TZ Capital pays $6.5M to Veracity Equities for retail threatened by foreclosure in SoHo

TZ Capital through the entity TZ 111 Mercer Street LLC paid $6.5 million to Veracity Equities through the entity Mercer 111 Retail, LLC for the retail condo at 111 Mercer Street in SoHo, Manhattan. The expected use is cash flowing.

This retail unit was subject to a pre-foreclosure case 850031/2023. A judgment of foreclosure was entered in April 2025, but with this sale the case with discontinued on May 23.

The deal closed on May 22, 2025 and was recorded on May 28, 2025. The property has 3,024 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $2,149 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 Veracity Equities was Bettina Miraglia . The signatory for TZ Capital was Harrison T. Tananbaum . The contract date was April 4, 2025.  Bettina Miraglia is an attorney with D’Agostino, Lederman, Landesman, Rivera & Miraglia.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer TZ Capital purchased one property in one transaction for a total of $180 million and has no record it sold any properties over the past 24 months.
The seller Veracity Equities had not purchased any other properties and sold one property in one transaction for a total of $12.7 million over the same time period.

The property

The retail condo in SoHo has 3,024 square feet of built space according to a PincusCo analysis of city data. The parcel has a total lot size of 3,024 square feet. The city-designated market value for the property in 2022 is $3.2 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 not received any significant violations in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on September 11, 2013. 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 SoHo, The bulk, or 46 percent of the 9.5 million square feet of commercial built space are office buildings, with mixed-use buildings next occupying 14 percent of the space. In sales, SoHo has 2.4 times the average sales volume among other neighborhoods with $634.8 million in sales volume in the last two years and is the 16th highest in Manhattan. For development, SoHo has had very little major development activity relative to other neighborhoods.It had 351,508 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.

The block

On this tax block, PincusCo has identified the owners of three of the 13 commercial properties representing 206,865 square feet of the 316,967 square feet. The largest owner is SL Green Realty, followed by Arkray Inc. and then Carl Stefan Erling Persson.
There are no active new building construction projects on this tax block.

The majority, or 66 percent of the 316,967 square feet of built space are office buildings, with mixed-use buildings next occupying 19 percent of the space.

The seller

The PincusCo database currently indicates that Veracity Equities owned at least two commercial properties with 50 residential units in New York City with 25,501 square feet and a city-determined market value of $8.5 million. (Market value is typically about 50% of actual value.) The portfolio has $21.7 million in debt, borrowed from Shelter Growth Capital Partners. Within the portfolio, all identified are walkup properties. They are all located in Manhattan.

The buyer

The PincusCo database currently indicates that TZ Capital owned at least one commercial property with 68 residential units in New York City with 237,003 square feet and a city-determined market value of $87.9 million. (Market value is typically about 50% of actual value.) The portfolio consists of at least a single D4 property. It is located in Manhattan.

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