Mendel Kaff pays $9.2M for office building in Sheepshead Bay

Mendel Kaff through the entity Ra Ex LLC paid $9.2 million in an entity-level purchase from Sg Ny Capital LLC for 2021 Avenue X in Sheepshead Bay, Brooklyn. The entity of record that owns the property remains ZNC LLC.

Mendel Kaff is identified as the CEO of the buyer entity.

The office building in Sheepshead Bay has 6,250 square feet of built space and 1,199 square feet of additional air rights for a total buildable of 7,499 square feet according to a PincusCo analysis of city data. The parcel has frontage of 100 feet and is 100 feet deep with a total lot size of 9,999 square feet. The zoning is R4 which allows for up to 0.75 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $980,000.

The 6,250-square-foot property generated revenue of $184,186 or $29 per square foot, according to the most recent income and expense figures.

Violations and lawsuits

According to city public data, the property has not received any significant violations in the last year.

There were no lawsuits or bankruptcies filed against the property for the past 24 months.

The neighborhood

In Sheepshead Bay, The bulk, or 43 percent of the 26.5 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 17 percent of the space. In sales, Sheepshead Bay has near average sales volume among other neighborhoods with $469 million in sales volume in the last two years and is the 15th highest in Brooklyn. For development, Sheepshead Bay has near average amount of major developments among other neighborhoods and is the 21st highest in Brooklyn. It had 677,860 square feet of commercial and multi-family construction under development in the last two years, which represents 3 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of three of the 34 commercial properties representing 65,986 square feet of the 904,928 square feet. The largest owner is ACHS Management, followed by Domenica Dimaggio and then Max Kutsyk. There are no active new building construction projects on this tax block.

The surrounding

Within a 400-foot radius of 2025 Avenue X, PincusCo identified two commercial real estate items of interests occurred over the past 24 months. Of those two items, one was in new building development. It was a new building permit application filed on March 1, 2022 for a 12,556-square-foot business (B) building at 2776 Ocean Avenue. One of those two items was a loan which Domenica DiMaggio borrowed $5.1 million from JPMorgan Chase secured by the 57,000-square-foot, 60-unit rental (D1) on 2765 Ocean Avenue on April 11, 2022.

Direct link to the property’s ACRIS page and link to DOB NOW portal.