Macchia Group pays $5.8M for gas station in Cypress Hills

Bethpage-based gas station operator Macchia Group through the entity 3123 Atlantic Owners LLC paid $5.8 million to Doron Markowitz through the entity Paap Equities, Inc for the BP gas station (G4) at 3123 Atlantic Avenue in Cypress Hills, Brooklyn. The expected use is cash flowing.
The deal closed on December 20, 2024 and was recorded on January 8, 2025. The property has 1,845 square feet of built space and 64,706 square feet of additional air rights for a total buildable of 66,587 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $3,116 and the price per buildable square foot is $86 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 Doron Markowitz was Doron Markowitz. The signatory for Macchia Group was George Macchia. The contract date was December 3, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Macchia Group had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Doron Markowitz had not purchased any other properties and had not sold any properties over the same time period.

The property

The industrial building in Cypress Hills has 1,845 square feet of built space and 64,706 square feet of additional air rights for a total buildable of 66,587 square feet according to a PincusCo analysis of city data. The parcel has frontage of 100 feet and is 101 feet deep with a total lot size of 11,061 square feet. The lot is irregular. The zoning is R8A which allows for up to 6.02 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $889,000.

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 $375 in OATH penalties 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 Cypress Hills, The bulk, or 24 percent of the 8.6 million square feet of commercial built space are mixed-use buildings, with specialty buildings next occupying 20 percent of the space. In sales, Cypress Hills has had very little sales volume relative to other neighborhoods with $75.8 million in sales volume in the last two years. For development, Cypress Hills has had very little major development activity relative to other neighborhoods.It had 669,674 square feet of commercial and multi-family construction under development in the last two years, which represents 8 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of three of the 12 commercial properties representing 11,355 square feet of the 50,665 square feet. The largest owner is Efrain Collado, followed by Lo Kwan and then Christopher Sowers.
There are no active new building construction projects on this tax block.

The majority, or 36 percent of the 50,665 square feet of built space are walkup buildings, with industrial buildings next occupying 33 percent of the space.

The seller

The PincusCo database currently indicates that Doron Markowitz owned at least two commercial properties with 26 residential units in New York City with 28,370 square feet and a city-determined market value of $8.8 million. (Market value is typically about 50% of actual value.) The portfolio has $5 million in debt, borrowed from New York Community Bank. Within the portfolio, the bulk, or 52 percent of the 28,370 square feet of built space are elevator properties, with retail properties next occupying 48 percent of the space. The bulk, or 52 percent of the built space, is in Manhattan, with Brooklyn next at 48 percent of the space.

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