Kosher grocer pays $8.4M for four adjacent properties in Borough Park

The Kosher grocer Kosher Mehadrin Operations USA paid a total of $8.4 million for four adjacent properties, 4113 through 4121 13th Avenue in Borough Park, Brooklyn to separate owners in two separate transactions. The four properties do not include a corner.

In the first, Kosher Mehadrin Operations USA through the entity Kosher Mehadrin Operations USA LLC paid $4.5 million to Cindy Wallach Blond and Gary Blond through the entity 41 13 Yc LLC for the two-unit mixed-use building (S2) at 4115 13th Avenue in Borough Park, Brooklyn and two-unit mixed-use building (S2) at 4113 13th Avenue in Borough Park, Brooklyn.
The deal closed on August 29, 2023 and was recorded on September 6, 2023. The two properties have 7,200 square feet of built space and 576 square feet of additional air rights for a total buildable of 7,776 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $625 and the price per buildable square foot is $578 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 Cindy Wallach Blond and Gary Blond was Cindy Wallach Blond and Gary Blond. The signatory for Kosher Mehadrin Operations USA was Martin Rotter. The contract date was March 30, 2023. Mehadrin refers to a very stringent level of kosher dietary law. Mehudar Meat & Deli is located at the address of the buyer, 4013 13th Avenue.

In the second, Kosher Mehadrin Operations USA through the entity Kosher Mehadrin Operations USA LLC paid $3.9 million to Ellen Siegel through the entity G&G Decorators Inc. for the two-unit mixed-use building (S2) at 4121 13th Avenue in Borough Park, Brooklyn and two-unit mixed-use building (S2) at 4119 13th Avenue in Borough Park, Brooklyn. The deal closed on August 29, 2023 and was recorded on September 6, 2023. The two properties have 6,000 square feet of built space and 1,760 square feet of additional air rights for a total buildable of 7,776 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $650 and the price per buildable square foot is $501 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 Ellen Siegel was Ellen Siegel. The signatory for Kosher Mehadrin Operations USA was Martin Rotter. The contract date was January 26, 2023.

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 4115 13th Avenue.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Kosher Mehadrin Operations USA had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Cindy Wallach Blond had not purchased any other properties and had not sold any properties over the same time period.

The property

The mixed-use building with 2 residential units in Borough Park has 7,200 square feet of built space and 576 square feet of additional air rights for a total buildable of 7,776 square feet according to a PincusCo analysis of city data. The parcel has frontage of 20 feet and is 80 feet deep with a total lot size of 1,600 square feet. The zoning is R6 which allows for up to 2.43 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $1.6 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties for the past 24 months. In addition, according to city public data, the properties have received one DOB violation 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 Borough Park, The bulk, or 25 percent of the 23.2 million square feet of commercial built space are specialty buildings, with mixed-use buildings next occupying 21 percent of the space. In sales, Borough Park has 1.3 times the average sales volume among other neighborhoods with $481.5 million in sales volume in the last two years and is the 15th highest in Brooklyn. For development, Borough Park has had very little major development activity relative to other neighborhoods.It had 814,800 square feet of commercial and multi-family construction under development in the last two years, which represents 4 percent of the neighborhood’s built space.

The block

On the tax block of 4115 13th Avenue, PincusCo has identified the owners of two of the 23 commercial properties representing 7,560 square feet of the 109,122 square feet. The two identified owners are Tzvi Wertheimer and Hamaspik Kings.
There are no active new building construction projects on this tax block.

The majority, or 59 percent of the 109,122 square feet of built space are mixed-use buildings, with specialty buildings next occupying 16 percent of the space.

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