Pervez Siddiqui pays $3.5M for 14-unit walkup in Coney Island

Pervez Siddiqui through the entity Mermaid Real Estate Group LLC paid $3.5 million through an estate sale to the estate off Ernest Chabel through the entity 1602 Holdings Inc. for the 14-unit residential walkup building (C7) at 1602-1604 Mermaid Avenue in Coney Island, Brooklyn. The expected use is cash flowing.
The deal closed on December 10, 2024 and was recorded on December 24, 2024. The property has 13,253 square feet of built space and 2,247 square feet of additional air rights for a total buildable of 15,500 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $264 and the price per buildable square foot is $225 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 the estate of Ernest Chabel was Walter Gauto. The signatory for Pervez Siddiqui was Pervez Siddiqui. The contract date was June 27, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Pervez Siddiqui had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Ernest Chabel 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 Walter Gauto, head officer and Ernest Chabel, individual owner. The business entity is 1602 Holdings, Inc.

The property

The residential walkup building with 14 residential units in Coney Island has 13,253 square feet of built space and 2,247 square feet of additional air rights for a total buildable of 15,500 square feet according to a PincusCo analysis of city data. The parcel has frontage of 38 feet and is 100 feet deep with a total lot size of 3,875 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 $869,000. The property has 13 rent regulated units according to city tax records from 2023.

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 $130 in OATH penalties 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 three of the 11 commercial properties representing 355,460 square feet of the 407,513 square feet. The two identified owners are Bfc Partners and George Rigas.
On the tax block, there were two new building construction projects totaling 359,950 square feet. The largest is a 376-unit, 293,286 square-foot residential (R-2) building submitted by BFC Partners and filed by Joseph Ferrara with plans filed March 4, 2020 and permitted August 13, 2021. The second largest is a 77-unit, 66,664 square-foot residential (R-2) building submitted by George Rigas and filed by George Rigas with plans filed October 12, 2021 and permitted March 22, 2024.

The majority, or 87 percent of the 407,513 square feet of built space are elevator buildings, with walkup buildings next occupying 10 percent of the space.

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