weiss with plans filed August 6, 2018 and permitted October 30, 2020. The second largest is a 75-unit, 111,166 square-foot residential (R-2) building submitted by Zelig Weiss and Riverside Developers and filed by Zelig Weiss with plans filed August 6, 2018 and permitted October 29, 2020.

The majority, or 42 percent of the 471,548 square feet of built space are industrial buildings, with elevator buildings next occupying 38 percent of the space.

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