Xing Yan Zheng pays $4.2M for mixed-use in Flushing

Zhuang Hong Lin and Xing Yan Zheng through the entity Din Fung Estate Union 3408 LLC paid $4.2 million to Joung Ja Choi and Shea Sun Choi through the entity Choi, Joung Ja for the mixed-use building (K2) at 34-08 Union Street in Flushing, Queens.
The deal closed on May 5, 2023 and was recorded on May 15, 2023. The property has 5,875 square feet of built space and 5,927 square feet of additional air rights for a total buildable of 11,807 square feet according to a PincusCo analysis of city data. The sale price per built square foot is $714 and the price per buildable square foot is $355 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 Joung Ja Choi and Shea Sun Choi was Joung Ja Choi and Shea Sun Choi. The signatory for Zhuang Hong Lin and Xing Yan Zheng was Xing Yan Zheng.

Prior sales and revenue

Prior to this transaction, PincusCo has no record that the buyer Zhuang Hong Lin had purchased any other properties and has no record it sold any properties over the past 24 months.
The seller Joung Ja Choi had not purchased any other properties and had not sold any properties over the same time period. The 5,875-square-foot property generated revenue of $206,448 or $35 per square foot, according to the most recent income and expense figures.

The property

The mixed-use building in Flushing has 5,875 square feet of built space and 5,927 square feet of additional air rights for a total buildable of 11,807 square feet according to a PincusCo analysis of city data. The parcel has frontage of 43 feet and is 112 feet deep with a total lot size of 4,859 square feet. 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 $936,000.

Violations and lawsuits

The property was involved in one lawsuit and zero bankruptcies over the past two years. The suit was concerning an allegation of prostitution at the premises filed on August 26, 2022, by the City of New York. In addition, according to city public data, the property has received $100 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 neighborhood

In Flushing, The bulk, or 45 percent of the 37.7 million square feet of commercial built space are elevator buildings, with specialty buildings next occupying 20 percent of the space. In sales, Flushing has 2 times the average sales volume among other neighborhoods with $726 million in sales volume in the last two years and is the 4th highest in Queens. For development, Flushing has 2.5 times the average amount of major developments relative to other neighborhoods and is the 5th highest in Queens. It had 2.6 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 were four pre-foreclosure suit filed among other mixed-use buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of seven of the 10 commercial properties representing 139,075 square feet of the 234,950 square feet. The largest owner is New York City Housing Authority, followed by Chang Biao Zheng and then Amit Sikdar.
On the tax block, there was one new building construction project filed totaling 27,611 square feet. It is a 30-unit, 27,611 square-foot residential (R-2) building submitted by Chun Hua Wang with plans filed December 18, 2014 and it has not been permitted yet.

The majority, or 61 percent of the 234,950 square feet of built space are elevator buildings, with walkup buildings next occupying 33 percent of the space.

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