Poise Property pays $12M to church for dev site in Greenwood Heights

Poise Property Group through the entity 259 22nd Street LLC paid $12 million to St. John’s Roman Catholic Church in the City of Brooklyn for a development site at 259 22nd Street in Greenwood Heights, Brooklyn. The expected use is ground up development.
The deal closed on September 11, 2024 and was recorded on October 1, 2024.
The signatory for Roman Catholic Church and St. John’s Roman Catholic Church in the city of Brooklyn was Kevin P. Cavalluzzi. The signatory for Poise Property Group was Daniel Kaykov. The contract date was November 21, 2023. PincusCo reported on the transaction after it went into contract.

Daniel Kaykov, who is also CEO of contractor Renovation Group, signed a $12 million contract to buy land with 49,753 square feet of development rights that makes up a portion of the parcel at 259 22nd Street in Greenwood Heights, Brooklyn. The seller is St. John’s Roman Catholic Church, which will remain on a portion of the current tax lot. The existing tax lot, 13, will be divided into two tax lots, with the church remaining on 13, and a new tax lot, 14, which the Renovation Group will own.

The transaction was brokered by a JLL team including Guthrie Garvin and Brendan Maddigan, according to a set up of the property.

Daniel Kaykov signed a contract November 21, 2023, to purchase a portion of 259 22nd Street from St. John’s Roman Catholic Church. The church filed the petition as part of a requirement that religious and other nonprofits get court approval to sell large holdings. Case LINK

According to the petition,”Seller shall, at Seller’s sole cost and expense, commence and diligently complete the Subdivision to the extent within the control of Seller into two (2) separate tax lots, consisting of (i) a separate tax lot (new tax lot 14) for the Property measuring approximately 14,200 square feet of Land, and (ii) a separate tax lot (new tax lot 13) for the remainder of the existing tax lot (the “Retained Parcel”) measuring approximately 23,941 square feet of land, with title to the Retained Parcel remaining vested in Seller…

“An allocation of development rights such that the Property shall have 49,753 square feet of development rights (the “Purchaser’s Development Rights”)…

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Poise Property Group purchased one property in one transaction for a total of $7.2 million and has no record it sold any properties over the past 24 months.
The seller Roman Catholic Church had not purchased any other properties and sold 24 properties in 19 transactions for a total of $208.5 million over the same time period.

The property

PincusCo cannot determine the lot area of the 259 22nd Street parcel at this time.

Violations and lawsuits

The property was involved in one lawsuit and zero bankruptcies over the past two years. The suit was a $12 million judgment concerning a leave to sell filed on January 22, 2024, by St. John’s Roman Catholic Church and Roman Catholic Church against Daniel Kaykov. 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 $1 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of two of the 15 commercial properties representing 6,391 square feet of the 68,503 square feet. The two identified owners are Kah Wai Koo and Satter A. Syed.
On the tax block, there were two new building construction projects totaling 65,149 square feet. The largest is a 40-unit, 59,437 square-foot residential (R-2) building submitted by Poise Property Group and filed by Daniel Kaykov with plans filed July 23, 2024 and it has not been permitted yet. The second largest is a four-unit, 5,712 square-foot residential (R-2) building submitted by Alexander Mejean with plans filed September 15, 2017 and it has not been permitted yet.

The majority, or 52 percent of the 68,503 square feet of built space are walkup buildings, with mixed-use buildings next occupying 48 percent of the space.

The seller

The PincusCo database currently indicates that Roman Catholic Church owned at least 144 commercial properties with 886 residential units in New York City with 4,157,136 square feet and a city-determined market value of $740.4 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 43 percent of the 4,157,136 square feet of built space are specialty properties, with M1 properties next occupying 23 percent of the space. The bulk, or 53 percent of the built space, is in Brooklyn, with Queens next at 26 percent of the space.

The buyer

The PincusCo database currently indicates that Poise Property Group owned at least one commercial property with 26 residential units in New York City with 42,449 square feet and a city-determined market value of $1.4 million. (Market value is typically about 50% of actual value.) The portfolio consists of at least a single elevator property. It is located in Brooklyn.

Direct link to Acris document. link