Titan Capital files $10.5M pre-foreclosure at Robert Gans Astoria commercial building

Lender Titan Capital ID filed a $10.5 million pre-foreclosure action at 34-49 Steinway Street in Astoria, Queens, which Robert Gans operated for decades as part of his Metropolitan Lumber & Hardware business. This is the last of the properties shown on his website which he still owns. He lost an 11-parcel portfolio in 2023 to Extell Development, Bluestone Group and Princeton Real Estate Partners, which bought the defaulted debt on that portfolio.
Gans put that portfolio into bankruptcy, and through that process several properties sold, including 175 Spring Street and 108-20 Merrick Boulevard.

Another is in contract, with developer Cheskel Schwimmer agreeing to purchase 616 11th Avenue for $33.2 million.

Gans purchased the Astoria building in 2002, and following several refinances, borrowed $130.2 million from Mack Real Estate Group in 2018 secured by 21 tax parcels including this one. In 2019, this parcel was removed from that financing package, and Titan Capital ID provided the $10.5 million loan.

According to the complaint, the lender provided at least 11 loan modifications, which extended the maturity date from the fall of 2020 to ultimately October 20, 2023. The lender declared the loan in default after it was not repaid on that day, and filed the pre-foreclosure action yesterday in State Supreme Court in Queens. Ira Saferstein of Titan Capital ID signed the court documents for the lender.

Case 706140/2024 LINK

The property

The mixed-use building in Astoria has 25,475 square feet of built space and 116,973 square feet of additional air rights for a total buildable of 142,650 square feet according to a PincusCo analysis of city data. The parcel has frontage of 250 feet and is 95 feet deep with a total lot size of 47,550 square feet. The zoning is C4-2A which allows for up to 3 times floor area ratio (FAR) for commercial and up to 3 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $4 million. The most recent loan totaled $10.5 million and was provided by Titan Capital ID on September 20, 2019.

Prior sales and revenue

The 25,475-square-foot property generated revenue of $661,093 or $26 per square foot, according to the most recent income and expense figures.

Development

Over the past five years, there has been no NYC Department of Buildings new building, demolition, or alteration permit application valued at more than $20,000 filed for this parcel.

Violations and lawsuits

According to city public data, the property has received one DOB violation and $600 in OATH penalties in the last year.

There were no lawsuits or bankruptcies filed against the property for the past 24 months.

The neighborhood

In Astoria, The bulk, or 36 percent of the 40.2 million square feet of commercial built space are walkup buildings, with elevator buildings next occupying 31 percent of the space. In sales, Astoria has near average sales volume among other neighborhoods with $745.2 million in sales volume in the last two years and is the 3rd highest in Queens. For development, Astoria has near average amount of major developments among other neighborhoods and is the 3rd highest in Queens. It had 2.9 million square feet of commercial and multi-family construction under development in the last two years, which represents 7 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other development buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of four of the eight commercial properties representing 66,378 square feet of the 197,183 square feet. The two identified owners are Ben Biordi and Robert Gans. There are no active new building construction projects on this tax block.

The owner

The PincusCo database currently indicates that Robert Gans owned at least two commercial properties in New York City with 28,925 square feet and a city-determined market value of $5.5 million. (Market value is typically about 50% of actual value.) The portfolio has $10.5 million in debt, borrowed from Titan Capital ID. Within the portfolio, the bulk, or 88 percent of the 28,925 square feet of built space are mixed-use properties, with industrial properties next occupying 12 percent of the space. The bulk, or 88 percent of the built space, is in Queens, with Manhattan next at 12 percent of the space.

The surrounding

This is the first commercial real estate event of interest identified within the 400-foot radius of 34-49 Steinway Street in the past 24 months.

Direct link to the property’s ACRIS page and link to DOB NOW portal.