Margules Properties signs $9.3M refi with Derby Copeland for walkups in Manhattan

Margules Properties through the entity St. Clinton Properties I, LLC as borrower signed a refi loan with lender Derby Copeland Capital through the entity FCR DC JV LLC valued at $9.3 million for two walkups with 24 residential units including the 16-unit residential walkup building (C7) at 43 Clinton Street in the Lower East Side, and the eight-unit walkup (C4) at 29 St Marks Place in the East Village, Manhattan.
The deal closed on May 15, 2025 and was recorded on May 23, 2025. The prior lender was Flagstar Bank which held debt that had an original loan amount of $9 million. The two properties have 15,639 square feet of built space and 6,119 square feet of additional air rights for a total buildable of 21,736 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $594 and the price per buildable square foot is $427 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 Margules Properties was Eric S. Margules . The signatory for Derby Copeland Capital was Jesse Hutcher .

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 29 St Marks Place.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Eric Margules, head officer and Elizabeth Novotny, agent. The business entities are Rowdy Management and St. Clarks Properties, LLC. Out of the two properties, one with a total of 15,639 square feet of built space generated revenue of $646,164 per year.

The property

The residential walkup building with 8 residential units in East Village has 15,639 square feet of built space and 6,119 square feet of additional air rights for a total buildable of 21,736 square feet according to a PincusCo analysis of city data. The parcel has frontage of 26 feet and is 112 feet deep with a total lot size of 2,934 square feet. The zoning is R8B which allows for up to 4 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $3.9 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 four DOB violations, $7,500 in ECB penalties, nine housing violations, $18,135 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 block

On the tax block of 29 St Marks Place, PincusCo has identified the owners of 16 of the 30 commercial properties representing 162,008 square feet of the 270,844 square feet. The largest owner is Gpg Properties, followed by Toraji Corporation and then Movcap.
On the tax block, there was one new building construction project filed totaling 29,089 square feet. It is a 29,089 square-foot business (B) building submitted by Mark Seigel with plans filed October 12, 2018 and permitted April 27, 2023.

The majority, or 56 percent of the 270,844 square feet of built space are walkup buildings, with mixed-use buildings next occupying 16 percent of the space.

The borrower

The PincusCo database currently indicates that Margules Properties owned at least four commercial properties with 43 residential units in New York City with 32,950 square feet and a city-determined market value of $13.2 million. (Market value is typically about 50% of actual value.) The portfolio has $19 million in debt, borrowed from Flushing Bank and Ridgewood Savings Bank. Within the portfolio, all identified are walkup properties. They are all located in Manhattan.

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