International Baptist Church pays $9.2M for industrial in Gowanus

International Baptist Church through the entity International Baptist Church, Inc. paid $9.2 million to Linda Figliolia through the entity 62 4th St LLC for the industrial building (E9) at 425 Hoyt Street in Gowanus, Brooklyn.
The deal closed on February 15, 2023 and was recorded on February 21, 2023. The property has 17,244 square feet of built space and 86 square feet of additional air rights for a total buildable of 17,326 square feet according to PincusCo analysis of city data. The sale price per built square foot is $536 and the price per buildable square foot is $533 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 Linda Figliolia was Linda Figliolia. The signatory for International Baptist Church was Raymond D. Cazis Jr..

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer International Baptist Church had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Linda Figliolia had not purchased any other properties and had not sold any properties over the same time period. The 17,244-square-foot property generated revenue of $596,856 or $35 per square foot, according to the most recent income and expense figures.

The property

The 425 Hoyt Street parcel has frontage of 72 feet and is 130 feet deep with a total lot size of 8,663 square feet. The lot is irregular. The zoning is M3-1 which allows for up to 2 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $1.4 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 not received any significant violations in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on May 3, 2022. 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 Gowanus, the bulk, or 47 percent of the 9.3 million square feet of commercial built space are industrial buildings, with elevator buildings next occupying 18 percent of the space. In sales, Gowanus has near average sales volume among other neighborhoods with $399.2 million in sales volume in the last two years and is the 17th highest in Brooklyn. For development, Gowanus is the 5th most active neighborhood among other neighborhoods. It had 4.7 million square feet of commercial and multi-family construction under development in the last two years, which represents 50 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of one of the eight commercial properties representing zero square feet of the 86,841 square feet. The identified owner is All Year Management.
On the tax block, there were three new building construction projects totaling 800,157 square feet. The largest is a 70-unit, 69,966-square-foot R-2 building developed by Y S with plans filed December 16, 2021 and permitted April 11, 2022. The second largest is a 333-unit, 308,273-square-foot R-2 building developed by Y S with plans filed December 24, 2021 and permitted May 4, 2022.

The majority, or 78 percent of the 86,841 square feet of built space are industrial buildings, with retail buildings next occupying 22 percent of the space.

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