Jeff Sutton sells Jackson Heights retail for $8.3M

Rob Daigrepont Jr. of Heston Loren Capital Partners through the entity Kasada, LLC paid $8.3 million to Jeff Sutton and Wharton Properties through the entity 3770 82nd Street LLC for the retail and office building (O5) at 37-70 82nd Street in Jackson Heights, Queens.
The deal closed on June 14, 2023 and was recorded on June 26, 2023. The property has 8,724 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $957 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 Jeff Sutton and Wharton Properties was Judah Schemo. The signatory for Rob Daigrepont Jr. and Heston Loren Capital Partners was Robert Daigrepont Jr..

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Rob Daigrepont Jr. purchased one property in one transaction for a total of $7.3 million and has no record it sold any properties over the past 24 months.
The seller Jeff Sutton purchased two properties in two transactions for a total of $16.8 million and sold three properties in three transactions for a total of $35.4 million over the same time period. The 8,724-square-foot property generated revenue of $444,226 or $51 per square foot, according to the most recent income and expense figures.

The property

The office building in Jackson Heights has 8,724 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 100 feet and is 30 feet deep with a total lot size of 3,000 square feet. The zoning is C4-3 which allows for up to 3.4 times floor area ratio (FAR) for commercial and up to 2.43 times FAR for residential. The property is in the Jackson Heights Historic District. The city-designated market value for the property in 2022 is $2.3 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 received $6,400 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 neighborhood

In Jackson Heights, The bulk, or 42 percent of the 16.4 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 18 percent of the space. In sales, Jackson Heights has had very little sales volume relative to other neighborhoods with $216.8 million in sales volume in the last two years. For development, Jackson Heights has had very little major development activity relative to other neighborhoods.It had 470,577 square feet of commercial and multi-family construction under development in the last two years, which represents 3 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of five of the 24 commercial properties representing 79,772 square feet of the 370,540 square feet. The largest owner is William Dayan, followed by Norse Realty and then Fereydoun Khalili.
There are no active new building construction projects on this tax block.

The majority, or 48 percent of the 370,540 square feet of built space are elevator buildings, with mixed-use buildings next occupying 18 percent of the space.

The buyer

The PincusCo database currently indicates that Rob Daigrepont Jr. owned at least one commercial property in New York City with 16,617 square feet and a city-determined market value of $4 million. (Market value is typically about 50% of actual value.) The portfolio consists of at least a single retail property. It is located in Brooklyn.

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