Peak Capital Advisors pays $3M for 6-unit walkup in Williamsburg

Peak Capital Advisors through the entity 37 Frost Owner LLC paid $3 million to Clare Gorman through the entity 37 Frost LLC for the six-unit residential walkup building (C2) at 37 Frost Street in Williamsburg, Brooklyn.
The deal closed on February 5, 2024 and was recorded on February 8, 2024. The property has 4,125 square feet of built space and 874 square feet of additional air rights for a total buildable of 4,998 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $715 and the price per buildable square foot is $590 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 Clare Gorman was Clare Gorman and Dina Blackstone. The signatory for Peak Capital Advisors was Alex Rabin. The contract date was January 5, 2023.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Peak Capital Advisors purchased 25 properties in 22 transactions for a total of $145.8 million and sold one property in one transactions for a total of $16.5 million over the past 24 months.
The seller Clare Gorman had not purchased any other properties and had not sold any properties over the same time period. The former owner according to the Department of Housing Preservation and Development is Linda Gaeta, head officer. The business entity is 37 Frost Llc.

The property

The residential walkup building with 6 residential units in Williamsburg has 4,125 square feet of built space and 874 square feet of additional air rights for a total buildable of 4,998 square feet according to a PincusCo analysis of city data. The parcel has frontage of 25 feet and is 100 feet deep with a total lot size of 2,499 square feet. The zoning is M1-2/R6B which allows for up to 2 times floor area ratio (FAR) for manufacturing and up to 2 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.6 million.

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 one DOB violation 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 block

On this tax block, PincusCo has identified the owners of eight of the 15 commercial properties representing 128,605 square feet of the 167,652 square feet. The largest owner is Sarah Martin-Nuss, followed by Rocco L. Trotta and then Phillip Miller.
On the tax block, there were two new building construction projects totaling 10,162 square feet. The largest is a eight-unit, 5,252 square-foot residential (R-2) building submitted by Yisroel Greenfeld and filed by Yisroel Greenfeld with plans filed April 3, 2023 and it has not been permitted yet. The second largest is a five-unit, 4,910 square-foot residential (R-2) building submitted by Jorge Mastropietro with plans filed October 27, 2017 and permitted August 29, 2019.

The majority, or 66 percent of the 167,652 square feet of built space are elevator buildings, with mixed-use buildings next occupying 17 percent of the space.

The buyer

The PincusCo database currently indicates that Peak Capital Advisors owned at least 42 commercial properties with 406 residential units in New York City with 362,809 square feet and a city-determined market value of $105.7 million. (Market value is typically about 50% of actual value.) The portfolio has $127.9 million in debt, with top three lenders as Amalgamated Bank, Prime Finance, and Prime Finance Partners respectively. Within the portfolio, the bulk, or 84 percent of the 362,809 square feet of built space are walkup properties, with mixed-use properties next occupying 9 percent of the space. The bulk, or 40 percent of the built space, is in Brooklyn, with Queens next at 32 percent of the space.

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