Uzi Shvut pays $1.7M to bankrupt Alejandro Quito company for mixed-use in Soundview

Uzi Shvut through the entity 1838 Wa Realty LLC paid $1.7 million to Alejandro Quito’s bankrupted company through the entity Gualaceo Realty Corp. for the four-unit mixed-use building (S4) at 1838 Westchester Avenue in Soundview, Bronx.
The deal closed on January 20, 2023 and was recorded on February 3, 2023. The property has 5,025 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $333 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 the bankrupt Alejandro Quito company was Howard P. Magaliff. The signatory for Uzi Shvut was Uzi Shvut.

Prior sales and revenue

Prior to this transaction, Pincusco has records that the buyer Uzi Shvut purchased two properties in two transactions for a total of $2.2 million and has no record it sold any properties over the past 24 months.
The seller Alejandro Quito bankrupted had not purchased any other properties and sold one properties in one transactions for a total of $6.8 million over the same time period.

The property

The 1838 Westchester Avenue parcel has frontage of 25 feet and is 104 feet deep with a total lot size of 2,550 square feet. The lot is irregular. The zoning is R5 which allows for up to 1.25 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $502,000.

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 12 housing violations and $400 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 neighborhood

In Soundview, the majority, or 58 percent of the 20.5 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 21 percent of the space. In sales, Soundview has had very little sales volume relative to other neighborhoods with $169 million in sales volume in the last two years. For development, Soundview has 3 times the average amount of major developments relative to other neighborhoods and is the 2nd highest in Bronx. It had 3 million square feet of commercial and multi-family construction under development in the last two years, which represents 15 percent of the neighborhood’s built space.

The block

there are no active new building construction projects on this tax block.

the majority, or 43 percent of the 25,040 square feet of built space are mixed-use buildings, with retail buildings next occupying 36 percent of the space.

The buyer

The PincusCo database currently indicates that Uzi Shvut owned at least 16 commercial properties in New York City with 91,598 square feet and a city-determined market value of $14.8 million. (Market value is typically about 50% of actual value.) The portfolio has $33.8 million in debt, borrowed from Barclays and Citibank. Within the portfolio, the bulk, or 65 percent of the 91,598 square feet of built space are retail properties, with mixed-use properties next occupying 35 percent of the space. The bulk, or 52 percent of the built space, is in Bronx, with Queens next at 24 percent of the space.

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