RH Brooklyn Capital pays $2.3M for 7-unit walkup in Clinton Hill

RH Brooklyn Capital, previously using the name Brooklyn North Capital, through the entity RH Downing LLC paid $2.3 million to Leonard Herod for the seven-unit residential walkup building (C5) at 66 Downing Street in Clinton Hill, Brooklyn.
The deal closed on May 6, 2024 and was recorded on May 21, 2024. The property has 2,700 square feet of built space and 1,359 square feet of additional air rights for a total buildable of 4,058 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $842 and the price per buildable square foot is $560 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 Leonard Herod was Leonard Herod. The signatory for RH Brooklyn Capital was Menahem Chukroon, Yehuda Lasry, and Benjamin Isaac Nanasi. The contract date was September 30, 2023.

The PincusCo database currently indicates that RH Brooklyn Capital owned at least 11 commercial properties with 114,928 square feet, 117 residential units and a city-determined market value of $24 million. (Market value is typically about 50% of actual value.) The portfolio has $29.8 million in debt, borrowed from Sterling National Bank. Within the portfolio, the bulk, or 56 percent of the 114,928 square feet of built space are elevator properties, with walkup properties next occupying 41 percent of the space. The bulk, or 53 percent of the built space, is in Brooklyn, with Manhattan next at 47 percent of the space.

Prior sales and revenue

The seller Leonard Herod had not purchased any other properties and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes Leonard Herod, individual owner and Carmen Blair, site manager.

The property

The residential walkup building with 7 residential units in Clinton Hill has 2,700 square feet of built space and 1,359 square feet of additional air rights for a total buildable of 4,058 square feet according to a PincusCo analysis of city data. The parcel has frontage of 20 feet and is 101 feet deep with a total lot size of 2,029 square feet. The zoning is R6B which allows for up to 2 times floor area ratio (FAR) for residential with inclusionary housing. The property is in the Clinton Hill Historic District. The city-designated market value for the property in 2022 is $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 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 seven of the 16 commercial properties representing 143,258 square feet of the 179,407 square feet. The largest owners include Isaak Badalov and then George Marray.
There are no active new building construction projects on this tax block.

The majority, or 98 percent of the 179,407 square feet of built space are walkup buildings, with mixed-use buildings next occupying 2 percent of the space.

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