William Schneider signs $7.8M initial loan with New York Community for residential elevator in East Harlem

William Schneider through the entity 1710 Lex LLC as borrower signed a initial loan with lender New York Community Bank valued at $7.8 million for the midblock 23-unit residential elevator building at 221 East 105th Street in East Harlem, Manhattan.
The deal closed on April 7, 2022 and was recorded on April 20, 2022.

The property has 16,135 square feet of built space for a total buildable of 16,148 square feet according to PincusCo analysis of city data. The loan price per built square foot is $486 and the price per buildable square foot is $486 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 August 19, 2015, for $2 million. The signatory for William Schneider was William Schneider.

Prior sales and revenue

The 16,135-square-foot property generated revenue of $792,874 or $49 per square foot, according to the most recent income and expense figures.

The property

The 221 East 105th Street parcel has frontage of 40 feet and is 100 feet deep with a total lot size of 4,037 square feet. The zoning is R7A which allows for up to 4 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $4.9 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 not received any significant violations in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on January 22, 2021. 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 East Harlem, the majority, or 51 percent of the 63.1 million square feet of commercial built space are residential elevator buildings, with specialty buildings next occupying 21 percent of the space. In sales, East Harlem has 2.1 times the average sales volume among other neighborhoods with $571.7 million in sales volume in the last two years and is the 22nd highest in Manhattan. For development, East Harlem is the 9th most active neighborhood among other neighborhoods. It had 4.3 million square feet of commercial and multi-family construction under development in the last two years, which represents 7 percent of the neighborhood’s built space. There was one pre-foreclosure suit filed among other residential elevator buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of six of the 27 commercial properties representing 53,325 square feet of the 317,272 square feet. The two identified owners are Clement Saad and William Guerrero. There is one active new building construction project totaling 18,952 square feet. It is a 18,952-square-foot office (B) building developed by Andrew Lester with plans filed January 8, 2020 and it has not been permitted yet.

The majority, or 31 percent of the 317,272 square feet of built space are residential walkup buildings, with residential elevator buildings next occupying 25 percent of the space.

Surrounding

Within a 400-foot radius of 221 East 105th Street, PincusCo identified four commercial real estate items of interests occurred over the past 24 months.
One of those four items was a sale which ABJ Properties bought the 9,760-square-foot, 14-unit rental (C7) on 1904 3rd Avenue and one other property for $7.5 million from Ronald Sunog on July 22, 2020.
Of those four items, three were loans above $5 million totaling $19.9 million. The most recent of the three was Abraham Soleimani and Benjamin Soleimani which borrowed $6.5 million from Signature Bank secured by the 9,760-square-foot, 14-unit rental (C7) on 1904 3rd Avenue and one other property on March 4, 2022.

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