Parkway Realty Associates signs $17.2M loan for 3 elevator properties in Bronx

Parkway Realty Associates through the entity Holland Industries LLC as borrower signed a loan with lender Signature Bank valued at $17.2 million for three residential elevator properties including the 78-unit residential elevator building (D1) at 730 East 236th Street in Wakefield, Bronx, 55-unit residential elevator building (D1) at 2206 Holland Avenue in Allerton, Bronx, and 49-unit residential elevator building (D1) at 2260 Bronx Park East in Allerton, Bronx.
The deal closed on August 16, 2022 and was recorded on September 7, 2022. The prior lender was Santander Bank which held debt that had an original loan amount of $14.2 million.The three properties have 174,164 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $99 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 Parkway Realty Associates was Eric Miller.

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 730 East 236th Street.

The property

The 730 East 236th Street parcel has frontage of 200 feet and is 114 feet deep with a total lot size of 21,800 square feet. The lot is irregular. The zoning is R5 which allows for up to 1.25 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $3.4 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 three DOB violations, $1,250 in ECB penalties, 208 housing violations, $1,350 in OATH penalties, and two housing litigations 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 the tax block of 730 East 236th Street, PincusCo has identified the owners of one of the six commercial properties representing 13,000 square feet of the 94,313 square feet. The identified owner is Nikol Makaj.
There are four active new building construction projects totaling 13,167 square feet. The largest is a three-unit, 3,347-square-foot R-2 building developed by Matthew Ahdoot with plans filed October 20, 2020 and it has not been permitted yet.The second largest is a three-unit, 3,347-square-foot R-2 building developed by Matthew Ahdoot with plans filed October 20, 2020 and it has not been permitted yet.

The majority, or 65 percent of the 94,313 square feet of built space are elevator buildings, with retail buildings next occupying 22 percent of the space.

The borrower

The PincusCo database currently indicates that Parkway Realty Associates owned at least 22 commercial properties in New York City with 1,121,885 square feet and a city-determined market value of $53.7 million. (Market value is typically about 50% of actual value.) The portfolio has $111.7 million in debt, borrowed from New York Community Bank. Within the portfolio, the bulk, or 61 percent of the 1,121,885 square feet of built space are elevator properties, with walkup properties next occupying 39 percent of the space. The bulk, or 52 percent of the built space, is in Brooklyn, with Bronx next at 45 percent of the space.

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