Royal Builders pays $10M to Christian Heritage Church for dev site in Sunset Park
Royal Builders through the entity 726 40th LLC paid $10 million to Christian Heritage Church through the entity Christian Heritage Church for the specialty building (M1) at 726 40th Street in Sunset Park, Brooklyn. The expected use is ground up development.
The deal closed on January 15, 2026 and was recorded on January 20, 2026. The property has 6,750 square feet of built space and 43,322 square feet of additional air rights for a total buildable of 50,084 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $1,481 and the price per buildable square foot is $199 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 Christian Heritage Church was Justin Mattera. The signatory for Menachem Markovics’s Royal Builders was Jeffrey Edelman , of the Law Office of Jeffrey Edelman, who represented the buyer in the purchase. The contract date was December 3, 2024.
Prior sales, articles and revenue
Prior to this transaction, PincusCo has no record that the buyer Royal Builders had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Christian Heritage Church had not purchased any other properties and had not sold any properties over the same time period.
The property
The specialty building in Sunset Park has 6,750 square feet of built space and 43,322 square feet of additional air rights for a total buildable of 50,084 square feet according to a PincusCo analysis of city data. The parcel has frontage of 125 feet and is 100 feet deep with a total lot size of 12,521 square feet. The zoning is R7A which allows for up to 4 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $585,000.
Violations and lawsuits
The property was involved in one court case and zero bankruptcies over the past two years. The suit was a $10 million judgment concerning a leave to sell filed on June 6, 2025, by Christian Heritage Church with the buyer identified as Royal Builders and Menachem Markovics. In addition, according to city public data, the property has not received any significant violations in the last year.
Development
For the tax lot building, it received its initial certificate of occupancy on June 28, 2013. There are no active new building construction projects or major alteration projects with initial costs more than $1 million on this tax lot.
The neighborhood
In Sunset Park, The bulk, or 30 percent of the 35 million square feet of commercial built space are industrial buildings, with specialty buildings next occupying 26 percent of the space. In sales, Sunset Park has near average sales volume among other neighborhoods with $351.4 million in sales volume in the last two years and is the 19th highest in Brooklyn. For development, Sunset Park has had very little major development activity relative to other neighborhoods.It had 888,093 square feet of commercial and multi-family construction under development in the last two years, which represents 3 percent of the neighborhood’s built space.
The block
On this tax block, PincusCo has identified the owners of five of the 21 commercial properties representing 17,170 square feet of the 94,556 square feet. The largest owner is Tit How Tsui, followed by Cindy Chow and then Jason Li.
There are no active new building construction projects on this tax block.
The majority, or 52 percent of the 94,556 square feet of built space are walkup buildings, with mixed-use buildings next occupying 32 percent of the space.
The buyer
The PincusCo database currently indicates that Royal Builders owned at least four commercial properties with 23 residential units in New York City with 19,123 square feet and a city-determined market value of $2.5 million. (Market value is typically about 50% of actual value.) The portfolio has $16.7 million in debt, borrowed from Investors Bank and Cross River Bank. Within the portfolio, the bulk, or 100 percent of the 19,123 square feet of built space are D1 properties, with V0 properties next occupying 0 percent of the space. They are all located in Brooklyn.
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