Morty Yashar signs $37.5M refi for five mixed-use properties in Williamsburg

Morty J. Yashar through the entity Marjay Realty, LLC as borrower signed a refi loan with lender Signature Bank valued at $37.5 million for five mixed-use properties including the 40-unit mixed-use building (K4) at 179-197 North 9th Street in Williamsburg, Brooklyn, 40-unit mixed-use building (K4) at 482-504 Driggs Avenue in Williamsburg, Brooklyn, and 40-unit mixed-use building (K4) at 193-197 North 9th Street in Williamsburg, Brooklyn.
The deal closed on June 24, 2022 and was recorded on July 18, 2022. The prior lender was Santander Bank which held debt that had an original loan amount of $35 million.The five properties have 113,722 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $329 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 Morty J. Yashar was Morty J. Yashar. The signatory for Signature Bank was Polykarpos Kotronis.

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 179-197 North 9th Street.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Brian Glicksman, head officer and Jennifer Lee, site manager. The business entity is Marjay Realty Llc. The five properties with a total of 113,722 square feet of built space generated revenue of $4.4 million per year or $38 per square foot.

The property

The 179-197 North 9th Street parcel has frontage of 200 feet and is 200 feet deep with a total lot size of 35,000 square feet. The lot is irregular. The zoning is M1-2/R6A which allows for up to 2 times floor area ratio (FAR) for manufacturing and up to 3 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $23.7 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have received $1,250 in ECB penalties and $1,250 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 $5 million on this tax lot.

The neighborhood

In Williamsburg, the bulk, or 39 percent of the 50 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 25 percent of the space. In sales, Williamsburg has the 8th highest sale turnover among other neighborhoods in the city with $1.5 billion in sales volume in the last two years. For development, Williamsburg is the 8th most active neighborhood among other neighborhoods. It had 5.2 million square feet of commercial and multi-family construction under development in the last two years, which represents 10 percent of the neighborhood’s built space. There were eight pre-foreclosure suit filed among other mixed-use buildings in the past 12 months.

The block

On the tax block of 179-197 North 9th Street, PincusCo has identified the owners of one of the nine commercial properties representing 2,935 square feet of the 187,076 square feet. The identified owner is Joel Schwartz. There are two active new building construction projects totaling 10,064 square feet. The largest is a seven-unit, 4,671-square-foot R-2 building developed by Yisroel Greenfeld with plans filed August 21, 2020 and it has not been permitted yet.The second largest is a eight-unit, 5,393-square-foot R-2 building developed by Yisroel Greenfeld with plans filed January 12, 2021 and it has not been permitted yet.

the majority, or 86 percent of the 187,076 square feet of built space are mixed-use buildings, with walkup buildings next occupying 12 percent of the space.

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