John Rapp sells 6-unit mixed-use in Lenox Hill for $8.5M

The entity D8 300 E69 LLC paid $8.5 million to John Rapp through the entity 300 East 69th Street LLC for the six-unit mixed-use building (S9) at 300 East 69th Street in Lenox Hill, Manhattan.
The deal closed on July 20, 2023 and was recorded on August 3, 2023. The property has 4,716 square feet of built space and 10,530 square feet of additional air rights for a total buildable of 15,240 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $1,802 and the price per buildable square foot is $557 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 John Rapp was John Rapp. According to a PincusCo analysis, the signatory for the buyer was David Snir. The contract date was November 10, 2022. John Rapp uses the entity Junction Management. PincusCo identified the owner as David Snir based on Snir’s use of the 521 Dekalb address and the signature similarities to Snir’s signature from 2016.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that David Snir had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller John Rapp had not purchased any other properties and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes John Rapp, head officer and Stella Sklias, officer. The business entities are Junction Management and 300 E 69th St, Llc.

The property

The mixed-use building with 6 residential units in Lenox Hill has 4,716 square feet of built space and 10,530 square feet of additional air rights for a total buildable of 15,240 square feet according to a PincusCo analysis of city data. The parcel has frontage of 20 feet and is 75 feet deep with a total lot size of 1,524 square feet. The zoning is C1-9 which allows for up to 2 times floor area ratio (FAR) for commercial and up to 10 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $3.3 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 $2,000 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 Lenox Hill, The bulk, or 35 percent of the 52 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 28 percent of the space. In sales, Lenox Hill has the highest sale turnover among other neighborhoods in the city with $4.6 billion in sales volume in the last two years. For development, Lenox Hill has 2.9 times the average amount of major developments relative to other neighborhoods and is the 9th highest in Manhattan. It had 3 million square feet of commercial and multi-family construction under development in the last two years, which represents 6 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of three of the 11 commercial properties representing 32,285 square feet of the 192,144 square feet. The largest owner is Marin Management, followed by Georgetown Properties and then David Massey.
There are no active new building construction projects on this tax block.

The majority, or 52 percent of the 192,144 square feet of built space are specialty buildings, with elevator buildings next occupying 20 percent of the space.

The seller

The PincusCo database currently indicates that John Rapp owned at least four commercial properties with 24 residential units in New York City with 35,338 square feet and a city-determined market value of $11.6 million. (Market value is typically about 50% of actual value.) The portfolio has $15.7 million in debt, borrowed from Signature Bank. Within the portfolio, the bulk, or 62 percent of the 35,338 square feet of built space are mixed-use properties, with walkup properties next occupying 38 percent of the space. The bulk, or 62 percent of the built space, is in Queens, with Manhattan next at 38 percent of the space.

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