Kings Capital pays $9.6M for Brooklyn Law School walkups in Brooklyn Heights

Kings Capital through the entity 148-150 Clinton LLC paid $9.6 million to Brooklyn Law School as trustee for an entity affiliated with Sheridan Albert through the entity Albert Charitable Remainder Annuity Trust for the 13-unit residential walkup building (C1) at 148 Clinton Street in Brooklyn Heights, Brooklyn and eight-unit residential walkup building (C1) at 150 Clinton Street in Brooklyn Heights, Brooklyn.
The deal closed on October 12, 2022 and was recorded on October 17, 2022. The two properties have 15,512 square feet of built space and 785 square feet of additional air rights according to PincusCo analysis of city data. The sale price per built square foot is $618 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 Brooklyn Law School and Sheridan Albert was Michael Gerber. The signatory for Kings Capital was Jeffrey Znaty. Kings Capital is based in Brooklyn and is led by George Giannopoulos, Jeffrey Znaty and Richard Wheeler

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 150 Clinton Street.

Prior sales and revenue

Prior to this transaction, Pincusco has records that the buyer Kings Capital purchased one property in one transaction for a total of $5.5 million and sold one property in one transaction for a total of $2.1 million over the past 24 months.
The seller Brooklyn Law School 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 Michael Cahill, head officer and Steven Oleksiw, officer. The business entity is Brooklyn Law School As Trustee. Out of the two properties, one with a total of 15,512 square feet of built space generated revenue of $281,614 per year.

The property

The 150 Clinton Street parcel has frontage of 25 feet and is 109 feet deep with a total lot size of 2,807 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 property is in the Brooklyn Heights Historic District. The city-designated market value for the property in 2022 is $3.6 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 $250 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 150 Clinton Street, PincusCo has identified the owners of two of the 13 commercial properties representing 10,716 square feet of the 88,921 square feet. The two identified owners are Harry Klug and Paul Fried.
There are no active new building construction projects on this tax block.

The majority, or 58 percent of the 88,921 square feet of built space are walkup buildings, with specialty buildings next occupying 26 percent of the space.

The seller

The PincusCo database currently indicates that Brooklyn Law School owned at least two commercial properties in New York City with 252,219 square feet and a city-determined market value of $47 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 96 percent of the 252,219 square feet of built space are elevator properties, with walkup properties next occupying 4 percent of the space. They are all located in Brooklyn.

The buyer

The PincusCo database currently indicates that Kings Capital owned at least two commercial properties in New York City with 16,090 square feet and a city-determined market value of $3.5 million. (Market value is typically about 50% of actual value.) The portfolio has $5.3 million in debt, borrowed from Maxim Credit Group. Within the portfolio, all identified are walkup properties. The bulk, or 59 percent of the built space, is in Manhattan, with Brooklyn next at 41 percent of the space.

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