Jacob Friedman pays $2.5M for industrial in Midwood

Jacob Friedman through the entity Y & O Realty LLC paid $2.5 million to Ronny Shmoel through the entity 1635 Realty LLC for the industrial building (E9) at 1635 McDonald Avenue in Midwood, Brooklyn. The expected use is cash flowing. This property is one of three adjacent properties that Ronny Shmoel has owned. The other two, 1629 McDonald Avenue and 1625 McDonald Avenue just to the north, do not show any recent sales in Acris.
The deal closed on September 10, 2024 and was recorded on September 27, 2024. The property has 7,426 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $336 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 seller bought the property on June 5, 2008, for $1.9 million. The signatory for Ronny Shmoel was Ronny Shmoel. The signatory for Jacob Friedman was Jacob Friedman. The contract date was February 26, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Jacob Friedman had purchased any other properties and sold two properties in two transactions for a total of $3.4 million over the past 24 months.
The seller Ronny Shmoel had not purchased any other properties and had not sold any properties over the same time period. The 7,426-square-foot property generated revenue of $251,491 or $34 per square foot, according to the most recent income and expense figures.

The property

The industrial building in Midwood has 7,426 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 50 feet and is 116 feet deep with a total lot size of 5,850 square feet. The lot is irregular. The zoning is R5 which allows for up to 1.25 times floor area ratio (FAR) for residential. 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 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 Midwood, The majority, or 53 percent of the 19.3 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 15 percent of the space. In sales, Midwood has had very little sales volume relative to other neighborhoods with $215.4 million in sales volume in the last two years. For development, Midwood has had very little major development activity relative to other neighborhoods.It had 396,600 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 seven of the 36 commercial properties representing 34,306 square feet of the 118,620 square feet. The largest owner is Shmuel Umlas, followed by Ronny Shmoel and then Pietro Mini.
There are no active new building construction projects on this tax block.

The majority, or 58 percent of the 118,620 square feet of built space are mixed-use buildings, with walkup buildings next occupying 15 percent of the space.

The seller

The PincusCo database currently indicates that Ronny Shmoel owned at least one commercial property in New York City with 7,226 square feet and a city-determined market value of $1.1 million. (Market value is typically about 50% of actual value.) The portfolio consists of at least a single mixed-use property. It is located in Brooklyn.

The buyer

The PincusCo database currently indicates that Jacob Friedman owned at least two commercial properties with 11 residential units in New York City with 9,550 square feet and a city-determined market value of $1.2 million. (Market value is typically about 50% of actual value.) Within the portfolio, all identified are walkup properties. They are all located in Brooklyn.

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