Solomon Rubin signs $50M refi loan with Dwight Capital for specialty in Crown Heights
Solomon Rubin through the entity St. Marks Brooklyn Associates LLC as borrower signed a refi loan with lender Dwight Capital valued at $50 million for the specialty building (I5) at 800 St Marks Avenue in Crown Heights, Brooklyn.
The deal closed on April 4, 2023 and was recorded on April 21, 2023. The prior lender was Andrews Federal Credit Union which held debt that had an original loan amount of $48.4 million. The property has 121,000 square feet of built space and 12,661 square feet of additional air rights for a total buildable of 133,769 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $413 and the price per buildable square foot is $373 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 Solomon Rubin was Solomon Rubin.
The property
The specialty building in Crown Heights has 121,000 square feet of built space and 12,661 square feet of additional air rights for a total buildable of 133,769 square feet according to a PincusCo analysis of city data. The parcel has frontage of 100 feet and is 250 feet deep with a total lot size of 55,049 square feet. The lot is irregular. The zoning is R6 which allows for up to 2.43 times floor area ratio (FAR) for residential. The property is in the Crown Heights North II Historic District. The city-designated market value for the property in 2022 is $29.6 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 $4,745 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 Crown Heights, The bulk, or 39 percent of the 46.5 million square feet of commercial built space are walkup buildings, with elevator buildings next occupying 36 percent of the space. In sales, Crown Heights has 1.7 times the average sales volume among other neighborhoods with $604.5 million in sales volume in the last two years and is the 9th highest in Brooklyn. For development, Crown Heights has 2.9 times the average amount of major developments relative to other neighborhoods and is the 6th highest in Brooklyn. It had 3 million square feet of commercial and multi-family construction under development in the last two years, which represents 6 percent of the neighborhood’s built space.
The block
On this tax block, PincusCo has identified the owners of eight of the eight commercial properties representing 349,282 square feet of the 349,282 square feet. The largest owner is Joseph Pistilli, followed by Joseph Lichtman and then Goldmont Realty.
There are no active new building construction projects on this tax block.
The majority, or 53 percent of the 349,282 square feet of built space are elevator buildings, with specialty buildings next occupying 35 percent of the space.
The borrower
The PincusCo database currently indicates that Solomon Rubin owned at least three commercial properties with 120 residential units in New York City with 127,622 square feet and a city-determined market value of None. (Market value is typically about 50% of actual value.) The portfolio has $48.9 million in debt, borrowed from Dwight Capital and Metropolitan Commercial Bank. Within the portfolio, the bulk, or 95 percent of the 127,622 square feet of built space are specialty properties, with industrial properties next occupying 5 percent of the space. The bulk, or 55 percent of the built space, is in Manhattan, with Brooklyn next at 45 percent of the space.
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