Podpirka family’s JRC Management pays $22M to Peter Herrick for 46 units in Alphabet City

JRC Management through the entity Hogfish LLC paid $22 million to Peter Herrick through the entity Herrick 158 LLC for the 32-unit residential elevator building (D3) at 156 East 7th Street in Alphabet City, Manhattan and 14-unit residential walkup building (C4) at 162 East 7th Street in Alphabet City, Manhattan.
The deal closed on August 23, 2022 and was recorded on September 20, 2022. The two properties have 27,176 square feet of built space and 90 square feet of additional air rights for a total buildable of 27,258 square feet according to PincusCo analysis of city data. The sale price per built square foot is $809 and the price per buildable square foot is $807 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 Peter Herrick was Peter Herrick. The signatory for JRC Management was Richard Podpirka.

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 156 East 7th Street.

Prior sales and revenue

Prior to this transaction, Pincusco has no record that the buyer JRC Management had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Peter Herrick had not purchased any other properties and sold two properties in one transaction for a total of $11.5 million over the same time period. The former owners according to the Department of Housing Preservation and Development includes Peter Herrick, head officer and Chedomir Radulovich, site manager. The business entity is Herrick 158 Llc. The two properties with a total of 27,176 square feet of built space generated revenue of $1.2 million per year or $45 per square foot. The sale price per square foot was $810.

The property

The 156 East 7th Street parcel has frontage of 75 feet and is 90 feet deep with a total lot size of 6,815 square feet. The zoning is R7B which allows for up to 3 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $4.3 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have received $650 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 the tax block of 156 East 7th Street, PincusCo has identified the owners of 13 of the 37 commercial properties representing 180,058 square feet of the 362,320 square feet. The largest owner is JRC Management, followed by Peter Herrick and then Richard Podpirka.
There are no active new building construction projects on this tax block.

The majority, or 50 percent of the 343,696 square feet of built space are elevator buildings, with walkup buildings next occupying 46 percent of the space.

The seller

The PincusCo database currently indicates that Peter Herrick owned at least five commercial properties in New York City with 67,407 square feet and a city-determined market value of $18.9 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 71 percent of the 67,407 square feet of built space are elevator properties, with walkup properties next occupying 29 percent of the space. They are all located in Manhattan.

The buyer

The PincusCo database currently indicates that JRC Management owned at least 20 commercial properties in New York City with 1,008,250 square feet and a city-determined market value of $116.7 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 92 percent of the 1,008,250 square feet of built space are elevator properties, with walkup properties next occupying 8 percent of the space. The bulk, or 47 percent of the built space, is in Queens, with Bronx next at 28 percent of the space.

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