Katz Realty pays $5.1M for two commercial properties in Little Neck

Katz Realty Group through the entity Nomar Realty, LLC paid $5.1 million to Victor K. Olson, Nancy A. Olson, Michael Dean Olson, and Jesse Dean Olson for the specialty building (Z3) at 250-10 Northern Boulevard in Little Neck, Queens and office building (O2) at 250-02 Northern Boulevard in Little Neck, Queens.
The deal closed on September 6, 2022 and was recorded on September 9, 2022. The two properties have 13,558 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $378 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 Victor K. Olson, Nancy A. Olson, Michael Dean Olson, and Jesse Dean Olson was Victor K. Olson, Nancy A. Olson, Michael Dean Olson, and Jesse Dean Olson. The signatory for Katz Realty Group was Lennard Katz.

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 250-10 Northern Boulevard.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Katz Realty Group had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Victor K. Olson had not purchased any other properties and had not sold any properties over the same time period. Out of the two properties, one with a total of 13,558 square feet of built space generated revenue of $165,264 per year.

The property

The 250-10 Northern Boulevard parcel has frontage of 70 feet and is 100 feet deep with a total lot size of 9,840 square feet. The lot is irregular. The zoning is R3-1 which allows for up to 0.5 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $1.1 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 $625 in ECB penalties and $625 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 neighborhood

In Little Neck, the bulk, or 31 percent of the 2.2 million square feet of commercial built space are retail buildings, with specialty buildings next occupying 20 percent of the space. In sales, Little Neck has the 31st highest sale turnover among other neighborhoods in Queens with $55.2 million in sales volume in the last two years. For development, Little Neck has had very little major development activity relative to other neighborhoods.It had 139,826 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 the tax block of 250-10 Northern Boulevard, PincusCo has identified the owners of one of the six commercial properties representing 9,158 square feet of the 46,447 square feet. The identified owner is Nancy Olson.
There are no active new building construction projects on this tax block.

The majority, or 69 percent of the 46,447 square feet of built space are office buildings, with specialty buildings next occupying 20 percent of the space.

The buyer

The PincusCo database currently indicates that Katz Realty Group owned at least seven commercial properties in New York City with 681,565 square feet and a city-determined market value of $51.3 million. (Market value is typically about 50% of actual value.) The portfolio has $47.5 million in debt, borrowed from Capital One and First Republic Bank. Within the portfolio, all identified are elevator properties. The bulk, or 56 percent of the built space, is in Brooklyn, with Queens next at 31 percent of the space.

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