Moshe Greenzweig pays $16.45M to Sugar Hill Capital Partners for 8 residential walkups in Harlem

Moshe Greenzweig paid $16.45 million to Sugar Hill Capital Partners for eight residential walkups in Harlem with a total of 85 units in eight separate transactions. The purchase was financed with a $14.35 million loan from Signature Bank.

In the largest transaction, Moshe Greenzweig through the entity 243 W 116 Holdings LLC paid $3.4 million to Sugar Hill Capital Partners through the entity 243 West 116th Owner LLC for the 16-unit residential walkup building (C7) at 243 West 116th Street in Harlem, Manhattan.
The deal closed on December 20, 2022 and was recorded on January 3, 2023. The property has 17,856 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $191 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 seller bought the property on December 10, 2018, for $6.2 million. The signatory for Sugar Hill Capital Partners was Margaret Grossman. The signatory for Moshe Greenzweig was Moe Greenzweig.
The other properties include 141 West 116th Street, 141 West 113th Street, 113 West 113th Street, 140 West 112th Street, 126 West 112th Street, 124 West 112th Street and 138 West 112th Street.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Moshe Greenzweig purchased six properties in six transactions for a total of $56.6 million and has no record it sold any properties over the past 24 months.
The seller Sugar Hill Capital Partners had not purchased any other properties and sold nine properties in nine transactions for a total of $44.5 million over the same time period. The former owners according to the Department of Housing Preservation and Development includes Scott Castellano, head officer and Shane Rajcooar, agent. The business entities are Trihill Management Llc and 243 West 116th Owner, Llc. The 17,856-square-foot property generated revenue of $356,525 or $20 per square foot, according to the most recent income and expense figures.

The property

The 243 West 116th Street parcel has frontage of 40 feet and is 100 feet deep with a total lot size of 4,035 square feet. The zoning is R7A which allows for up to 4 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.2 million.

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 30 housing violations, $9,410 in OATH penalties, and one housing litigation 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 block

On this tax block, PincusCo has identified the owners of 17 of the 20 commercial properties representing 416,567 square feet of the 429,413 square feet. The largest owner is Thor Equities, followed by Sugar Hill Capital Partners and then New York City Housing Authority.
There are no active new building construction projects on this tax block.

The majority, or 58 percent of the 427,367 square feet of built space are elevator buildings, with walkup buildings next occupying 39 percent of the space.

The seller

The PincusCo database currently indicates that Sugar Hill Capital Partners owned at least 95 commercial properties in New York City with 1,765,017 square feet and a city-determined market value of $220.7 million. (Market value is typically about 50% of actual value.) The portfolio has $150.9 million in debt, with top three lenders as Signature Bank, Citibank, and New York Community Bank respectively. Within the portfolio, the bulk, or 55 percent of the 1,765,017 square feet of built space are walkup properties, with elevator properties next occupying 35 percent of the space. The bulk, or 72 percent of the built space, is in Manhattan, with Brooklyn next at 28 percent of the space.

The buyer

The PincusCo database currently indicates that Moshe Greenzweig owned at least nine commercial properties in New York City with 589,440 square feet and a city-determined market value of $27.8 million. (Market value is typically about 50% of actual value.) The portfolio has $42.4 million in debt, borrowed from New York Community Bank. Within the portfolio, the bulk, or 80 percent of the 589,440 square feet of built space are elevator properties, with walkup properties next occupying 20 percent of the space. The bulk, or 74 percent of the built space, is in Brooklyn, with Queens next at 26 percent of the space.

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