Sabet Group pays $13M to Hirsch Enterprises for walkup in Alphabet City

Sabet Group through the entity 224 Ave B Holdings LLC paid $13 million to Hirsch Enterprises through the entity Marshall Associates, L.P. for the 26-unit residential walkup building (C7) at 224 Avenue B in Alphabet City, Manhattan. The expected use is cash flowing.
The deal closed on March 24, 2025 and was recorded on March 25, 2025. The property has 15,174 square feet of built space and 1,501 square feet of additional air rights for a total buildable of 16,688 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $856 and the price per buildable square foot is $779 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 Hirsch Enterprises was Herbert W. Hirsch . The signatory for Sabet Group was Alfred Sabetfard . The contract date was December 23, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Sabet Group purchased 13 properties in 11 transactions for a total of $108.9 million and has no record it sold any properties over the past 24 months.
The seller Hirsch Enterprises 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 Herbert Hirsch, head officer and Jerrold Newman, officer. The business entity is Marshall Associates Lp. The 15,174-square-foot property generated revenue of $1 million or $67 per square foot, according to the most recent income and expense figures.

The property

The residential walkup building with 26 residential units in Alphabet City has 15,174 square feet of built space and 1,501 square feet of additional air rights for a total buildable of 16,688 square feet according to a PincusCo analysis of city data. The parcel has frontage of 43 feet and is 95 feet deep with a total lot size of 4,172 square feet. The zoning is C1-6A which allows for up to 2 times floor area ratio (FAR) for commercial and up to 4 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $4.8 million. The property has 4 rent regulated units according to city tax records from 2023.

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 one DOB violation and $600 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 $1 million on this tax lot.

The block

On this tax block, PincusCo has identified the owners of eight of the 25 commercial properties representing 103,460 square feet of the 259,123 square feet. The largest owner is Ogrin Associates, followed by Sol Goldman Investments and then Steve Tenedios.
There are no active new building construction projects on this tax block.

The majority, or 83 percent of the 259,123 square feet of built space are walkup buildings, with elevator buildings next occupying 12 percent of the space.

The buyer

The PincusCo database currently indicates that Sabet Group owned at least 47 commercial properties with 806 residential units in New York City with 710,663 square feet and a city-determined market value of $214 million. (Market value is typically about 50% of actual value.) The portfolio has $465.1 million in debt, with top three lenders as Signature Bank, Citibank, and Greystone & Co. respectively. Within the portfolio, the bulk, or 60 percent of the 710,663 square feet of built space are walkup properties, with hotel properties next occupying 19 percent of the space. They are all located in Manhattan.

Direct link to Acris document. link