Lay Assets signs $12M loan with Valley National for dev site in Midwood

Lay Assets through the entity 1210 Ocean Parkway LLC as borrower signed a acquisition loan with lender Valley National Bank valued at $12 million for a multi-parcel development site including the property 1206 Ocean Parkway in Midwood, Brooklyn.
There are no new building development plans filed for these parcels, according to a PincusCo review of data.
The deal closed on April 19, 2023 and was recorded on May 5, 2023. The five properties have 6,440 square feet of built space and 59,473 square feet of additional air rights for a total buildable of 65,883 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $1,863 and the price per buildable square foot is $182 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 Lay Assets was Eddie Yair. The signatory for Valley National Bank was Harris Schornstein.

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 1220 Ocean Parkway.

The property

The 1-4 family building with 2 residential units in Midwood has 6,440 square feet of built space and 59,473 square feet of additional air rights for a total buildable of 65,883 square feet according to a PincusCo analysis of city data. The parcel has frontage of 36 feet and is 150 feet deep with a total lot size of 5,437 square feet. The zoning is R6A which allows for up to 3 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $2.6 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 not received any significant violations 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 block

On the tax block of 1220 Ocean Parkway, PincusCo has identified the owners of four of the 11 commercial properties representing 66,232 square feet of the 93,181 square feet. The largest owner is Slope Asset Management, followed by Moses J. Scharf and then Eliot Y. Ghatan.
There are no active new building construction projects on this tax block.

The majority, or 73 percent of the 93,181 square feet of built space are elevator buildings, with mixed-use buildings next occupying 19 percent of the space.

The borrower

The PincusCo database currently indicates that Lay Assets owned at least four commercial properties with 184 residential units in New York City with 123,019 square feet and a city-determined market value of $25.4 million. (Market value is typically about 50% of actual value.) The portfolio has $120.3 million in debt, borrowed from Valley National Bank. Within the portfolio, the bulk, or 100 percent of the 123,019 square feet of built space are elevator properties, with development properties next occupying 0 percent of the space. They are all located in Brooklyn.

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