National Grid pays $15M to Dib Mgmt. for 9 vacant lots in East New York

National Grid through the entity The Brooklyn Union Gas Company paid $15 million to Dib Management through the entity Hinsdale Commercial Property LLC for the vacant lots (V1) on Hinsdale Street, Snediker Avenue and Sutter Avenue in East New York, Brooklyn.
The deal closed on June 17, 2024 and was recorded on June 21, 2024. The nine properties have zero square feet of built space and 58,930 square feet of additional air rights for a total buildable of 58,930 square feet according to a PincusCo analysis of city data. The sale price per buildable square foot is $254 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 Dib Management was Roland Dib. The signatory for National Grid was Brian Varga. The contract date was June 27, 2023.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer National Grid had purchased any other properties and sold one property in one transaction for a total of $51 million over the past 24 months.
The seller Dib Management purchased one property in one transaction for a total of $19.9 million and had not sold any properties over the same time period.

The property

The parcel has frontage of 40 feet and is 100 feet deep with a total lot size of 3,999 square feet. The zoning is M1-4 which allows for up to 2 times floor area ratio (FAR) for manufacturing. The city-designated market value for the property in 2022 is $261,000.

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.

Development

There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.

The neighborhood

In East New York, The bulk, or 40 percent of the 44.5 million square feet of commercial built space are elevator buildings, with industrial buildings next occupying 21 percent of the space. In sales, East New York has 1.4 times the average sales volume among other neighborhoods with $363.3 million in sales volume in the last two years and is the 22nd highest in Brooklyn. For development, East New York is the 10th most active neighborhood among other neighborhoods. It had 5 million square feet of commercial and multi-family construction under development in the last two years, which represents 11 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other development buildings in the past 12 months.

The block

On the tax block, there was one new building construction project filed totaling 1,648 square feet. It is a 1,648 square-foot storage (S-2) building submitted by Arturo Munoz with plans filed August 16, 2022 and it has not been permitted yet.

The majority, or 93 percent of the 20,128 square feet of built space are industrial buildings, with development buildings next occupying 7 percent of the space.

The seller

The PincusCo database currently indicates that Dib Management owned at least five commercial properties with eight residential units in New York City with 248,972 square feet and a city-determined market value of $25.7 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 90 percent of the 248,972 square feet of built space are industrial properties, with mixed-use properties next occupying 10 percent of the space. The bulk, or 90 percent of the built space, is in Brooklyn, with Manhattan next at 10 percent of the space.

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