Popular Bank gives $9.9M construction loan for 40-unit development in Belmont

Ayush Kapahi signed for the entity 2324 Webster Realty LLC as borrower for a new construction loan with lender Popular Bank valued at $9.9 million for the 40-unit development at 2324 Webster Avenue in Belmont/Little Italy, Bronx.
On the lot, there is one active new building construction project for a 40-unit, 31,987 square-foot R-2 building. The project was submitted by Darwin Torres and filed by Darwin Torres with plans filed April 27, 2021 and it has not been permitted yet.
The deal closed on July 1, 2024 and was recorded on July 19, 2024. The property has 9,681 square feet of built space and 24,716 square feet of additional air rights for a total buildable of 24,716 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $1,020 and the price per buildable square foot is $399 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 SKF Development was Ayush Kapahi. Robert J. Teitelbaum signed for the owner entity as ground tenant, with Jose Negron’s W.N.R. Realty LLC as ground lessor.

Prior sales and revenue

The 9,681-square-foot property generated revenue of $197,193 or $20 per square foot, according to the most recent income and expense figures.

The property

The development building in Belmont/Little Italy has 9,681 square feet of built space and 24,716 square feet of additional air rights for a total buildable of 24,716 square feet according to a PincusCo analysis of city data. The parcel has frontage of 75 feet and is 92 feet deep with a total lot size of 7,185 square feet. The lot is irregular. The zoning is R7-1 which allows for up to 3.44 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $890,000.

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 $2,500 in ECB penalties and $2,550 in OATH penalties in the last year.

Development

The neighborhood

In Belmont/Little Italy, The bulk, or 43 percent of the 14.3 million square feet of commercial built space are walkup buildings, with elevator buildings next occupying 26 percent of the space. In sales, Belmont/Little Italy has had very little sales volume relative to other neighborhoods with $158.1 million in sales volume in the last two years. For development, Belmont/Little Italy has had very little major development activity relative to other neighborhoods.It had 717,577 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 14 of the 30 commercial properties representing 267,541 square feet of the 511,578 square feet. The largest owner is Xhafer Gecaj, followed by Sonia Balaram and then Mp Management.
On the tax block, there was one new building construction project filed totaling 31,987 square feet. It is a 40-unit, 31,987 square-foot residential (R-2) building submitted by Darwin Torres and filed by Darwin Torres with plans filed April 27, 2021 and it has not been permitted yet.

The majority, or 64 percent of the 511,578 square feet of built space are walkup buildings, with elevator buildings next occupying 33 percent of the space.

The borrower

The PincusCo database currently indicates that Skf Development owned at least 10 commercial properties with 609 residential units in New York City with 253,518 square feet and a city-determined market value of $22.5 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 71 percent of the 253,518 square feet of built space are elevator properties, with D7 properties next occupying 28 percent of the space. They are all located in Bronx.

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