Radson Development pays $22.4M to Enclave Equities for 251-unit dev site in Wakefield

Daniel Rad’s Radson Development through the entity Enclave 241 L.P. paid $22.4 million to Enclave Equities through the entity Enclave On 241 Street LLC for the development site (V1) at 748 East 241st Street in Wakefield, Bronx.
On the tax lot, there was one new building construction project filed totaling 222,445 square feet. It is a 251-unit, 222,445 square-foot residential (R-2) building submitted by Enclave Equities and filed by Jonathan Seplowitz with plans filed October 10, 2019 and permitted May 10, 2022.
The deal closed on June 22, 2023 and was recorded on June 30, 2023. The property has zero square feet of built space and 122,056 square feet of additional air rights for a total buildable of 122,056 square feet according to a PincusCo analysis of city data. The sale price per buildable square foot is $183 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 seller bought the property on February 6, 2014, for $2.7 million. The signatory for Enclave Equities was Jonathan Seplowitz. The signatory for Radson Development was Jamie Smarr. Jamie Smarr is with the New York City Housing Partnership, the nonprofit that is partnering with for-profit developer Radson Development, the beneficial owner.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Radson Development had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Enclave Equities had not purchased any other properties and had not sold any properties over the same time period.

The property

The parcel has frontage of 184 feet and is 239 feet deep with a total lot size of 29,061 square feet. The lot is irregular. The zoning is R7D which allows for up to 4.2 times floor area ratio (FAR) for residential with inclusionary housing. 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 for the past 24 months. In addition, according to city public data, the property has received $625 in ECB penalties and $625 in OATH penalties in the last year.

The neighborhood

In Wakefield, The bulk, or 35 percent of the 9.3 million square feet of commercial built space are walkup buildings, with elevator buildings next occupying 27 percent of the space. In sales, Wakefield has had very little sales volume relative to other neighborhoods with $121.4 million in sales volume in the last two years. For development, Wakefield has had very little major development activity relative to other neighborhoods.It had 479,504 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 majority, or 41 percent of the 60,634 square feet of built space are hotel buildings, with mixed-use buildings next occupying 27 percent of the space.

The buyer

The PincusCo database currently indicates that Radson Development owned at least seven commercial properties with 413 residential units in New York City with 306,550 square feet and a city-determined market value of $39.6 million. (Market value is typically about 50% of actual value.) The portfolio has $256.9 million in debt, borrowed from NYC Housing Development Corporation and Ponce Bank. Within the portfolio, the bulk, or 79 percent of the 306,550 square feet of built space are elevator properties, with hotel properties next occupying 21 percent of the space. The bulk, or 56 percent of the built space, is in Brooklyn, with Queens next at 44 percent of the space.

Direct link to Acris document. link