Kinsmen Property Group pays $10M to expand Third Ave. dev site in East Village

Kinsmen Property Group through the entity 62-64 Third Ave L.P. paid $10 million to George Nanas through the entity Soix Realty Corp. for the three-unit mixed-use building at 58 Third Avenue in the East Village, Manhattan. This is the fifth parcel the firm has acquired since 2018, with a total of 126 feet of frontage on Third Avenue, at the corner of East 11th Street. The total acquisition price has been $56.7 million.

The deal closed on January 26, 2022 and was recorded on February 9, 2022.
The property has 6,308 square feet of built space and 4,825 square feet of additional air rights for a total buildable of 11,130 square feet according to PincusCo analysis of city data. The sale price per built square foot is $1,585 and the price per buildable square foot is $898 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 seller bought the property on December 28, 2007, for $4.5 million.
The signatory for George Nanas was George Nanas. The signatory for Kinsmen Property Group was Ari Zagdanski.
Prior to this transaction, the buyer Kinsmen Property Group purchased two properties in two transactions for a total of $23.7 million and signed a ground lease as landlord for seven properties in one transactions for a total of $50 million over the past 24 months.
The seller George Nanas had not purchased any other properties and had not sold any properties over the same time period.
The 6,308-square-foot property generated revenue of $347,129 or $55 per square foot, according to the most recent income and expense figures.

In East Village, the bulk, or 35 percent of the 19.3 million square feet of built space are residential walkup buildings, with residential elevator buildings next occupying 27 percent of the space. In sales, East Village has 2.1 times the average sales volume among other neighborhoods with $593.6 million in sales volume in the last two years and is the 21st highest in Manhattan. For development, East Village has had very little major development activity relative to other neighborhoods.It had 152,634 square feet of commercial and multi-family construction under development in the last two years, which represents 0.79 percent of the neighborhood’s built space.
On the tax block, the majority, or 37 percent of the 873,355 square feet of built space are residential elevator buildings, with hotel buildings next occupying 33 percent of the space.
The former owners according to the Department of Housing Preservation and Development includes George Nanas, head officer and Marie Nanas, officer. The business entity was Soix Realty Corp.
Within a 400-foot radius of 58 3rd Avenue, PincusCo identified eight commercial real estate items of interests occurred over the past 24 months.
Of those eight items, four were sales above $5 million totaling $40.1 million. The most recent of the four was Manhattan Christian Gathering Inc. which bought one condo unit in the 3,657-square-foot, 12-unit mixed-use building (RM) on 130 East 12th Street for $5.2 million from 130 East Realty LLC on January 10, 2022.
Of those eight items, four were loans above $5 million totaling $260.3 million. The most recent of the four was Slate Property Group which borrowed $34.6 million from Sterling National Bank secured by one condo unit in the 30,662-square-foot, 29-unit mixed-use building (RM) on 47 3rd Avenue on October 27, 2020.

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