Jin Hu pays $2.6M for 5-unit walkup in Borough Park, $581 per foot

Jin Hu through the entity Prospect Invest LLC paid $2.6 million to Fanwa Tsui through the entity 57 Sspk Blue, LLC for the midblock five-unit residential walkup building at 951 57th Street in Borough Park, Brooklyn.
The deal closed on April 4, 2022 and was recorded on April 22, 2022.

The property has 4,556 square feet of built space and 1,213 square feet of additional air rights for a total buildable of 5,780 square feet according to PincusCo analysis of city data. The sale price per built square foot is $581 and the price per buildable square foot is $458 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 Fanwa Tsui was Fanwa Tsui. The signatory for Jin Hu was Jin Hu. Jin Hu is listed as a member of the buying entity, and also the attorney for the buying entity.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Jin Hu had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Fanwa Tsui had not purchased any other properties and had not sold any properties over the same time period.

The property

The 951 57th Street parcel has frontage of 23 feet and is 100 feet deep with a total lot size of 2,379 square feet. The zoning is R6 which allows for up to 2.43 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $1.2 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 November 29, 2012. 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 Borough Park, the bulk, or 46 percent of the 48.6 million square feet of commercial built space are 1-4 family buildings, with specialty buildings next occupying 15 percent of the space. In sales, Borough Park has had very little sales volume relative to other neighborhoods with $140.2 million in sales volume in the last two years. For development, Borough Park has 1.3 times the average amount of major developments relative to other neighborhoods and is the 17th highest in Brooklyn. It had 1.2 million 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. There were two pre-foreclosure suit filed among other residential walkup buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of one of the 12 commercial properties representing zero square feet of the 46,209 square feet. The identified owner is City of New York. There is one active new building construction project totaling 11,000 square feet. It is a 13-unit, 11,000-square-foot R-2 building developed by Gu Chen with plans filed February 19, 2020 and permitted January 13, 2022.

The majority, or 73 percent of the 174,283 square feet of built space are 1-4 family buildings, with residential walkup buildings next occupying 15 percent of the space.

Surrounding

Within a 400-foot radius of 951 57th Street, PincusCo identified four commercial real estate items of interests occurred over the past 24 months.
Of those four items, one was in new building development. It was a new building permit issued on January 13, 2022 for a 11,000-square-foot R-2 building with 13 residential units at 941 57th Street.
Of those four items, three were for major renovation including a certificate of occupancy change. They were two permit applications with a total initial cost of $2.1 million and one permit with a total initial cost of $265,910. The most recent of these three items was the filing on October 14, 2021 for a 6,730-square-foot R-2 building with five residential units at 905 56th Street.

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