Maverick buys 8 former Signature Bank notes totaling $247.25M secured by NYC properties

Maverick Real Estate Partners bought eight former Signature Bank loans that had a combined original principal value of $247.25 million, from a Blackstone Group affiliate. Bloomberg first reported the sale last week. The property owners include Himmel + Meringoff Properties, Jem Realty Management, Hilson Management, and others.

Maverick is an active note buyer in New York City.

In the largest note sale, Maverick Real Estate Partners through the entity 32nd Street Office LLC bought a note with an original principal of $65 million secured by Himmel + Meringoff Properties’ office building (O6) at 6 East 32nd Street in Park Avenue South, Manhattan.
The deal closed on February 22, 2024 and was recorded on February 23, 2024. The property has 145,500 square feet of built space according to a PincusCo analysis of city data.

In the second, Maverick Real Estate Partners through the entity Bronx Mixed Use LLC bought a note with an original principal of $55 million secured by Jem Realty Management’s retail building (O5) at 2488 Grand Concourse in Fordham Heights, Bronx. The deal closed on February 22, 2024 and was recorded on February 23, 2024. The prior lender was Signature Bank receiver which held debt that had an original loan amount of $55 million.

In the third, Maverick Real Estate Partners through the entity Fifth Office LLC bought a note with an original principal of $50 million secured by Hilson Management’s office building (O6) at 386 Fifth Avenue, also known as 390 Fifth Avenue, in Garment District, Manhattan. The deal closed on February 22, 2024 and was recorded on February 23, 2024. The prior lender was Signature Bank receiver which held debt that had an original loan amount of $50 million.The property has 133,544 square feet of built space according to a PincusCo analysis of city data.

In the fourth, Maverick Real Estate Partners through the entity Red Hook Industrial LLC bought a note with an original principal of $45.0 million secured by David Brecher’s industrial building (G8) at 128 Van Brunt Street in Red Hook, Brooklyn and industrial building (G8) at 130 Van Brunt Street in Red Hook, Brooklyn. The deal closed on February 22, 2024 and was recorded on February 23, 2024. The prior lender was Signature Bank receiver which held debt that had an original loan amount of $45 million.The two properties have 94,332 square feet of built space according to a PincusCo analysis of city data. David Brecher is CEO and founder of FM Home Loans.

In the fifth, Maverick Real Estate Partners through the entity Soho Mixed Use LLC bought a note with an original principal of $14.3 million from Signature Bank receiver secured by AB & Sons’s office building (O5) at 447 Broadway in SoHo, Manhattan. The deal closed on February 22, 2024 and was recorded on February 23, 2024. The prior lender was Signature Bank receiver which held debt that had an original loan amount of $14.3 million.The property has 25,000 square feet of built space according to a PincusCo analysis of city data.

In the sixth, Maverick Real Estate Partners through the entity Woodhaven Retail LLC bought a note with an original principal of $8.4 million from Signature Bank receiver secured by Soheil Darvish and Mehrdad Kahan’s specialty building (P9) at 96-01 Jamaica Avenue in Woodhaven, Queens, industrial building (G7) at N/A 96th Street in Woodhaven, Queens, and industrial building (G7) at N/A 96th Street in Woodhaven, Queens. The deal closed on February 22, 2024 and was recorded on February 23, 2024. The prior lender was Signature Bank receiver which held debt that had an original loan amount of $8.4 million.The three properties have 37,750 square feet of built space and 27,166 square feet of additional air rights for a total buildable of 64,977 square feet according to a PincusCo analysis of city data.

In the seventh, Maverick Real Estate Partners through the entity 163 Retail LLC bought a note with an original principal of $7.2 million from Signature Bank receiver secured by Comjem Associates’s mixed-use building (K4) at 163-165 West 48th Street in Midtown West, Manhattan. The deal closed on February 22, 2024 and was recorded on February 23, 2024. The prior lender was Signature Bank receiver which held debt that had an original loan amount of $7.2 million.The property has 5,820 square feet of built space and 28,377 square feet of additional air rights for a total buildable of 34,190 square feet according to a PincusCo analysis of city data.

In the eighth, Maverick Real Estate Partners through the entity 167 Retail LLC bought a note with an original principal of $2.3 million from Signature Bank receiver secured by Comjem Associates’s retail building (K2) at 167 West 48th Street in Midtown West, Manhattan. The deal closed on February 22, 2024 and was recorded on February 23, 2024. The prior lender was Signature Bank receiver which held debt that had an original loan amount of $2.3 million.The property has 2,855 square feet of built space and 5,537 square feet of additional air rights for a total buildable of 8,390 square feet according to a PincusCo analysis of city data.

The property

The office building in Park Avenue South has 145,500 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 66 feet and is 197 feet deep with a total lot size of 13,000 square feet. The lot is irregular. The zoning is C5-2 which allows for up to 10 times floor area ratio (FAR) for commercial and up to 10 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $32.8 million.

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 $2,400 in ECB penalties and $2,750 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 Park Avenue South, The majority, or 67 percent of the 9 million square feet of commercial built space are office buildings, with elevator buildings next occupying 16 percent of the space. In sales, Park Avenue South has had very little sales volume relative to other neighborhoods with $245.7 million in sales volume in the last two years. For development, Park Avenue South has 1.3 times the average amount of major developments relative to other neighborhoods and is the 21st highest in Manhattan. It had 1.3 million square feet of commercial and multi-family construction under development in the last two years, which represents 15 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of nine of the 26 commercial properties representing 725,802 square feet of the 2,092,839 square feet. The largest owner is Think Properties Nyc, followed by Stuart Watson and then Rosen Equities.
There are no active new building construction projects on this tax block.

The majority, or 71 percent of the 2.1 million square feet of built space are office buildings, with elevator buildings next occupying 16 percent of the space.

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