Japan-based Kanden Realty & Development pays $16.4M for two walkups in Carnegie Hill

Japan-based Kanden Realty & Development through the entity Kanden Realty & Development Ny1, LLC paid $16.4 million to Akio Hatano for the 20-unit residential walkup building (C4) at 176 East 85th Street and the 20-unit residential walkup building (C4) at 174 East 85th Street in Carnegie Hill, Manhattan.
The deal closed on December 16, 2022 and was recorded on December 28, 2022. The two properties have 20,680 square feet of built space and 156 square feet of additional air rights for a total buildable of 20,840 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $793 and the price per buildable square foot is $786 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.)

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 176 East 85th Street.

Prior sales and revenue

The former owners according to the Department of Housing Preservation and Development includes Akio Hatano, individual owner and Mike Ionescu, site manager. The two properties with a total of 20,680 square feet of built space generated revenue of $1 million per year or $48 per square foot. The sale price per square foot was $793.

The property

The parcel has frontage of 25 feet and is 102 feet deep with a total lot size of 2,605 square feet. The zoning is R8B which allows for up to 4 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $2.4 million.
The parcel has frontage of 25 feet and is 102 feet deep with a total lot size of 2,605 square feet. The zoning is R8B which allows for up to 4 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $2.2 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties for the past 24 months. In addition, according to city public data, the properties have received $800 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 $1 million on this tax lot.

The block

On the tax block of 176 East 85th Street, PincusCo has identified the owners of nine of the 28 commercial properties representing 96,977 square feet of the 405,553 square feet. The largest owner is Hubb Nyc, followed by Asset Preservation Inc. and then Caiola Family.
There are no active new building construction projects on this tax block.

The majority, or 35 percent of the 374,167 square feet of built space are elevator buildings, with walkup buildings next occupying 22 percent of the space.

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