Joseph Grubner pays $12.2M for 82-unit walkup in Marble Hill

Joseph Grubner through the entity 2 Adrian LLC paid $12.2 million to Naomi Scheuer through the entity Adrian Avenue Associates for 82-unit residential walkup building (C1) at 2 Adrian Avenue in Marble Hill, Manhattan.
The deal closed on March 2, 2023 and was recorded on March 8, 2023. The property has 60,070 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $203 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 Naomi Scheuer was Naomi Scheuer. The signatory for Joseph Grubner was Joseph Grubner.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Joseph Grubner purchased two properties in two transactions for a total of $34.1 million and has no record it sold any properties over the past 24 months.
The seller Naomi Scheuer 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 Naomi Scheuer, head officer and Mitchell Fuchs, officer. The business entity is Adrian Ave Associates. The 60,070-square-foot property generated revenue of $1.4 million or $23 per square foot, according to the most recent income and expense figures.

The property

The 2 Adrian Avenue parcel has frontage of 71 feet and is 100 feet deep with a total lot size of 16,025 square feet. The lot is irregular. 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 $5 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 received one housing violation and $50 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 $5 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of 25 of the 94 commercial properties representing 1,427,623 square feet of the 2,688,654 square feet. The largest owner is Tri-Hill Mangement, followed by Sopher Group and then Shimon Greisman.
On the tax block, there were eight new building construction projects totaling 74,357 square feet. The largest is a 39-unit, 28,402-square-foot R-2 building developed by James Kwon with plans filed October 16, 2018 and it has not been permitted yet.The second largest is a 24-unit, 17,776-square-foot R-2 building developed by Jim Kwon with plans filed April 20, 2022 and it has not been permitted yet.

The majority, or 59 percent of the 2.6 million square feet of built space are elevator buildings, with walkup buildings next occupying 20 percent of the space.

The buyer

The PincusCo database currently indicates that Joseph Grubner owned at least two commercial properties in New York City with 176,470 square feet and a city-determined market value of $14.5 million. (Market value is typically about 50% of actual value.) The portfolio has $26.4 million in debt, borrowed from New York Community Bank. Within the portfolio, all identified are elevator properties. They are all located in Manhattan.

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