Shinwa Real Estate pays $9.5M to Z+G Property for UWS walkup

Shinwa Real Estate Co. paid $9.5 million to Z+G Property Group through the entity 203 West 80 Street Owner LLC for the midblock 10-unit residential walkup building at 203 West 80th Street in Upper West Side, Manhattan.
The deal closed on February 25, 2022 and was recorded on March 22, 2022.The property has 7,120 square feet of built space and 6,712 square feet of additional air rights for a total buildable of 13,829 square feet according to PincusCo analysis of city data. The sale price per built square foot is $1,334 and the price per buildable square foot is $686 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 September 1, 2020, for $5.4 million. The signatory for Z+G Property Group was Jason Greenberg. The signatory for Shinwa Real Estate Co., LTD was Devin Yasuda. Shinwa Real Estate Co., LTD is a Thailand based real estate company. https://www.shinwarealestate.co.th/

Prior sales and revenue

Prior to this transaction, Pincusco has no record that the buyer Shinwa Real Estate Co., LTD had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Z+G Property Group purchased two properties in two transactions for a total of $7.5 million and sold one properties in one transactions for a total of $8.2 million over the same time period. The former owner according to the Department of Housing Preservation and Development is David Cohen, head officer. The business entity is 203 West 80th Street Owners Llc. The 7,120-square-foot property generated revenue of $307,228 or $43 per square foot, according to the most recent income and expense figures.

The property

The 203 West 80th Street parcel has frontage of 18 feet and is 102 feet deep with a total lot size of 1,839 square feet. The zoning is C2-7A which allows for up to 2 times floor area ratio (FAR) for commercial and up to 7.52 times FAR for residential with inclusionary housing. The property is in the Upper West Side / Central Park West Historic District. The city-designated market value for the property in 2022 is $4.4 million.

Violations and lawsuits

The property was not involved in any lawsuits or bankruptcies in the past years. In addition, according to city public data, the property has received $2,200 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 Upper West Side, the majority, or 68 percent of the 95.5 million square feet of commercial built space are residential elevator buildings, with residential walkup buildings next occupying 13 percent of the space. In sales, Upper West Side has the 8th highest sale turnover among other neighborhoods in the city with $1.5 billion in sales volume in the last two years. For development, Upper West Side has 1.9 times the average amount of major developments relative to other neighborhoods and is the 11th highest in Manhattan. It had 1.8 million square feet of commercial and multi-family construction under development in the last two years, which represents 2 percent of the neighborhood’s built space.

The block

On this tax block, PincusCo has identified the owners of nine of the 29 commercial properties representing 463,184 square feet of the 926,207 square feet. The largest owner is Zucker Organization, followed by Pine Management and then Weinreb Management. There is one active new building construction project totaling 95,137 square feet. It is a 28-unit, 95,137-square-foot R-2 building developed by Kenneth Horn with plans filed April 12, 2016 and permitted September 15, 2017.

the majority, or 71 percent of the 665,031 square feet of built space are residential elevator buildings, with residential walkup buildings next occupying 19 percent of the space.

The seller

The PincusCo database currently indicates that Z+G Property Group owned at least two commercial properties with 17,500 square feet and a city-determined market value of $4 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 82 percent of the 17,500 square feet of built space are residential walkup properties, with mixed-use properties next occupying 18 percent of the space. They are all located in Brooklyn.

Surrounding

Within a 400-foot radius of 203 West 80th Street, Pincusco identified eight commercial real estate items of interests occurred over the past 24 months.
Of those eight items, three were sales above $5 million totaling $35.8 million. The most recent of the three was Marisa I. Hormel which bought one condo unit in the 0-square-foot, 362-unit mixed-use building (RM) on 207 West 79th Street for $12.4 million from Matthew John Ross McGrath on October 15, 2021.
Of those eight items, five were loans above $5 million totaling $75.8 million. The most recent of the five was Provident Management which borrowed $13.2 million from New York Community Bank secured by the 12,000-square-foot, nine-unit mixed-use building (S9) on 210 West 82nd Street and three other properties on December 29, 2021.

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