Mordechai Kahan signs $5.6M construction loan with S3 Capital for 16-unit project in Bushwick

Mordechai Kahan through the entity 475/477 Central Avenue LLC as borrower signed a new construction loan with lender S3 Capital through the entity S3 Sb Real Estate Credit A Trust valued at $5.6 million for the 16-unit development at 477 Central Avenue in Bushwick, Brooklyn.

On these lots, there is one active new building construction project, B01156961, for a 16-unit, 10,989 square-foot residential (R-2) building. The project was submitted by Mordechai Kahan and filed by Mordechai Kahan with plans filed January 13, 2025 and permitted July 3, 2025.

ZD1 DOB Zoning Diagram_477 Central Avenue

The deal closed on May 21, 2025 and was recorded on July 30, 2025. The two properties have zero square feet of built space and 12,140 square feet of additional air rights for a total buildable of 12,140 square feet according to a PincusCo analysis of city data. The loan price per buildable square foot is $461 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 Mordechai Kahan was Mordechai Kahan.

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 not received any significant violations in the last year.

The neighborhood

In Bushwick, The bulk, or 44 percent of the 33.6 million square feet of commercial built space are walkup buildings, with elevator buildings next occupying 18 percent of the space. In sales, Bushwick has 1.9 times the average sales volume among other neighborhoods with $527.8 million in sales volume in the last two years and is the 12th highest in Brooklyn. For development, Bushwick has had very little major development activity relative to other neighborhoods.It had 927,713 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. There was one pre-foreclosure suit filed among other industrial buildings in the past 12 months.

The block

On the tax block of 477 Central Avenue, PincusCo has identified the owners of two of the 13 commercial properties representing 9,375 square feet of the 48,453 square feet. The two identified owners are Zev Zafir and Mendel Gold.
On the tax block, there were two new building construction projects totaling 18,475 square feet. The largest is a 16-unit, 10,989 square-foot residential (R-2) building submitted by Mordechai Kahan and filed by Mordechai Kahan with plans filed January 13, 2025 and permitted July 3, 2025. The second largest is a eight-unit, 7,486 square-foot residential (R-2) building submitted by Herman Weiser with plans filed July 26, 2016 and it has not been permitted yet.

The majority, or 51 percent of the 48,453 square feet of built space are mixed-use buildings, with walkup buildings next occupying 49 percent of the space.

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