Walgreen’s sells Kingsbridge retail to Kamin Realty for $9.2M

Kamin Realty through the entity Daniel G. Kamin Bronx LLC paid $9.2 million to Walgreen Co. through the entity Walgreen Eastern Co., Inc. for the retail building (K1) at 5564 Broadway in Kingsbridge, Bronx.
The deal closed on January 12, 2023 and was recorded on January 20, 2023. The property has 14,482 square feet of built space and 36,352 square feet of additional air rights for a total buildable of 50,767 square feet according to PincusCo analysis of city data. The sale price per built square foot is $638 and the price per buildable square foot is $182 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 Walgreen Co. was Richard N. Steiner. The signatory for Kamin Realty was Daniel G. Kamin.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Kamin Realty purchased three properties in one transactions for a total of $9.8 million and has no record it sold any properties over the past 24 months.
The seller Walgreen Co. had not purchased any other properties and had not sold any properties over the same time period. The 14,482-square-foot property generated revenue of $694,267 or $48 per square foot, according to the most recent income and expense figures.

The property

The 5564 Broadway parcel has frontage of 107 feet and is 100 feet deep with a total lot size of 20,892 square feet. The lot is irregular. The zoning is R6 which allows for up to 2.43 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $3.6 million.

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 $3,000 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 Kingsbridge, the bulk, or 32 percent of the 6.2 million square feet of commercial built space are walkup buildings, with elevator buildings next occupying 29 percent of the space. In sales, Kingsbridge has the 24th highest sale turnover among other neighborhoods in Bronx with $54.6 million in sales volume in the last two years. For development, Kingsbridge has had very little major development activity relative to other neighborhoods.It had 235,653 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 six of the 24 commercial properties representing 109,171 square feet of the 460,975 square feet. The largest owner is Steve Zervoudis, followed by Linda Taub and then Isaac M. Franco.
On the tax block, there were three new building construction projects totaling 176,864 square feet. The largest is a 142,100-square-foot retail (M) building developed by Thomas Caputo with plans filed May 4, 2012 and permitted August 1, 2013. The second largest is a 19,840-square-foot M building developed by Thomas Caputo with plans filed March 3, 2014 and permitted November 13, 2014.

The majority, or 56 percent of the 460,975 square feet of built space are retail buildings, with walkup buildings next occupying 36 percent of the space.

The seller

The PincusCo database currently indicates that Walgreen Co. owned at least one commercial property in New York City with 9,000 square feet and a city-determined market value of $1.5 million. (Market value is typically about 50% of actual value.) The portfolio consists of at least a single retail property. It is located in Brooklyn.

The buyer

The PincusCo database currently indicates that Kamin Realty owned at least three commercial properties in New York City with 13,901 square feet and a city-determined market value of $4.7 million. (Market value is typically about 50% of actual value.) Within the portfolio, all identified are retail properties. They are all located in Queens.

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