Platinum Realty Associates pays $4.5M for retail in Briarwood

Platinum Realty Associates through the entity 115-06 Myrtle LLC paid $4.5 million to Zeev Jacob and Yuval Jacob through the entity Parsons Properties LLC for the retail building (K1) at 87-34 Parsons Boulevard in Briarwood, Queens.
The deal closed on July 25, 2022 and was recorded on August 9, 2022. The property has 6,954 square feet of built space and 7,347 square feet of additional air rights for a total buildable of 14,350 square feet according to PincusCo analysis of city data. The sale price per built square foot is $639 and the price per buildable square foot is $310 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 Zeev Jacob and Yuval Jacob was Yuval Jacob. The signatory for Platinum Realty Associates was David Koptiev.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Platinum Realty Associates purchased five properties in four transactions for a total of $17 million and sold two properties in two transactions for a total of $6.1 million over the past 24 months.
The seller Zeev Jacob had not purchased any other properties and had not sold any properties over the same time period. The 6,954-square-foot property generated revenue of $237,983 or $34 per square foot, according to the most recent income and expense figures.

The property

The 87-34 Parsons Blvd parcel has frontage of 123 feet and is 103 feet deep with a total lot size of 11,480 square feet. The lot is irregular. The zoning is R5 which allows for up to 1.25 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $1.3 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 received $1,050 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 neighborhood

In Briarwood, the majority, or 66 percent of the 5.2 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 13 percent of the space. In sales, Briarwood has had very little sales volume relative to other neighborhoods with $162.4 million in sales volume in the last two years. For development, Briarwood has had very little major development activity relative to other neighborhoods.It had 84,210 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.

The block

There are no active new building construction projects on this tax block.

The majority, or 45 percent of the 88,201 square feet of built space are office buildings, with retail buildings next occupying 22 percent of the space.

The buyer

The PincusCo database currently indicates that Platinum Realty Associates owned at least 83 commercial properties in New York City with 589,951 square feet and a city-determined market value of $89.9 million. (Market value is typically about 50% of actual value.) The portfolio has $35.8 million in debt, borrowed from Signature Bank and First National Bank of Long Island. Within the portfolio, the bulk, or 41 percent of the 589,951 square feet of built space are retail properties, with office properties next occupying 33 percent of the space. The bulk, or 71 percent of the built space, is in Queens, with Brooklyn next at 25 percent of the space.

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