Simcha Applegrad signs $23M refi with Bethpage for 108-unit walkup in Soundview

Simcha Applegrad through the entity Watson Ave Estates LLC as borrower signed a refi loan with lender Bethpage Federal Credit Union valued at $23 million for the 108-unit residential walkup building (C1) at 1484 Watson Avenue in Soundview, Bronx.
The deal closed on September 19, 2024 and was recorded on September 25, 2024. The prior lender was Citizens Bank which held debt that had an original loan amount of $20 million.The property has 71,986 square feet of built space and 900 square feet of additional air rights for a total buildable of 72,900 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $319 and the price per buildable square foot is $315 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 owner bought the property on April 27, 2018, for $5 million. The signatory for Simcha Applegrad was Simcha Applegrad. The signatory for Bethpage Federal Credit Union was Julian Cokro.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Sam Applegrad, head officer and Bronx Park Realty, shareholder. The business entity is Watson Ave Estates Llc.

The property

The residential walkup building with 108 residential units in Soundview has 71,986 square feet of built space and 900 square feet of additional air rights for a total buildable of 72,900 square feet according to a PincusCo analysis of city data. The parcel has frontage of 200 feet and is 150 feet deep with a total lot size of 30,000 square feet. The zoning is R6 which allows for up to 2.43 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $3.5 million. The most recent loan totaled $20 million and was provided by Investors Bank on June 22, 2020. The property has 48 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 34 housing violations, $400 in OATH penalties, and one housing litigation in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on May 2, 2023. 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 two of the three commercial properties representing 74,430 square feet of the 76,470 square feet. The two identified owners are Simcha Applegrad and Moshe Glassman.
On the tax block, there was one new building construction project filed totaling 61,305 square feet. It is a 49-unit, 61,305 square-foot residential (R-2) building submitted by Shia Mendel and filed by Shia Mendel with plans filed December 19, 2023 and it has not been permitted yet.

The majority, or 94 percent of the 76,470 square feet of built space are walkup buildings, with industrial buildings next occupying 3 percent of the space.

The borrower

The PincusCo database currently indicates that Simcha Applegrad owned at least 22 commercial properties with 1,198 residential units in New York City with 1,203,824 square feet and a city-determined market value of $86.6 million. (Market value is typically about 50% of actual value.) The portfolio has $197.9 million in debt, with top three lenders as Signature Bank, Arbor Realty Trust, and Investors Bank respectively. Within the portfolio, the bulk, or 75 percent of the 1,203,824 square feet of built space are walkup properties, with elevator properties next occupying 25 percent of the space. They are all located in Bronx.

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