Son Dinh Tran pays $4M for residential walkup in East Village

Son Dinh Tran through the entity 73 Second Avenue Holdings LLC paid $4 million to Michael Ostad and Edward Ostad through the entity Second Avenue Assets LLC for the 10-unit residential walkup building (C7) at 73 Second Avenue in East Village, Manhattan.
The deal closed on December 7, 2022 and was recorded on December 15, 2022. The property has 8,075 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $495 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 March 13, 2015, for $6.5 million. The signatory for Michael Ostad and Edward Ostad was Edward Ostad. The signatory for Son Dinh Tran was Son Dinh Tran.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Son Dinh Tran purchased 21 properties in 17 transactions for a total of $101 million and sold two properties in one transactions for a total of $5.5 million over the past 24 months.
The seller Michael Ostad had not purchased any other properties and had not sold any properties over the same time period.

The property

The 73 Second Avenue parcel has frontage of 24 feet and is 77 feet deep with a total lot size of 1,854 square feet. The zoning is R7A which allows for up to 4 times floor area ratio (FAR) for residential with inclusionary housing. The property is in the East Village / Lower East Side Historic District. The city-designated market value for the property in 2022 is $3.6 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property since September of 2020. In addition, according to city public data, the property has received $75 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 block

On this tax block, PincusCo has identified the owners of eight of the 30 commercial properties representing 82,677 square feet of the 386,018 square feet. The largest owner is Sabet Group, followed by David Powell and then Lidia Mycak.
there are no active new building construction projects on this tax block.

The majority, or 54 percent of the 379,818 square feet of built space are walkup buildings, with elevator buildings next occupying 32 percent of the space.

The seller

The PincusCo database currently indicates that Edward Ostad owned at least 24 commercial properties in New York City with 570,461 square feet and a city-determined market value of $87.7 million. (Market value is typically about 50% of actual value.) The portfolio has $190.1 million in debt, with top three lenders as Signature Bank, New York Community Bank, and Greystone & Co. respectively. Within the portfolio, the bulk, or 50 percent of the 570,461 square feet of built space are elevator properties, with walkup properties next occupying 44 percent of the space. The bulk, or 63 percent of the built space, is in Manhattan, with Bronx next at 20 percent of the space.

The buyer

The PincusCo database currently indicates that Son Dinh Tran owned at least 26 commercial properties in New York City with 301,773 square feet and a city-determined market value of $60.7 million. (Market value is typically about 50% of actual value.) The portfolio has $81.3 million in debt, with top three lenders as Signature Bank, S3 Capital, and Titan Capital ID respectively. Within the portfolio, the bulk, or 67 percent of the 301,773 square feet of built space are walkup properties, with hotel properties next occupying 11 percent of the space. The bulk, or 78 percent of the built space, is in Manhattan, with Bronx next at 19 percent of the space.

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