Klosed Properties sells mixed-use in Greenpoint for $4.2M

The anonymous entity 211 Faade LLC paid $4.2 million to Klosed Properties through the entity 211 Nassau, LLC for four-unit mixed-use building (S4) at 211 Nassau Avenue in Greenpoint, Brooklyn.
The deal closed on June 14, 2022 and was recorded on June 30, 2022. The property has 4,725 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $888 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 July 21, 2015, for $2.2 million. The signatory for Klosed Properties was Steven Kashanian. The signatory for 211 Faade LLC was Hilah Ruth Iaulus. This is the third property acquired by an anonymous buyer with Hilah Ialus as the buyer’s authorized signatory since April 2022.

Prior sales and revenue

The seller Klosed Properties purchased at least five properties in four transactions for a total of $26.2 million and had not sold any properties over the past 24 months. The former owners according to the Department of Housing Preservation and Development includes Steven Kashanian, head officer and Jonathan Ismaili, agent. The business entities are Bluesky Management Ny Llc and 211 Nassau Llc.

The property

The 211 Nassau Avenue parcel has frontage of 25 feet and is 85 feet deep with a total lot size of 2,125 square feet. The zoning is R6B which allows for up to 2 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.3 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property since September of 2020. In addition, according to city public data, the property has received $80 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 Greenpoint, the bulk, or 23 percent of the 29.6 million square feet of commercial built space are residential walkup buildings, with industrial buildings next occupying 21 percent of the space. In sales, Greenpoint has 1.6 times the average sales volume among other neighborhoods with $450.6 million in sales volume in the last two years and is the 5th highest in Brooklyn. For development, Greenpoint has 3.7 times the average amount of major developments relative to other neighborhoods and is the 5th highest in Brooklyn. It had 3.4 million square feet of commercial and multi-family construction under development in the last two years, which represents 11 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of 25 of the 25 commercial properties representing 125,940 square feet of the 125,940 square feet. The largest owner is Zygmunt Szumowski, followed by Sugar Hill Capital Partners and then Aaron Jungreis. There are no active new building construction projects on this tax block.

The majority, or 48 percent of the 222,498 square feet of built space are residential walkup buildings, with 1-4 family buildings next occupying 43 percent of the space.

The seller

The PincusCo database currently indicates that Klosed Properties owned at least 49 commercial properties with 567,114 square feet and a city-determined market value of $86.5 million. (Market value is typically about 50% of actual value.) The portfolio has $5.4 million in debt, borrowed from New York Community Bank. Within the portfolio, the bulk, or 45 percent of the 567,114 square feet of built space are walkup properties, with industrial properties next occupying 20 percent of the space. The bulk, or 39 percent of the built space, is in Bronx, with Manhattan next at 31 percent of the space.

Surrounding

Within a 400-foot radius of 211 Nassau Avenue, Pincusco identified five commercial real estate items of interests occurred over the past 24 months.
Of those five items, one was for major renovation including a certificate of occupancy change. It was a permit application filed on June 18, 2022 for the $515,000 renovation of 4,000-square-foot R-2 building with four residential units at 195 North Henry Street.
Of those five items, four were loans above $5 million totaling $49 million. The most recent of the four was Blank Property Group which borrowed $25.3 million from RCG Longview and CenterSquare Investment Management secured by the 7,786-square-foot, three-unit mixed-use building (S2) on 201 Nassau Avenue and 11 other properties on February 22, 2022.

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