Stagg Group signs $20M construction loan with Valley National Bank for 121-unit project in Highbridge

Stagg Group through the entity 1245 Elgh LLC as borrower signed a new construction loan with lender Valley National Bank valued at $20 million for the mixed-use building at 1245 Edward L Grant Highway in Highbridge, Bronx.
The deal closed on January 19, 2022 and was recorded on February 9, 2022. The prior lender was Signature Bank which held debt that had an original loan amount of $3 million.
The property has 9,170 square feet of built space and 68,620 square feet of additional air rights for a total buildable of 77,832 square feet according to PincusCo analysis of city data. The loan price per built square foot is $2,181 and the price per buildable square foot is $256 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 October 30, 2020, for $6.1 million.
The signatory for Stagg Group was Mark P. Stagg. The signatory for Valley National Bank was Donald Secrest.
The 9,170-square-foot property generated revenue of $257,079 or $28 per square foot, according to the most recent income and expense figures.

(240296657) Plans for a 121-unit, 80,678 square-foot R-2 were filed on December 7, 2020.

In Highbridge, the majority, or 57 percent of the 14.2 million square feet of built space are residential elevator buildings, with residential walkup buildings next occupying 22 percent of the space. In sales, Highbridge has the 22nd highest sale turnover among other neighborhoods in Bronx with $44.2 million in sales volume in the last two years. For development, Highbridge has had very little major development activity relative to other neighborhoods.It had 566,760 square feet of commercial and multi-family construction under development in the last two years, which represents 4 percent of the neighborhood’s built space.
On the tax block, the majority, or 74 percent of the 795,203 square feet of built space are residential elevator buildings, with residential walkup buildings next occupying 9 percent of the space.
Within a 400-foot radius of 1245 Edward L Grant Hwy, PincusCo identified four commercial real estate items of interests occurred over the past 24 months.
One of those four items was a sale which Joseph Alexander bought the 26,000-square-foot, four-unit retail building (K1) on 1240 Edward L Grant Hwy for $13.8 million from Steven Rosenberg on December 29, 2020.
Of those four items, three were loans above $5 million totaling $75 million. The most recent of the three was Joseph A. Alexander which borrowed $20 million from H&O Capital Funding secured by the 26,000-square-foot, four-unit retail building (K1) on 1240 Edward L Grant Hwy on February 3, 2022.

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