Xiao Ke Tang signs $18.2M construction loan for 27-unit dev site in Sunnyside

Xiao Ke Tang through the entity 43-25 52 LLC as borrower signed a new construction loan with lender Popular Bank through the entity Popular Bank valued at $18.2 million for the 27-unit development site at 43-25 52nd Street in Sunnyside, Queens.

On these lots, there is one active new building construction project for a 27-unit, 22,945 square-foot R-2 building. The project was submitted by Xiaoke Tang with plans filed April 13, 2022 and it has not been permitted yet.

The deal closed on December 20, 2023 and was recorded on January 12, 2024. The prior lender was Cathay Bank which held debt that had an original loan amount of $1.6 million.
The two properties have 11,670 square feet of built space and 24,314 square feet of additional air rights for a total buildable of 35,992 square feet according to a PincusCo analysis of city data. The loan price per built square foot is $1,560 and the price per buildable square foot is $506 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 Xiao Ke Tang was Xiao Ke Tang. The signatory for Popular Bank was Sana Khaliq.

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 43-25 52nd Street.

Prior sales and revenue

Out of the two properties, one with a total of 11,670 square feet of built space generated revenue of $28,012 per year.

The property

The specialty building in Sunnyside has 11,670 square feet of built space and 24,314 square feet of additional air rights for a total buildable of 35,992 square feet according to a PincusCo analysis of city data. The parcel has frontage of 50 feet and is 100 feet deep with a total lot size of 4,999 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 $824,000.

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 $900 in OATH penalties in the last year.

The neighborhood

In Sunnyside, The bulk, or 32 percent of the 15.9 million square feet of commercial built space are elevator buildings, with walkup buildings next occupying 29 percent of the space. In sales, Sunnyside has had very little sales volume relative to other neighborhoods with $243.2 million in sales volume in the last two years. For development, Sunnyside has had very little major development activity relative to other neighborhoods.It had 585,475 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 the tax block of 43-25 52nd Street, PincusCo has identified the owners of eight of the 18 commercial properties representing 99,192 square feet of the 179,180 square feet. The largest owner is ZD Jasper Realty, followed by Xiao Ke Tang and then Peter Zuccarello.
On the tax block, there were six new building construction projects totaling 155,531 square feet. The largest is a 87-unit, 68,999 square-foot residential (R-2) building submitted by Kathy Ho with plans filed January 13, 2022 and permitted June 7, 2022. The second largest is a 32-unit, 24,547 square-foot residential (R-2) building submitted by Ivan Turkalj with plans filed August 17, 2022 and it has not been permitted yet.

The majority, or 48 percent of the 179,180 square feet of built space are elevator buildings, with walkup buildings next occupying 47 percent of the space.

The borrower

The PincusCo database currently indicates that Xiao Ke Tang owned at least four commercial properties with 85 residential units in New York City with 126,792 square feet and a city-determined market value of $5 million. (Market value is typically about 50% of actual value.) The portfolio has $59.8 million in debt, with top three lenders as New York Community Bank, Popular Bank, and Cathay Bank respectively. Within the portfolio, the bulk, or 71 percent of the 126,792 square feet of built space are D6 properties, with elevator properties next occupying 20 percent of the space. They are all located in Queens.

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