Lender JY Capital Group acquires two properties in NoMad from borrower in $10.6M transaction

Lender JY Capital Group through the entity JYBGAD L.P. acquired from Osman Bessa through the entity 35 West 26th Street Realty LLC the office building (O5) at 33 West 26th Street and the  four-unit mixed-use building (S4) at 35 West 26th Street in NoMad, Manhattan. The city valued the transfer at $10.6 million, property records show.

According to the transfer, this is not a deed-in-lieu of foreclosure, but it is a transfer to the lender with the acknowledgement that the loan amount is greater than the value of the property. The sale was made with the, “Grantor’s determination that the outstanding debt exceeds the value of the property…”

The expected use is hold for sale.
The deal closed on July 10, 2025 and was recorded on July 16, 2025. The two properties have 20,065 square feet of built space and 29,331 square feet of additional air rights for a total buildable of 49,380 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $527 and the price per buildable square foot is $214 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 Osman Bessa was Osman Bessa. The contract date was July 7, 2025.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer JY Capital Group purchased one property in one transaction for a total of $5 million and has no record it sold any properties over the past 24 months.
The seller Osman Bessa had not purchased any other properties and had not sold any properties over the same time period. Out of the two properties, one with a total of 20,065 square feet of built space generated revenue of $636,742 per year.

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, 14 housing violations, $1,420 in OATH penalties, and one housing litigation 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 NoMad, The majority, or 66 percent of the 13 million square feet of commercial built space are office buildings, with hotel buildings next occupying 15 percent of the space. In sales, NoMad has 1.4 times the average sales volume among other neighborhoods with $370.4 million in sales volume in the last two years and is the 23rd highest in Manhattan. For development, NoMad has 1.7 times the average amount of major developments relative to other neighborhoods and is the 15th highest in Manhattan. It had 2.4 million square feet of commercial and multi-family construction under development in the last two years, which represents 18 percent of the neighborhood’s built space.

The block

On the tax block of 35 West 26th Street, PincusCo has identified the owners of 16 of the 33 commercial properties representing 1,217,763 square feet of the 1,924,865 square feet. The largest owner is J.P. Morgan Asset Management, followed by GFP Real Estate and then Stellar Management.
There are no active new building construction projects on this tax block.

The majority, or 69 percent of the 1.9 million square feet of built space are office buildings, with elevator buildings next occupying 25 percent of the space.

The seller

The PincusCo database currently indicates that Osman Bessa owned at least two commercial properties with four residential units in New York City with 20,065 square feet and a city-determined market value of $8.7 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 55 percent of the 20,065 square feet of built space are office properties, with mixed-use properties next occupying 45 percent of the space. They are all located in Manhattan.

The buyer

The PincusCo database currently indicates that JY Capital Group owned at least one commercial property with 35 residential units in New York City with 20,570 square feet and a city-determined market value of $1.5 million. (Market value is typically about 50% of actual value.) The portfolio consists of at least a single walkup property. It is located in Bronx.

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