Peter Zaharatos pays $2.3M to for mixed-use in Bay Ridge

Peter Zaharatos through the entity Sixty-One Sixteen Fifth Avenue LLC paid $2.3 million to the entity Piccolo Fiore Properties LLC for the four-unit mixed-use building (S9) at 7324 Third Avenue in Bay Ridge, Brooklyn. The expected use is cash flowing.
The deal closed on October 10, 2024 and was recorded on October 18, 2024. The property has 3,600 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $638 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 seller was Michelle Iannelli. The signatory for Peter Zaharatos was Peter Zaharatos. The contract date was July 30, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Peter Zaharatos had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Michelle Iannelli 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 Michelle Iannelli, individual owner.

The property

The mixed-use building with 4 residential units in Bay Ridge has 3,600 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 20 feet and is 80 feet deep with a total lot size of 1,600 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 $758,000.

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 three housing violations and $1,100 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 neighborhood

In Bay Ridge, The bulk, or 30 percent of the 21 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 28 percent of the space. In sales, Bay Ridge has near average sales volume among other neighborhoods with $233.9 million in sales volume in the last two years and is the 26th highest in Brooklyn. For development, Bay Ridge has had very little major development activity relative to other neighborhoods.It had 341,063 square feet of commercial and multi-family construction under development in the last two years, which represents 2 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other mixed-use buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of three of the 14 commercial properties representing 34,700 square feet of the 151,405 square feet. The largest owner is Nikolaos Leonardos, followed by Jim Bantis and then Myles & Gertrude Mckenna.
There are no active new building construction projects on this tax block.

The majority, or 47 percent of the 151,405 square feet of built space are walkup buildings, with elevator buildings next occupying 32 percent of the space.

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