PharmaLogic Holdings pays $5.5M for office in Mott Haven

PharmaLogic Holdings through the entity Pharmalogic New York City Re, LLC paid $5.5 million to Safeguard Chemical Corporation through the entity Safeguard Chemical Corp. for office building (O9) at 390 Concord Avenue in Mott Haven, Bronx.
The deal closed on October 31, 2022 and was recorded on November 3, 2022. The property has 11,134 square feet of built space and 26,434 square feet of additional air rights for a total buildable of 37,496 square feet according to PincusCo analysis of city data. The sale price per built square foot is $493 and the price per buildable square foot is $146 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 Safeguard Chemical Corporation was Edward Piranian. The signatory for PharmaLogic Holdings was Steven Chilinski.

Prior sales and revenue

Prior to this transaction, Pincusco has no record that the buyer PharmaLogic Holdings had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Safeguard Chemical Corporation had not purchased any other properties and had not sold any properties over the same time period. The 11,134-square-foot property generated revenue of $481,062 or $43 per square foot, according to the most recent income and expense figures.

The property

The 390 Concord Avenue parcel has frontage of 100 feet and is 100 feet deep with a total lot size of 18,748 square feet. The zoning is M1-2 which allows for up to 2 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $3.5 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 Mott Haven, the bulk, or 42 percent of the 40.1 million square feet of commercial built space are elevator buildings, with industrial buildings next occupying 25 percent of the space. In sales, Mott Haven has 2.4 times the average sales volume among other neighborhoods with $813.2 million in sales volume in the last two years and is the highest in Bronx. For development, Mott Haven is the 10th most active neighborhood among other neighborhoods. It had 4.3 million square feet of commercial and multi-family construction under development in the last two years, which represents 11 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of two of the 10 commercial properties representing 55,576 square feet of the 167,599 square feet. The two identified owners are New York Police Department and Tuck-it-Away.
There are no active new building construction projects on this tax block.

The majority, or 90 percent of the 111,490 square feet of built space are industrial buildings, with office buildings next occupying 10 percent of the space.

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