Jack Guttman of Pearl Realty pays $6.4M for dev site in East Williamsburg

Pearl Realty Management through the entity 151 Scott LLC paid $6.4 million to Michael Allocco through the entity Gads Inc. for industrial building at 591 Meserole Street in East Williamsburg, Brooklyn and specialty building at 581 Meserole Street in East Williamsburg, Brooklyn.
The deal closed on December 23, 2021 and was recorded on January 25, 2022.
The two properties have 1,500 square feet of built space and 78,440 square feet of additional air rights for a total buildable of 80,000 square feet according to PincusCo analysis of city data. The sale price per built square foot is $4,266 and the price per buildable square foot is $80 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 Michael Allocco was Michael Allocco. The signatory for Pearl Realty Management was Jack Guttman.
Prior to this transaction, the buyer Jack Guttman of Pearl Realty Management purchased at least seven other properties for $49 million and had not sold any properties over the past 24 months.
The seller Michael Allocco had not purchased any other properties and had not sold any properties over the same time period.

In East Williamsburg, the majority, or 58 percent of the 17.8 million square feet of built space are industrial buildings, with residential walkup buildings next occupying 9 percent of the space. In sales, East Williamsburg has 1.2 times the average sales volume among other neighborhoods with $335.5 million in sales volume in the last two years and is the 12th highest in Brooklyn. For development, East Williamsburg has 1.4 times the average amount of major developments relative to other neighborhoods and is the 15th highest in Brooklyn. It had 1.3 million square feet of commercial and multi-family construction under development in the last two years, which represents 7 percent of the neighborhood’s built space.
On the tax block, the majority, or 100 percent of the 39,150 square feet of built space are industrial buildings.

Within a 400-foot radius of 591 Meserole Street, PincusCo identified three commercial real estate items of interests occurred over the past 24 months.
Of those three items, one was for major renovation including a certificate of occupancy change. It was a permit issued on August 13, 2020 for the $300,000 renovation of 109,544-square-foot F-2 building with N/A residential units at 154 Scott Avenue.
One of those three items was a sale which Bushwack Capital bought the 99,700-square-foot, one-unit industrial (F1) on 154 Scott Avenue for $14 million from Lai Tin Yam, Ru Ching Yeh, and Benjamin Yam on May 20, 2021.
One of those three items was a loan which Bushwack Capital borrowed $22 million from Citibank secured by the 99,700-square-foot, one-unit industrial (F1) on 154 Scott Avenue on May 20, 2021.

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