Rockrose pays $22M to Teamsters for Astoria dev site

Rockrose Development paid $22 million to the Teamsters Local 807 for a development site in Astoria, Queens, in three transactions.

In the first, Rockrose Development through the entity 3243 Astoria L.L.C. paid $10.1 million to the Teamsters Local 807 through the entity 32-43 49th Street Holding Corp. for office building (O2) at 32-43 49th Street in Astoria, Queens.
The deal closed on February 1, 2023 and was recorded on February 10, 2023. The two properties have 15,705 square feet of built space and 12,955 square feet of additional air rights for a total buildable of 28,790 square feet according to PincusCo analysis of city data. The sale price per built square foot is $644 and the price per buildable square foot is $351 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 Teamsters Local 807 was Anthony Storz. The signatory for Rockrose Development was Patricia Dunphy.
In the second, Rockrose Development through the entity 3243 Astoria L.L.C. paid $6.8 million to Teamsters Local 807 through the entity Demos P. Demopoulos for the industrial building (G7) at 49-16 Newtown Road in Woodside, Queens and industrial building (G7) at 49-02 Newtown Road in Astoria, Queens.
The deal closed on January 20, 2023 and was recorded on February 10, 2023.The two properties have zero square feet of built space and 30,018 square feet of additional air rights for a total buildable of 30,018 square feet according to PincusCo analysis of city data.
In the third, Rockrose Development through the entity 3243 Astoria L.L.C. paid $5.1 million to Teamsters Local 807 through the entity Local 807 Labor-Management Pension Fund for industrial building (E1) at 32-49 49th Street in Astoria, Queens. The signatory for Teamsters Local 807 was Demos P. Demopoulos and Scott Little. The signatory for Rockrose Development was Patricia Dunphy.

The deal closed on February 1, 2023 and was recorded on February 10, 2023. The property has 10,050 square feet of built space and 419 square feet of additional air rights for a total buildable of 10,489 square feet according to PincusCo analysis of city data. The sale price per built square foot is $503 and the price per buildable square foot is $482 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.)

Prior sales and revenue

Prior to this transaction, Pincusco has records that the buyer Rockrose Development purchased one property in one transaction for a total of $148.2 million and has no record it sold any properties over the past 24 months.
The seller Teamsters Local 807 had not purchased any other properties and had not sold any properties over the same time period.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have 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 $5 million on this tax lot.

The neighborhood

In Woodside, the bulk, or 27 percent of the 12.1 million square feet of commercial built space are industrial buildings, with elevator buildings next occupying 24 percent of the space. In sales, Woodside has had very little sales volume relative to other neighborhoods with $143.1 million in sales volume in the last two years. For development, Woodside has near average amount of major developments among other neighborhoods and is the 9th highest in Queens. It had 856,731 square feet of commercial and multi-family construction under development in the last two years, which represents 7 percent of the neighborhood’s built space.

The block

There are no active new building construction projects on this tax block.

The majority, or 55 percent of the 28,723 square feet of built space are office buildings, with industrial buildings next occupying 42 percent of the space.

The buyer

The PincusCo database currently indicates that Rockrose Development owned at least 22 commercial properties in New York City with 5,977,361 square feet and a city-determined market value of $1.3 billion. (Market value is typically about 50% of actual value.) The portfolio has $1.5 billion in debt, with top three lenders as Wells Fargo, MetLife, and Deutsche Pfandbriefbank respectively. Within the portfolio, the bulk, or 75 percent of the 5,977,361 square feet of built space are elevator properties, with D4 properties next occupying 15 percent of the space. The bulk, or 45 percent of the built space, is in Manhattan, with Queens next at 39 percent of the space.

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