Peak Capital Advisors pays $8.5M for rentals in Turtle Bay, Greenpoint

Peak Capital Advisors paid $8.5 million to two separate sellers for a seven-unit building in Turtle Bay and a five-unit building in Greenpoint in two transactions.

In the first, Peak Capital Advisors through the entity 333 52nd Owner LLC paid $4.3 million to Mohammad Dastghaib and Peggy DeVivo for the seven-unit residential elevator building (D7) at 333 East 52nd Street in Turtle Bay, Manhattan.
The deal closed on March 7, 2024 and was recorded on March 12, 2024. The property has 6,135 square feet of built space and 1,393 square feet of additional air rights for a total buildable of 7,532 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $704 and the price per buildable square foot is $574 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 Mohammad Dastghaib and Peggy DeVivo was Mohammad Dastghaib and Peggy DeVivo. The signatory for Peak Capital Advisors was Alex Rabin. The contract date was July 19, 2023.

In the second, Peak Capital Advisors through the entity 814 Manhattan Owner LLC paid $4.2 million to Dime Community Bank for the five-unit mixed-use building (S5) at 814 Manhattan Avenue in Greenpoint, Brooklyn. The deal closed on March 8, 2024 and was recorded on March 12, 2024. The property has 6,000 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $700 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 Dime Community Bank was Avinash Reddy. The signatory for Peak Capital Advisors was Alex Rabin. The contract date was June 20, 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 $139.2 million and sold one property in one transaction for a total of $16.5 million over the past 24 months.
The seller Mohammad Dastghaib had not purchased any other properties and sold one property in one transaction for a total of $4.4 million over the same time period. The former owners according to the Department of Housing Preservation and Development includes Mohammad Dastghaib, individual owner and Ricardo Rivera, site manager. The business entity is Professional Guardians Llc.

The property

The residential elevator building with 7 residential units in Turtle Bay has 6,135 square feet of built space and 1,393 square feet of additional air rights for a total buildable of 7,532 square feet according to a PincusCo analysis of city data. The parcel has frontage of 18 feet and is 100 feet deep with a total lot size of 1,883 square feet. The zoning is R8B which allows for up to 4 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $3.6 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 $2,700 in OATH penalties in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on July 23, 2013. 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 seven of the 23 commercial properties representing 49,660 square feet of the 215,190 square feet. The largest owner is William Roth, followed by John Gibbons and then Isaac Lefkowitz.
On the tax block, there was one new building construction project filed totaling 197,288 square feet. It is a 113-unit, 197,288 square-foot residential (R-2) building submitted by Toll Brothers and filed by Joseph Clark with plans filed November 19, 2013 and permitted April 23, 2014.

The majority, or 42 percent of the 215,190 square feet of built space are elevator buildings, with walkup buildings next occupying 40 percent of the space.

The buyer

The PincusCo database currently indicates that Peak Capital Advisors owned at least 43 commercial properties with 412 residential units in New York City with 366,934 square feet and a city-determined market value of $107.3 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 366,934 square feet of built space are walkup properties, with mixed-use properties next occupying 9 percent of the space. The bulk, or 41 percent of the built space, is in Brooklyn, with Queens next at 32 percent of the space.

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