Leonard Schwartz pays $6M for 24 residential units in Sheepshead Bay

Leonard Schwartz through the entity 2151-55 LLC paid $6 million to Vladislav Marom through the entity 2151 Ocean LLC for the two adjacent buildings with a total of 24 residential units and one commercial unit, at 2151 Ocean Avenue and 2155 Ocean Avenue in Sheepshead Bay, Brooklyn.

One building is a 12-unit residential elevator building (D1) at 2151 Ocean Avenue, and the other building, 2155 Ocean Avenue, is divided into 19 condominium units, composed of 12 residential units, one medical office unit and six parking units.
The deal closed on June 4, 2024 and was recorded on June 10, 2024. The 20 properties have 31,657 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $189 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 Vladislav Marom was Leonard Ledereich. The signatory for Leonard Schwartz was Leonard Schwartz. The contract date was February 27, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Leonard Schwartz had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Vladislav Marom purchased one property in one transaction for a total of $1.2 million and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes Tehila Spigel, head officer and Carlos Zelaya, site manager. The business entities are Ids Property Management Llc and 2151 Ocean Llc.

The property

The zoning is R7A which allows for up to 4 times floor area ratio (FAR) for residential with inclusionary housing. The property has a 421A exemption that started in 2013 and expires in 2028. The city-designated market value for the property in 2022 is $1.4 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 $950 in OATH penalties in the last year.

The block

On the tax block of 2151 Ocean Avenue, PincusCo has identified the owners of two of the five commercial properties representing 117,675 square feet of the 185,675 square feet. The two identified owners are MP Management and David Malek.
There are no active new building construction projects on this tax block.

The majority, or 74 percent of the 185,675 square feet of built space are elevator buildings, with walkup buildings next occupying 26 percent of the space.

The buyer

The PincusCo database currently indicates that Leonard Schwartz owned at least 16 commercial properties with 1,070 residential units in New York City with 944,596 square feet and a city-determined market value of $66.6 million. (Market value is typically about 50% of actual value.) The portfolio has $46 million in debt, borrowed from New York Community Bank and Santander Bank. Within the portfolio, all identified are elevator properties. The bulk, or 96 percent of the built space, is in Brooklyn, with Manhattan next at 4 percent of the space.

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