L&A Group Developers signs $12.5M refi with LMF Commercial for 44-unit development in Mt Hope
L&A Group Developers through the entity 106 Mt Hope LLC as borrower signed a refi loan with lender LMF Commercial valued at $12.5 million for the development parcel (V0) at 106 Mt Hope Place in Mt Hope, Bronx.
On the lot, there is one active new building construction project for a 44-unit, 25,861 square-foot R-2 building. The project was submitted by Lulzim Leguci with plans filed June 25, 2021 and permitted March 11, 2022.
The deal closed on October 27, 2023 and was recorded on November 1, 2023. The prior lender was Northeast Community Bank which held debt that had an original loan amount of $8.8 million.
The property has zero square feet of built space and 30,093 square feet of additional air rights for a total buildable of 30,093 square feet according to a PincusCo analysis of city data. The loan price per buildable square foot is $415 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 owner bought the property on June 10, 2021, for $1.6 million. The signatory for L&A Group Developers was Andrea Gjini. The signatory for LMF Commercial was Shanna Vidal-Pope.
Prior sales and revenue
The owners according to the Department of Housing Preservation and Development includes Andrea Gjini, head officer and Lulzim Leguci, officer. The business entity is 106 Mt Hope Llc.
The property
The parcel has frontage of 50 feet and is 100 feet deep with a total lot size of 4,999 square feet. The zoning is R8 which allows for up to 6.02 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $219,000.
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 two DOB violations and $1,950 in OATH penalties in the last year.
The neighborhood
In Mt Hope, The majority, or 57 percent of the 11 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 28 percent of the space. In sales, Mt Hope has the 19th highest sale turnover among other neighborhoods in Bronx with $90 million in sales volume in the last two years. For development, Mt Hope has had very little major development activity relative to other neighborhoods.It had 512,656 square feet of commercial and multi-family construction under development in the last two years, which represents 5 percent of the neighborhood’s built space.
The block
On this tax block, PincusCo has identified the owners of 11 of the 16 commercial properties representing 376,025 square feet of the 504,375 square feet. The largest owner is Ved Parkash, followed by Mount Hope Housing Company and then Monarch Properties.
On the tax block, there were three new building construction projects totaling 138,448 square feet. The largest is a 90-unit, 56,600 square-foot residential (R-2) building submitted by Postgraduate Center for Mental Health and filed by Jacob Barak with plans filed March 1, 2019 and it has not been permitted yet. The second largest is a 78-unit, 55,987 square-foot residential (R-2) building submitted by Postgraduate Center for Mental Health and filed by Jacob Barak with plans filed November 19, 2021 and permitted December 3, 2022.
The majority, or 91 percent of the 504,375 square feet of built space are elevator buildings, with walkup buildings next occupying 8 percent of the space.
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