Peak Capital pays $3.8M to Andrzej Roth for residential walkup in Williamsburg

Peak Capital Advisors through the entity 149 Ainslie Holding Lp paid $3.8 million to Andrzej Roth through the entity Aar Estates LLC for six-unit residential walkup building (C2) at 149 Ainslie Street in Williamsburg, Brooklyn.
The deal closed on June 13, 2022 and was recorded on June 29, 2022. The property has 5,625 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $675 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 seller bought the property on October 3, 2014, for $2 million. The signatory for Andrzej Roth was Steven Noto. The signatory for Peak Capital Advisors was Alex Rabin.

Prior sales and revenue

Prior to this transaction, Pincusco has records that the buyer Peak Capital Advisors purchased 14 properties in 12 transactions for a total of $75.7 million and has no record it sold any properties over the past 24 months.
The seller Andrzej Roth had not purchased any other properties and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes Bart Slomkowski, head officer and Andrzej Roth, shareholder. The business entity is Barth Realty Llc/Aar Estates Llc.

The property

The 149 Ainslie Street parcel has frontage of 25 feet and is 100 feet deep with a total lot size of 2,500 square feet. The zoning is R6B which allows for up to 2 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.5 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 Williamsburg, the bulk, or 35 percent of the 65.1 million square feet of commercial built space are residential elevator buildings, with residential walkup buildings next occupying 19 percent of the space. In sales, Williamsburg has the 9th highest sale turnover among other neighborhoods in the city with $1.4 billion in sales volume in the last two years. For development, Williamsburg is the 6th most active neighborhood among other neighborhoods. It had 5.1 million square feet of commercial and multi-family construction under development in the last two years, which represents 8 percent of the neighborhood’s built space. There were eight pre-foreclosure suit filed among other residential walkup buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of five of the 12 commercial properties representing 26,604 square feet of the 68,354 square feet. The largest owner is John Imperatore, followed by Domenic Varuzza and then Bart Slomkowski. There are two active new building construction projects totaling 14,916 square feet. The largest is a nine-unit, 9,916-square-foot R-2 building developed by Han Soon Yom with plans filed December 15, 2015 and it has not been permitted yet.The second largest is a four-unit, 5,000-square-foot R-2 building developed by James Nunziata with plans filed July 22, 2021 and it has not been permitted yet.

The majority, or 47 percent of the 128,244 square feet of built space are 1-4 family buildings, with residential walkup buildings next occupying 37 percent of the space.

The seller

The PincusCo database currently indicates that Andrzej Roth owned at least five commercial properties with 24,850 square feet and a city-determined market value of $6.6 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 82 percent of the 24,850 square feet of built space are walkup properties, with mixed-use properties next occupying 18 percent of the space. They are all located in Brooklyn.

The buyer

The PincusCo database currently indicates that Peak Capital Advisors owned at least 15 commercial properties with 151,981 square feet and a city-determined market value of $42 million. (Market value is typically about 50% of actual value.) The portfolio has $46.6 million in debt, with top three lenders as Prime Finance Partners, Walker & Dunlop, and Patriot Bank respectively. Within the portfolio, the bulk, or 92 percent of the 151,981 square feet of built space are walkup properties, with mixed-use properties next occupying 8 percent of the space. The bulk, or 42 percent of the built space, is in Brooklyn, with Manhattan next at 41 percent of the space.

Surrounding

PincusCo has not identified any commercial real estate items of interest within a 400-foot radius of 149 Ainslie Street that occurred over the past 24 months.

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