Yechiel Newhouse acquires interest from Lemle & Wolff valued at $31.5M at 125-unit rental in Harlem

Yechiel Newhouse through the entity Beacon 139th LLC acquired an interest from Lemle & Wolff Companies through the entity Beacon Mews Manager, LLC valued at $31.5 million for the 125-unit rental building at 34 West 139th Street in Harlem, Manhattan.
The deal closed on October 10, 2024 and was recorded on October 16, 2024. The four commercial condominium units that make up the property have 170,694 square feet of built space according to a PincusCo analysis of city data. The sale price per built square foot is $184 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 Lemle & Wolff Companies was Joseph J. Zitolo. The signatory for Yechiel Newhouse was Yechiel Newhouse. The Yechiel Newhouse entity is in care of the management company MMS Group, also known as Multifamily Management Services Group, which is a division of the Lynmark Group.

Prior sales and revenue

Prior to this transaction, PincusCo has records that the buyer Yechiel Newhouse purchased eight properties in six transactions for a total of $92.6 million and has no record it sold any properties over the past 24 months.
The seller Lemle & Wolff Companies purchased four properties in one transaction for a total of $10.4 million and sold seven properties in six transactions for a total of $29.4 million over the same time period.

The property

The rental condo with 125 residential units in Harlem has 170,694 square feet of built space according to a PincusCo analysis of city data. The parcel has a total lot size of 120,394 square feet. The property has a 421A exemption that started in 2011 and expires in 2036. The city-designated market value for the property in 2022 is $11.2 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 not received any significant violations in the last year.

Development

For the tax lot buildings, one out of the four buildings received a initial certificate of occupancy in the last ten years. 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 34 West 139th Street, PincusCo has identified the owners of four of the seven commercial properties representing 220,926 square feet of the 268,644 square feet. The two identified owners are Fairstead and New York City Department Of Housing Preservation And Development.
There are no active new building construction projects on this tax block.

The majority, or 71 percent of the 268,644 square feet of built space are elevator buildings, with specialty buildings next occupying 16 percent of the space.

The seller

The PincusCo database currently indicates that Lemle & Wolff Companies owned at least 13 commercial properties with 436 residential units in New York City with 420,777 square feet and a city-determined market value of $23 million. (Market value is typically about 50% of actual value.) The portfolio has $65.2 million in debt, with top three lenders as Bank of New York Mellon, Bellwether Enterprise, and NYC Housing Development Corporation respectively. Within the portfolio, the bulk, or 61 percent of the 420,777 square feet of built space are walkup properties, with elevator properties next occupying 39 percent of the space. The bulk, or 77 percent of the built space, is in Bronx, with Manhattan next at 23 percent of the space.

The buyer

The PincusCo database currently indicates that Yechiel Newhouse owned at least 41 commercial properties with 1,541 residential units in New York City with 1,568,573 square feet and a city-determined market value of $108.5 million. (Market value is typically about 50% of actual value.) The portfolio has $236.6 million in debt, with top three lenders as New York Community Bank, Santander Bank, and JPMorgan Chase respectively. Within the portfolio, the bulk, or 63 percent of the 1,568,573 square feet of built space are elevator properties, with walkup properties next occupying 37 percent of the space. The bulk, or 65 percent of the built space, is in Bronx, with Manhattan next at 35 percent of the space.

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