Sabet Group pays $13.3M to Perlbinder Realty for residential elevator in Murray Hill

Alfred Sabetfard’s Sabet Group through the entity 310 E 35 Street LLC paid $13.3 million to Perlbinder Realty through the entity MS Partnership for the 40-unit residential elevator building (D3) at 312 East 35th Street in Murray Hill, Manhattan.
The deal closed on June 23, 2022 and was recorded on July 12, 2022. The property has 19,025 square feet of built space and 10,715 square feet of additional air rights for a total buildable of 29,726 square feet according to PincusCo analysis of city data. The sale price per built square foot is $699 and the price per buildable square foot is $447 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 April 13, 2007, for $8.2 million. The signatory for Perlbinder Realty was Barton Mark Perlbinder. The signatory for Sabet Group was Alfred Sabetfard. The Perlbinder family also owns the fee under 215 Madison Avenue, as PincusCo reported previously.  The NY Post in 2021 reported on an internal family dispute over management of 400 East 54th Street, another property the family owns.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Sabet Group purchased four properties in four transactions for a total of $30 million and has no record it sold any properties over the past 24 months.
The seller Perlbinder Realty 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 Barton Perlbinder, head officer and Stephen Perlbinder, officer. The business entities are M D M Mgmt Inc and M S Partnership.

The property

The 312 East 35th Street parcel has frontage of 50 feet and is 98 feet deep with a total lot size of 4,938 square feet. The zoning is R8 which allows for up to 6.02 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $3.1 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property since September of 2020. In addition, according to city public data, the property has received $50 in OATH penalties 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 Murray Hill, the majority, or 66 percent of the 15.7 million square feet of commercial built space are residential elevator buildings, with office buildings next occupying 16 percent of the space. In sales, Murray Hill has 3.2 times the average sales volume among other neighborhoods with $1 billion in sales volume in the last two years and is the 14th highest in Manhattan. For development, Murray Hill has had very little major development activity relative to other neighborhoods.It had 172,263 square feet of commercial and multi-family construction under development in the last two years, which represents 1 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of three of the 20 commercial properties representing 38,574 square feet of the 434,365 square feet. The two identified owners are Croman Real Estate and Young Adult Institute. There are no active new building construction projects on this tax block.

The majority, or 45 percent of the 512,743 square feet of built space are specialty buildings, with residential elevator buildings next occupying 28 percent of the space.

The buyer

The PincusCo database currently indicates that Sabet Group owned at least 25 commercial properties in New York City with 418,003 square feet and a city-determined market value of $105.8 million. (Market value is typically about 50% of actual value.) The portfolio has $192.8 million in debt, with top three lenders as Signature Bank, Citibank, and Dime Community Bank respectively. Within the portfolio, the bulk, or 55 percent of the 418,003 square feet of built space are walkup properties, with hotel properties next occupying 32 percent of the space. They are all located in Manhattan.

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