Wexcor Capital pays $5.8M to Barberry Rose for two walkups in Washington Heights

Wexcor Capital through the entity Wexcor W 175th St Rr, LLC paid $5.8 million to Barberry Rose Management Company through the entity Bsf West 175th Street Holding LLC for the 30-unit residential walkup building (C1) at 565 West 175th Street and the 30-unit residential walkup building (C1) at 571 West 175th Street, both in Washington Heights, Manhattan.
The deal closed on December 27, 2023 and was recorded on January 10, 2024. The two properties have 48,288 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $120 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 Barberry Rose Management Company was Lewis M. Barbanel. The signatory for Wexcor Capital was Ron Wexler. The contract date was July 28, 2023. Barberry Rose Management bought the two buildings in 2017 for $14.1 million. According to a representative for the brokers, the properties sold for a cap rate of 9% and a GRM of 5.7, $95,082 price per unit and $120 price per square foot. Rosewood Realty Group’s Aaron Jungreis, Ben Khakshoor and Alex Fuchs represented both Wexcor Capital and Barberry Rose Management in the sale. Wexcor Capital is led by Ron Wexler, according to corporation records.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Wexcor Capital had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Barberry Rose Management Company had not purchased any other properties and sold 28 properties in 26 transactions for a total of $106.3 million over the same time period. The former owners according to the Department of Housing Preservation and Development includes Lewis Barbanel, head officer and Robert Silverman, officer. The business entities are Barberry Rose Management Co. Inc and Bsf West 175th Street Holding Llc.

The property

The residential walkup building with 30 residential units in Washington Heights has 48,288 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 50 feet and is 112 feet deep with a total lot size of 5,644 square feet. The zoning is R7-2 which allows for up to 3.44 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $1.7 million.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties for the past 24 months. In addition, according to city public data, the properties have received 44 housing violations and $600 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 $1 million on this tax lot.

The block

On the tax block of 565 West 175th Street, PincusCo has identified the owners of 20 of the 27 commercial properties representing 522,589 square feet of the 787,460 square feet. The largest owner is Zhi Lin, followed by Stellar Management and then SDG Management.
There are no active new building construction projects on this tax block.

The majority, or 48 percent of the 787,460 square feet of built space are walkup buildings, with elevator buildings next occupying 40 percent of the space.

The seller

The PincusCo database currently indicates that Barberry Rose Management Company owned at least 12 commercial properties with 435 residential units in New York City with 435,317 square feet and a city-determined market value of $47.8 million. (Market value is typically about 50% of actual value.) The portfolio has $10 million in debt, borrowed from Principal Life Insurance Company. Within the portfolio, the bulk, or 58 percent of the 435,317 square feet of built space are elevator properties, with walkup properties next occupying 31 percent of the space. The bulk, or 36 percent of the built space, is in Brooklyn, with Manhattan next at 32 percent of the space.

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