Wharton Properties signs $14M refi for 17-unit walkup in West Village

Wharton Properties through the entity 72 Bedford Street LLC as borrower signed a refi loan with lender Webster Bank valued at $14 million for the 17-unit residential walkup building (C5) at 72 Bedford Street in West Village, Manhattan.
The deal closed on October 31, 2023 and was recorded on November 3, 2023. The prior lender was Webster Bank which held debt that had an original loan amount of $10 million.

The property has 12,349 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $1,133 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 owner bought the property on July 10, 2018, for $16 million. The signatory for Wharton Properties was Jeff Sutton. The signatory for Webster Bank was Adam Brenner.

Prior sales and revenue

The owners according to the Department of Housing Preservation and Development includes Eric Setton, head officer and Jay Gelb, site manager. The business entity is 72 Bedford Street LLC.

The property

The residential walkup building with 17 residential units in West Village has 12,349 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 44 feet and is 50 feet deep with a total lot size of 2,229 square feet. The zoning is R6 which allows for up to 2.43 times floor area ratio (FAR) for residential. The property is in the Greenwich Village Historic District. The city-designated market value for the property in 2022 is $2.9 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 received 12 housing violations and $2,175 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 this tax block, PincusCo has identified the owners of eight of the 18 commercial properties representing 99,836 square feet of the 156,018 square feet. The largest owner is Scharfman Organization, followed by J&L Holding and then Henry Moses Jr..
There are no active new building construction projects on this tax block.

The majority, or 72 percent of the 156,018 square feet of built space are walkup buildings, with elevator buildings next occupying 14 percent of the space.

The borrower

The PincusCo database currently indicates that Wharton Properties owned at least 85 commercial properties with 156 residential units in New York City with 3,749,142 square feet and a city-determined market value of $2 billion. (Market value is typically about 50% of actual value.) The portfolio has $691.8 million in debt recorded since 2020, with top three lenders as Aareal Capital, JPMorgan Chase, and Valley National Bank respectively. Within the portfolio, the bulk, or 73 percent of the 3,749,142 square feet of built space are office properties, with retail properties next occupying 17 percent of the space. The bulk, or 87 percent of the built space, is in Manhattan, with Brooklyn next at 10 percent of the space.

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