PH Realty Capital pays $33.6M to Leeds Associates for six rentals with 316 units in Bronx

Peter Hungerford’s PH Realty Capital through the entity Tudor Walton Realty 1 LLC paid $33.6 million to Leeds Associates through the entity B6b Partners for the 69-unit residential walkup building (C1) at 309 East 164th Street in Concourse Village, Bronx, 55-unit residential elevator building (D1) at 1176 Walton Avenue in Concourse, Bronx, and 56-unit residential elevator building (D1) at 1170 Walton Avenue in Concourse, Bronx.
The deal closed on December 2, 2022 and was recorded on December 7, 2022. The six properties have 314,590 square feet of built space and 85,825 square feet of additional air rights for a total buildable of 382,905 square feet according to PincusCo analysis of city data. The sale price per built square foot is $106 and the price per buildable square foot is $87 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 Leeds Associates was Stacey Shurgin. The signatory for PH Realty Capital was Peter Hungerford.

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 309 East 164th Street.

Prior sales and revenue

Prior to this transaction, Pincusco has records that the buyer PH Realty Capital purchased five properties in five transactions for a total of $20.7 million and has no record it sold any properties over the past 24 months.
The seller Leeds Associates had not purchased any other properties and sold one property in one transaction for a total of $16 million over the same time period. The former owners according to the Department of Housing Preservation and Development includes Stacey Shurgin, head officer and Susan Leeds, officer. The business entity is B6b Partners LP.

The property

The 309 East 164th Street parcel has frontage of 117 feet and is 132 feet deep with a total lot size of 15,583 square feet. The zoning is R7-1 which allows for up to 3.44 times floor area ratio (FAR) for residential. The property has a J-51 exemption that started in 1993 and expires in 2027. The city-designated market value for the property in 2022 is $3.8 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have received one DOB violation, $1,250 in ECB penalties, 49 housing violations, and $1,800 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 $5 million on this tax lot.

The block

On the tax block of 309 East 164th Street, PincusCo has identified the owners of four of the 13 commercial properties representing 157,944 square feet of the 235,216 square feet. The largest owner is Family Life Academy Charter Schools, followed by Leeds Associates and then Arker Companies.
On the tax block, there were two new building construction projects totaling 62,977 square feet. The largest is a N/A-unit, 49,232-square-foot E building developed by Tamela Sweeris with plans filed October 5, 2017 and permitted August 1, 2018. The second largest is a 22-unit, 13,745-square-foot R-2 building developed by Joel Brach with plans filed July 2, 2020 and it has not been permitted yet.

The majority, or 56 percent of the 235,216 square feet of built space are walkup buildings, with specialty buildings next occupying 21 percent of the space.

The seller

The PincusCo database currently indicates that Leeds Associates owned at least 37 commercial properties in New York City with 918,943 square feet and a city-determined market value of $124.4 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 58 percent of the 918,943 square feet of built space are elevator properties, with walkup properties next occupying 42 percent of the space. The bulk, or 52 percent of the built space, is in Bronx, with Manhattan next at 48 percent of the space.

The buyer

The PincusCo database currently indicates that PH Realty Capital owned at least 30 commercial properties in New York City with 452,773 square feet and a city-determined market value of $81.3 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 77 percent of the 452,773 square feet of built space are walkup properties, with elevator properties next occupying 23 percent of the space. They are all located in Manhattan.

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