Kings Capital pays $4.2M to Ayoub family for mixed-use in Cobble Hill

Kings Capital through the entity 176 Atlantic LLC paid $4.2 million to the Ayoub family for the three-unit mixed-use building (S9) at 176 Atlantic Avenue in Cobble Hill, Brooklyn.
The deal closed on May 18, 2023 and was recorded on May 25, 2023. The property has 5,280 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $795 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 the Ayoub family included Jacob Ayoub, Joseph Ayoub, and Joyce Ayoub. The signatory for Kings Capital was Jeffrey Znaty.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Kings Capital purchased three properties in two transactions for a total of $14.2 million and sold one property in one transaction for a total of $2.1 million over the past 24 months.
The seller Jacob Ayoub 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 Joyce Ayoub, head officer and Mahmood Alsubai, lessee. The business entities are Yemen Cafe and Ayoub Realty LP.

The property

The mixed-use building with 3 residential units in Cobble Hill has 5,280 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 22 feet and is 80 feet deep with a total lot size of 1,759 square feet. The zoning is R6 which allows for up to 2.43 times floor area ratio (FAR) for residential. The property is in the Cobble Hill Historic District. The city-designated market value for the property in 2022 is $1.2 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 $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 $1 million on this tax lot.

The neighborhood

In Cobble Hill, The bulk, or 31 percent of the 1.9 million square feet of commercial built space are walkup buildings, with specialty buildings next occupying 30 percent of the space. In sales, Cobble Hill has had very little sales volume relative to other neighborhoods with $245.6 million in sales volume in the last two years. For development, Cobble Hill has had very little major development activity relative to other neighborhoods.It had 351,697 square feet of commercial and multi-family construction under development in the last two years, which represents 19 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of three of the 16 commercial properties representing 13,468 square feet of the 110,652 square feet. The two identified owners are Malko Karkanni and Conway Capital.
There are no active new building construction projects on this tax block.

The majority, or 31 percent of the 110,652 square feet of built space are mixed-use buildings, with retail buildings next occupying 29 percent of the space.

The buyer

The PincusCo database currently indicates that Kings Capital owned at least five commercial properties with 58 residential units in New York City with 41,502 square feet and a city-determined market value of $11.2 million. (Market value is typically about 50% of actual value.) The portfolio has $30.2 million in debt, borrowed from Webster Bank and Maxim Credit Group. Within the portfolio, all identified are walkup properties. The bulk, or 53 percent of the built space, is in Brooklyn, with Manhattan next at 47 percent of the space.

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