Simkho Aranbayev pays $6M for retail in North Corona

Updated 9:25 a.m., September 5, 2024: Simkho Aranbayev through the entity Jackson 37th Ave LLC paid $6 million to Deborah Levine through the entity Hy-Ann Realty Corp for the retail building (K2) at 96-01 37th Avenue in North Corona, Queens. The expected use is cash flowing.
The deal closed on August 21, 2024 and was recorded on September 4, 2024. The property has 8,000 square feet of built space and 7,908 square feet of additional air rights for a total buildable of 15,924 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $750 and the price per buildable square foot is $376 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 Deborah Levine was Deborah Levine. The signatory for Simkho Aranbayev was Simkho Aranbayev. The contract date was May 19, 2024. Marvin Kornblum purchased the building under Hy-Ann Realty on June 23, 1969, for an unknown amount, financed with a $35,000 purchase money mortgage.

Prior sales and revenue

The seller Deborah Levine had not purchased any other properties and had not sold any properties over the same time period.

The property

The retail building in North Corona has 8,000 square feet of built space and 7,908 square feet of additional air rights for a total buildable of 15,924 square feet according to a PincusCo analysis of city data. The parcel has frontage of 50 feet and is 100 feet deep with a total lot size of 5,308 square feet. The lot is irregular. The zoning is R6A which allows for up to 3 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $2.1 million.

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 $1,817 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 North Corona, The bulk, or 29 percent of the 5.3 million square feet of commercial built space are mixed-use buildings, with walkup buildings next occupying 26 percent of the space. In sales, North Corona has had very little sales volume relative to other neighborhoods with $125.4 million in sales volume in the last two years. For development, North Corona has had very little major development activity relative to other neighborhoods.It had 281,572 square feet of commercial and multi-family construction under development in the last two years, which represents 5 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of 10 of the 22 commercial properties representing 52,281 square feet of the 109,057 square feet. The largest owner is Platinum Realty Associates, followed by Benedict Realty Group and then Elysee Investment Company.
On the tax block, there were two new building construction projects totaling 26,482 square feet. The largest is a 17-unit, 14,858 square-foot residential (R-2) building submitted by David Lin with plans filed April 28, 2022 and permitted April 20, 2023. The second largest is a 10-unit, 11,624 square-foot residential (R-2) building submitted by Jean Cheng and filed by Jean Cheng with plans filed January 16, 2023 and permitted August 6, 2024.

The majority, or 37 percent of the 109,057 square feet of built space are walkup buildings, with retail buildings next occupying 36 percent of the space.

The buyer

The PincusCo database currently indicates that Platinum Realty Associates owned at least 83 commercial properties with 52 residential units in New York City with 477,650 square feet and a city-determined market value of $104.2 million. (Market value is typically about 50% of actual value.) The portfolio has $37.8 million in debt, borrowed from Signature Bank and First National Bank of Long Island. Within the portfolio, the bulk, or 72 percent of the 477,650 square feet of built space are retail properties, with mixed-use properties next occupying 20 percent of the space. The bulk, or 62 percent of the built space, is in Queens, with Brooklyn next at 33 percent of the space.
The PincusCo database currently indicates that Simkho Aranbayev owned at least 28 commercial properties with 30 residential units in New York City with 182,048 square feet and a city-determined market value of $38.9 million. (Market value is typically about 50% of actual value.) The portfolio has $22.3 million in debt, borrowed from Signature Bank and Provident Bank. Within the portfolio, the bulk, or 53 percent of the 182,048 square feet of built space are retail properties, with mixed-use properties next occupying 39 percent of the space. The bulk, or 46 percent of the built space, is in Brooklyn, with Queens next at 35 percent of the space.

Correction: an earlier version of this post stated Platinum Realty Associates was a co-buyer, but they are not a buyer.

Direct link to Acris document. link