Victor Sismanoglouyates pays $12.2M to HK Organization for two rentals with 98 units in Longwood

Victor Sismanoglouyates through the entity Fox Street Residences, LLC paid $12.2 million to HK Organization through the entity Fox Street Apartments L.P. for 54-unit residential elevator building (D5) at 737 Fox Street in Longwood, Bronx and 54-unit residential elevator building (D5) at 725 Fox Street in Longwood, Bronx.
The deal closed on October 11, 2022 and was recorded on October 26, 2022. The two properties have 104,400 square feet of built space according to PincusCo analysis of city data. The sale price per built square foot is $116 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 HK Organization was Harry Kotowitz. The signatory for Victor Sismanoglouyates was Victor Sismanoglouyates.

Because multiple properties have been transacted, some of the following sections will follow the property with the largest assessed value, which in this case, is the property on 737 Fox Street.

Prior sales and revenue

Prior to this transaction, Pincusco has no record that the buyer Victor Sismanoglouyates had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller HK Organization had not purchased any other properties and had not sold any properties over the same time period. The former owners according to the Department of Housing Preservation and Development includes Harry Kotowitz, head officer and Karen Cruz, agent. The business entities are Metropolitan Property Services Inc and Fox Street Apartments L.P. The two properties with a total of 104,400 square feet of built space generated revenue of $1.2 million per year or $12 per square foot. The sale price per square foot was $116.

The property

The 737 Fox Street parcel has frontage of 100 feet and is 100 feet deep with a total lot size of 10,000 square feet. The zoning is R7-1 which allows for up to 3.44 times floor area ratio (FAR) for residential. The property has a J-51 exemption that started in 2005.0 and expires in 2039.0. The city-designated market value for the property in 2022 is $1.4 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have received $2,500 in ECB penalties, 70 housing violations, and $2,550 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 the tax block of 737 Fox Street, PincusCo has identified the owners of six of the 14 commercial properties representing 180,428 square feet of the 510,740 square feet. The largest owner is Omni New York, followed by Harry Kotowitz and then Banana Kelly Community Improvement Association.
There are no active new building construction projects on this tax block.

The majority, or 77 percent of the 510,740 square feet of built space are elevator buildings, with walkup buildings next occupying 22 percent of the space.

The seller

The PincusCo database currently indicates that HK Organization owned at least two commercial properties in New York City with 131,945 square feet and a city-determined market value of $22.2 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 83 percent of the 131,945 square feet of built space are elevator properties, with walkup properties next occupying 17 percent of the space. The bulk, or 83 percent of the built space, is in Brooklyn, with Bronx next at 17 percent of the space.

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