Seagis Property Group pays $12.1M for industrial in Ditmars Steinway

Warehouse operator Seagis Property Group through the entity SPG 18-81 Steinway St LLC paid $12.1 million to Rienzi & Sons for the industrial building (E1) at 18-81 Steinway Street in Ditmars Steinway, Queens. The expected use is cash flowing.
The deal closed on November 8, 2024 and was recorded on November 13, 2024. The property has 25,444 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $473 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 Rienzi & Sons was Michael Rienzi. The signatory for Seagis Property Group was Erin Plourde. The contract date was September 9, 2024. Seagis Property Group operates and leases warehouses.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Seagis Property Group purchased one property in one transaction for a total of $5.9 million and sold two properties in one transaction for a total of $4.1 million over the past 24 months.
The seller Rienzi & Sons had not purchased any other properties and had not sold any properties over the same time period.

The property

The industrial building in Ditmars Steinway has 25,444 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 145 feet and is 200 feet deep with a total lot size of 24,502 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 $3 million.

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 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 $1 million on this tax lot.

The neighborhood

In Ditmars Steinway, The bulk, or 41 percent of the 11.3 million square feet of commercial built space are walkup buildings, with industrial buildings next occupying 25 percent of the space. In sales, Ditmars Steinway has had very little sales volume relative to other neighborhoods with $96.9 million in sales volume in the last two years. For development, Ditmars Steinway has had very little major development activity relative to other neighborhoods.It had 481,823 square feet of commercial and multi-family construction under development in the last two years, which represents 4 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of four of the 48 commercial properties representing 64,377 square feet of the 318,515 square feet. The largest owner is Philip Loria, followed by Westrock Development and then Steven Franco.
There are no active new building construction projects on this tax block.

The majority, or 94 percent of the 318,515 square feet of built space are industrial buildings, with office buildings next occupying 5 percent of the space.

The buyer

The PincusCo database currently indicates that Seagis Property Group owned at least 83 commercial properties in New York City with 1,189,859 square feet and a city-determined market value of $159.7 million. (Market value is typically about 50% of actual value.) The portfolio has $286.2 million in debt, with top three lenders as JPMorgan Chase, Nuveen Real Estate, and Empower Annuity Insurance Company of America respectively. Within the portfolio, the bulk, or 98 percent of the 1,189,859 square feet of built space are industrial properties, with office properties next occupying 2 percent of the space. The bulk, or 81 percent of the built space, is in Queens, with Brooklyn next at 16 percent of the space.

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