Samuel Strulovitch pays $2.8M for two industrial properties in Borough Park

Samuel Strulovitch through the entity 1357 60 St LLC paid $2.8 million to Michael Halberstam through the entity 1355 60th Street LLC for the industrial buildings at 1355-1357 60th Street in Borough Park, Brooklyn.
The deal closed on February 27, 2023 and was recorded on March 13, 2023. The two properties have 8,078 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $349 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 Michael Halberstam was Michael Halberstam. The signatory for Samuel Strulovitch was Samuel Strulovitch.

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 1355 60th Street.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Samuel Strulovitch purchased two properties in two transactions for a total of $1.6 million and has no record it sold any properties over the past 24 months.
The seller Michael Halberstam had not purchased any other properties and had not sold any properties over the same time period. The two properties with a total of 8,078 square feet of built space generated revenue of $134,093 per year or $17 per square foot. The sale price per square foot was $350.

The property

The 1355 60th Street parcel has frontage of 32 feet and is 158 feet deep with a total lot size of 4,994 square feet. The lot is irregular. The zoning is M1-1 which allows for up to 1 times floor area ratio (FAR) for manufacturing The city-designated market value for the property in 2022 is $397,000.

Violations and lawsuits

The properties were involved in one lawsuit and zero bankruptcies over the past two years. The suit was a $7.2 million judgment concerning a contract filed on December 29, 2022, by Samuel Strulovitch against Jack Montag. In addition, according to city public data, the properties have received two DOB 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 Borough Park, the bulk, or 24 percent of the 23.1 million square feet of commercial built space are specialty buildings, with mixed-use buildings next occupying 21 percent of the space. In sales, Borough Park has near average sales volume among other neighborhoods with $376.7 million in sales volume in the last two years and is the 19th highest in Brooklyn. For development, Borough Park has near average amount of major developments among other neighborhoods and is the 17th highest in Brooklyn. It had 1.1 million square feet of commercial and multi-family construction under development in the last two years, which represents 5 percent of the neighborhood’s built space.

The block

On the tax block of 1355 60th Street, PincusCo has identified the owners of one of the 25 commercial properties representing 30,000 square feet of the 166,533 square feet. The identified owner is Aron Levy.
On the tax block, there was one new building construction project filed totaling 7,200 square feet. It is a two-unit, 7,200-square-foot R-3 building developed by Rose Weiser with plans filed December 23, 2020 and it has not been permitted yet.

The majority, or 42 percent of the 166,533 square feet of built space are mixed-use buildings, with industrial buildings next occupying 30 percent of the space.

The buyer

The PincusCo database currently indicates that Samuel Strulovitch owned at least four commercial properties in New York City with 15,484 square feet and a city-determined market value of $3.8 million. (Market value is typically about 50% of actual value.) The portfolio has $6.5 million in debt, borrowed from Citizens Bank. Within the portfolio, the bulk, or 81 percent of the 15,484 square feet of built space are industrial properties, with mixed-use properties next occupying 19 percent of the space. They are all located in Brooklyn.

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