Italian tile company Florim pays $23M to Victor Homes for retail condo in NoMad

Florim USA, a division of the large Italian tile manufacturer Florim Ceramiche, through the entity Italy NY LLC paid $23 million to Victor Group through the entity Victor Nomad LLC for the retail condo at 277 Fifth Avenue in NoMad, Manhattan.
The deal closed on February 22, 2022 and was recorded on March 8, 2022.The property has 8,645 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $2,660 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 Victor Homes was Scott Walch. The signatory for Florim USA was Bianca Costa Rodriguez. The buyer is Florim USA, the U.S. wing of the Italy-based tile company, Florim Ceramiche.

Prior sales and revenue

Prior to this transaction, Pincusco has no record that the buyer Florim USA had purchased any other properties and has no record it sold any properties over the past 24 months.

The property

The 277 Fifth Avenue parcel has a total lot size of 8,645 square feet. The city-designated market value for the property in 2022 is $7.2 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 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 $5 million on this tax lot.

The neighborhood

In NoMad, the majority, or 59 percent of the 14.3 million square feet of built space are office buildings, with residential elevator buildings next occupying 17 percent of the space. In sales, NoMad has 3.8 times the average sales volume among other neighborhoods with $1.1 billion in sales volume in the last two years and is the 12th highest in Manhattan. For development, NoMad has had very little major development activity relative to other neighborhoods.It had 268,290 square feet of commercial and multi-family construction under development in the last two years, which represents 2 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of one of the 38 commercial properties representing 126,784 square feet of the 1,524,239 square feet. The identified owner is Samco Properties. There are four active new building construction projects totaling 266,941 square feet. The largest is a 129-unit, 220,929-square-foot R-2 building developed by Ran Korolik with plans filed May 1, 2015 and permitted January 23, 2017. The second largest is a 37,020-square-foot hotel R-1 building developed by Jasmin Patel with plans filed November 9, 2013 and permitted June 3, 2015.

The majority, or 73 percent of the 1.3 million square feet of built space are office buildings, with hotel buildings next occupying 15 percent of the space.

Surrounding

Within a 400-foot radius of 277 Fifth Avenue, Pincusco identified 15 commercial real estate items of interests occurred over the past 24 months.
Of those 15 items, one was in new building development. It was a new building permit application filed on November 29, 2021 for a 509,193-square-foot residential (R-2) building with four residential units at 273 5th Avenue.
Of those 15 items, three were for major renovation including a certificate of occupancy change. They were three permits with a total initial cost of $12.4 million. The most recent of these three items was the permit on June 7, 2021 for a 13,984-square-foot A-3 building with no residential units at 1 West 29th Street.
Of those 15 items, four were sales above $5 million totaling $669.5 million. The most recent of the four was Starpointe Management which bought 22 condo units in the 828-square-foot, 260-unit mixed-use building (RM) at 277 Fifth Avenue and zero other properties for $80.9 million from Victor Group on November 24, 2021.
Of those 15 items, seven were loans above $5 million totaling $673.9 million. The most recent of the seven was McSam Hotel Group which borrowed $203 million from Oak Hill Advisors secured by the 78,211-square-foot, 198-unit hotel (H9) on 292 5th Avenue and two other properties on January 13, 2022.

Direct link to Acris document. link