Pasquale DeBenedictis pays $7.3M to Z+G Property for renovated mixed-use in East Village

Pasquale DeBenedictis through the entity 15 A Acquisition II LLC paid $7.3 million to Z+G Property Group through the entity ZG Avenue A LLC for the five-unit mixed-use building (K4) at 15 Avenue A in East Village, Manhattan.
The property was renovated to change from a three-unit to a five-unit. The plan was filed with the New York City Department of Buildings on September 5, 2018 under job number 123450014 and was permitted on September 4, 2019. It called for the increase in the size of the building from a four-story building with three dwelling units to a four-story building with five dwelling units.
The deal closed on May 5, 2023 and was recorded on May 17, 2023.
The seller bought the property on January 18, 2018, for $4.3 million. The signatory for Z+G Property Group was Daniel Zuckerman. The signatory for Pasquale DeBenedictis was Pasquale DeBenedictis.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Pasquale DeBenedictis purchased one property in one transaction for a total of $4 million and has no record it sold any properties over the past 24 months.
The seller Z+G Property Group purchased two properties in two transactions for a total of $8.3 million and sold two properties in two transactions for a total of $12.1 million over the same time period.

The property

The parcel has frontage of 19 feet and is 80 feet deep with a total lot size of 1,580 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 $832,000.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received $1,950 in OATH penalties in the last year.

The neighborhood

In East Village, The bulk, or 44 percent of the 15.5 million square feet of commercial built space are walkup buildings, with elevator buildings next occupying 20 percent of the space. In sales, East Village has 1.8 times the average sales volume among other neighborhoods with $636.5 million in sales volume in the last two years and is the 24th highest in Manhattan. For development, East Village has had very little major development activity relative to other neighborhoods.It had 354,772 square feet of commercial and multi-family construction under development in the last two years, which represents 2 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of 11 of the 27 commercial properties representing 232,872 square feet of the 365,670 square feet. The largest owner is Son Dinh Tran, followed by New York City Housing Authority and then Michael Medovoy.
On the tax block, there were two new building construction projects totaling 32,083 square feet. The largest is a 22-unit, 19,325 square-foot residential (R-2) building submitted by Sergey Rybak with plans filed May 24, 2018 and permitted August 30, 2019. The second largest is a seven-unit, 12,758 square-foot residential (R-2) building submitted by Cynthia Wu with plans filed October 31, 2014 and permitted February 27, 2018.

The majority, or 43 percent of the 365,670 square feet of built space are walkup buildings, with elevator buildings next occupying 41 percent of the space.

The seller

The PincusCo database currently indicates that Z+G Property Group owned at least three commercial properties with 20 residential units in New York City with 24,600 square feet and a city-determined market value of $5.7 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 58 percent of the 24,600 square feet of built space are walkup properties, with mixed-use properties next occupying 42 percent of the space. They are all located in Brooklyn.

The buyer

The PincusCo database currently indicates that Pasquale Debenedictis owned at least seven commercial properties in New York City with 118,690 square feet and a city-determined market value of $20.9 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 82 percent of the 118,690 square feet of built space are specialty properties, with industrial properties next occupying 11 percent of the space. They are all located in Queens.

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