Sihwa Lee pays $3.5M for retail in East Flatbush

Sihwa Lee through the entity 5015 C&J LLC paid $3.5 million to Joseph Esses through the entity S&J Realty LLC for the retail building (K7) at 5015 Church Avenue in East Flatbush, Brooklyn. The expected use is cash flowing.
The deal closed on September 4, 2024 and was recorded on October 17, 2024. The property has 8,569 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $414 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.)
Norman and Grace Esses bought the property in May 1970, subject to $47,000 in mortgages. The signatory for Joseph Esses was Joseph Esses. The signatory for Sihwa Lee was Sihwa Lee. The contract date was June 18, 2024.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Sihwa Lee had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Joseph Esses had not purchased any other properties and had not sold any properties over the same time period.

The property

The mixed-use building in East Flatbush has 8,569 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 41 feet and is 111 feet deep with a total lot size of 5,879 square feet. The lot is irregular. The zoning is R5 which allows for up to 1.25 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $1.7 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 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 $1 million on this tax lot.

The neighborhood

In East Flatbush, The bulk, or 32 percent of the 42.6 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 24 percent of the space. In sales, East Flatbush has 1.5 times the average sales volume among other neighborhoods with $380 million in sales volume in the last two years and is the 17th highest in Brooklyn. For development, East Flatbush has 1.3 times the average amount of major developments relative to other neighborhoods and is the 12th highest in Brooklyn. It had 1.4 million square feet of commercial and multi-family construction under development in the last two years, which represents 3 percent of the neighborhood’s built space. There were two pre-foreclosure suit filed among other mixed-use buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of six of the 33 commercial properties representing 42,750 square feet of the 151,789 square feet. The largest owner is Achs Management, followed by Mary James and then Marco Chaparro.
There are no active new building construction projects on this tax block.

The majority, or 37 percent of the 151,789 square feet of built space are mixed-use buildings, with walkup buildings next occupying 32 percent of the space.

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