KABR, FCA-Orbita pay $73.5M to Artemis for industrial in Hollis

KABR Group and FCA-Orbita Group through the entity 184 Jamaica Ave, LLC paid $73.5 million to Artemis Real Estate Partners through the entity Jamaica Avenue Owner LLC for the industrial buildings at 184-60 Jamaica Avenue and 184-10 Jamaica Avenue in Hollis, Queens.
The deal closed on February 22, 2022 and was recorded on April 6, 2022.The two properties have 513,845 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $143 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 Artemis Real Estate Partners was John Jacobsen. The signatory for KABR Group and FCA-Orbita Group was Michael Goldstein. The Real Deal reported that an Avison Young team including James Nelson and Fritz Richter represented the seller.

KABR Group and FCA-Orbita Group signed a acquisition loan with lender KKR & Co. through the entity Kref Lending IV LLC valued at $61.3 million

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 184-60 Jamaica Avenue.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer KABR Group had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Artemis Real Estate Partners had not purchased any other properties and had not sold any properties over the same time period. The two properties with a total of 513,845 square feet of built space generated revenue of $5.5 million per year or $11 per square foot. The sale price per square foot was $143.

The property

The 184-60 Jamaica Avenue parcel has frontage of 193 feet and is 313 feet deep with a total lot size of 95,000 square feet. The lot is irregular. The zoning is M1-2 which allows for up to 2 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $14.4 million.

Violations and lawsuits

The properties were not involved in any lawsuits or bankruptcies in the past years. In addition, according to city public data, the properties have received one DOB violation and $935 in OATH penalties in the last year.

Development

For the tax lot buildings, one out of the two buildings received a initial certificate of occupancy in the last ten years. 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 Hollis, the majority, or 63 percent of the 12.9 million square feet of commercial built space are 1-4 family buildings, with industrial buildings next occupying 9 percent of the space. In sales, Hollis has the 36th highest sale turnover among other neighborhoods in Queens with $21.7 million in sales volume in the last two years. For development, Hollis has had very little major development activity relative to other neighborhoods.It had 61,007 square feet of commercial and multi-family construction under development in the last two years, which represents 0.47 percent of the neighborhood’s built space.

The block

On the tax block of 184-60 Jamaica Avenue, PincusCo has identified the owners of one of the 17 commercial properties representing zero built square feet of the 888,690 square feet. The identified owner is City of New York.

The majority, or 95 percent of the 908,690 square feet of built space are industrial buildings, with hotel buildings next occupying 3 percent of the space.

Surrounding

PincusCo has not identified any commercial real estate items of interest within a 400-foot radius of 184-60 Jamaica Avenue that occurred over the past 24 months.

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