Oren Sendowski pays $8.5M to Jay Katz for mixed-use in Belmont

Oren Sendowski through the entity 410 E189, LLC paid $8.5 million to Jay Katz through the entity Banner Realty Company LLC for mixed-use building (K2) at 410 to 420 East 189th Street in Belmont, Bronx.
The deal closed on June 6, 2022 and was recorded on June 29, 2022. The property has 15,010 square feet of built space and 24,256 square feet of additional air rights for a total buildable of 39,250 square feet according to PincusCo analysis of city data. The sale price per built square foot is $566 and the price per buildable square foot is $216 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 Jay Katz was Jay Katz. The signatory for Oren Sendowski was Oren Sendowski.

Prior sales and revenue

Prior to this transaction, Pincusco has records that the buyer Oren Sendowski purchased one properties in one transactions for a total of $2.8 million and has no record it sold any properties over the past 24 months.
The seller Jay Katz had not purchased any other properties and had not sold any properties over the same time period. The 15,010-square-foot property generated revenue of $571,731 or $38 per square foot, according to the most recent income and expense figures.

The property

The 410 to 420 East 189th Street parcel has frontage of 98 feet and is 83 feet deep with a total lot size of 7,850 square feet. The lot is irregular. The zoning is C4-5X which allows for up to 4 times floor area ratio (FAR) for commercial and up to 5 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $2.9 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 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 $5 million on this tax lot.

The neighborhood

In Belmont/Little Italy, the bulk, or 35 percent of the 17.6 million square feet of commercial built space are residential walkup buildings, with residential elevator buildings next occupying 22 percent of the space. In sales, Belmont/Little Italy has had very little sales volume relative to other neighborhoods with $73 million in sales volume in the last two years. For development, Belmont/Little Italy has had very little major development activity relative to other neighborhoods.It had 643,422 square feet of commercial and multi-family construction under development in the last two years, which represents 4 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of six of the 24 commercial properties representing 48,529 square feet of the 170,742 square feet. The largest owner is Fordham Bedford Housing Corporation, followed by Nestor Sinchi and then Belmont Arthur Avenue Local Development Corporation. There is one active new building construction project totaling 86,425 square feet. It is a 96-unit, 86,425-square-foot R-2 building developed by Oren Sendowski with plans filed October 30, 2013 and it has not been permitted yet.

The majority, or 73 percent of the 190,120 square feet of built space are residential walkup buildings, with mixed-use buildings next occupying 17 percent of the space.

Surrounding

Within a 400-foot radius of 410/420 East 189th Street, Pincusco identified 10 commercial real estate items of interests occurred over the past 24 months.
Of those 10 items, two were in new building development. There were one new building permit application and one new building permit. The most recent of these two items was a filing on March 22, 2021 for a 14,548-square-foot hotel (R-1) building with 47 residential units at 430 East 188th Street.
Of those 10 items, two were for major renovation including a certificate of occupancy change. They were one permit applications with a total initial cost of $975,000 and one permit with a total initial cost of $975,000. The most recent of these two items was the permit on February 26, 2021 for a 229,809-square-foot B building with zero residential units at 400 East Fordham Road.
Of those 10 items, three were sales above $5 million totaling $178.3 million. The most recent of the three was Kite Realty Group which bought two condo units in the 117,231-square-foot, seven-unit mixed-use building (RC) on 400 East Fordham Road and one other property for $156.3 million from Retail Properties of America on May 11, 2022.
Of those 10 items, three were loans above $5 million totaling $227.2 million. The most recent of the three was Peter Serpico and Payman Yadidi which borrowed $87 million from Valley National Bank secured by the 0-square-foot industrial (G7) on 4734 3rd Avenue and two other properties on June 13, 2022.

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