MediSys Health Network pays $10.5M to Top Rock Holdings for office building in Jamaica

MediSys Health Network through the entity MediSys Health Network Inc. paid $10.5 million to Top Rock Holdings through the entity Jamaica Queens LLC for the office building (O5) at 143-02 Jamaica Avenue in Jamaica, Queens.
The deal closed on June 28, 2023 and was recorded on July 13, 2023. The property has 20,865 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $503 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 Top Rock Holdings was Joseph Yushuvayev. The signatory for MediSys Health Network was Bruce J. Flanz.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer MediSys Health Network had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Top Rock Holdings purchased 11 properties in six transactions for a total of $132.3 million and sold two properties in two transactions for a total of $5.2 million over the same time period.

The property

The office building in Jamaica has 20,865 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 60 feet and is 121 feet deep with a total lot size of 5,212 square feet. The lot is irregular. The zoning is R6A which allows for up to 3 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.9 million. The most recent loan totaled $5.4 million and was provided by Alpine Capital Bank on February 5, 2020.

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 $7,500 in ECB penalties and $7,500 in OATH penalties in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on May 26, 2023. 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 Jamaica, The bulk, or 34 percent of the 29.2 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 14 percent of the space. In sales, Jamaica has near average sales volume among other neighborhoods with $371.7 million in sales volume in the last two years and is the 5th highest in Queens. For development, Jamaica has 3.8 times the average amount of major developments relative to other neighborhoods and is the 3rd highest in Queens. It had 3.9 million square feet of commercial and multi-family construction under development in the last two years, which represents 13 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of two of the eight commercial properties representing 27,565 square feet of the 50,875 square feet. The two identified owners are Christopher Mahabir and 5 Boro Real Estate Partners.
There are no active new building construction projects on this tax block.

The majority, or 62 percent of the 50,875 square feet of built space are office buildings, with walkup buildings next occupying 20 percent of the space.

The seller

The PincusCo database currently indicates that Top Rock Holdings owned at least 12 commercial properties with nine residential units in New York City with 172,650 square feet and a city-determined market value of $46.3 million. (Market value is typically about 50% of actual value.) The portfolio has $20.6 million in debt, with top three lenders as Lightstone Group, Golden Bridge Funding, and Northwind Group respectively. Within the portfolio, the bulk, or 41 percent of the 172,650 square feet of built space are specialty properties, with M1 properties next occupying 39 percent of the space. The bulk, or 83 percent of the built space, is in Queens, with Bronx next at 12 percent of the space.

Direct link to Acris document. link