Mordechai Halberstam signs $16.5M refi for residential elevator in Bedford Stuyvesant

Mordechai Halberstam through the entity Mor Rosen LLC as borrower signed a refi loan with lender First Republic Bank valued at $16.5 million for the 49-unit residential elevator building (D1) at 20 Prescott Place in Bedford Stuyvesant, Brooklyn.
The deal closed on December 1, 2022 and was recorded on December 9, 2022. The prior lender was Investors Bank which held debt that had an original loan amount of $15.1 million. The property has 43,261 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $381 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 owner bought the property on June 23, 2016, for $2.5 million. The signatory for Mordechai Halberstam was Mordechai Halberstam. The signatory for First Republic Bank was Alan J. Perlowitz.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Mordechai Halberstam, head officer and David Denis, agent. The business entities are Mazeh and Mor Rosen Llc.

The property

The 20 Prescott Place parcel has frontage of 145 feet and is 90 feet deep with a total lot size of 8,035 square feet. The lot is irregular. The zoning is M1-1/R7D which allows for up to 1 times floor area ratio (FAR) for manufacturing and up to 4.2 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.4 million.The most recent loan totaled $13 million and was provided by Investors Bank on October 27, 2020.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property since September of 2020. In addition, according to city public data, the property has received $10,000 in ECB penalties and $11,250 in OATH penalties in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on July 22, 2022. There are no active new building construction projects or major alteration projects with initial costs more than $5 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of five of the 13 commercial properties representing 63,853 square feet of the 68,036 square feet. The largest owner is Bruman Realty, followed by Mordechai Halberstam and then NYC Partnership Housing Development Fund.
On the tax block, there were six new building construction projects totaling 52,676 square feet. The largest is a 20-unit, 18,950-square-foot R-2 building developed by Solomon Feder with plans filed March 7, 2018 and permitted April 5, 2019. The second largest is a 13-unit, 12,211-square-foot R-2 building developed by Rona Reodica with plans filed May 7, 2020 and permitted August 19, 2021.

The majority, or 94 percent of the 68,036 square feet of built space are elevator buildings, with mixed-use buildings next occupying 6 percent of the space.

The borrower

The PincusCo database currently indicates that Mordechai Halberstam owned at least 10 commercial properties in New York City with 290,661 square feet and a city-determined market value of $30.9 million. (Market value is typically about 50% of actual value.) The portfolio has $55.1 million in debt, with top three lenders as Santander Bank, Citibank, and Investors Bank respectively. Within the portfolio, the bulk, or 66 percent of the 290,661 square feet of built space are elevator properties, with walkup properties next occupying 32 percent of the space. They are all located in Brooklyn.

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