Yiannis Konstantinidis signs $27M refi with Alma Bank for two office properties in Ditmars Steinway

Yiannis Konstantinidis through the entity Pali Realty, LLC as borrower signed a refi loan with lender Alma Bank valued at $27 million for two office properties including the office building (O6) at 23-25 31st Street and the office building (O6) at 23-19 31st Street in Ditmars Steinway, Queens.
The deal closed on July 27, 2022 and was recorded on August 9, 2022. The prior lender was Alma Bank which held debt that had an original loan amount of $21.7 million. The two properties have 93,991 square feet of built space according to PincusCo analysis of city data. The loan price per built square foot is $287 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 Yiannis Konstantinidis was Yiannis Konstantinidis. The signatory for Alma Bank was Aris Stathis.

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 23-25 31st Street.

Prior sales and revenue

The two properties with a total of 93,991 square feet of built space generated revenue of $3.1 million per year or $33 per square foot.

The property

The 23-25 31st Street parcel has frontage of 100 feet and is 90 feet deep with a total lot size of 9,002 square feet. The zoning is C4-3 which allows for up to 3.4 times floor area ratio (FAR) for commercial and up to 2.43 times FAR for residential. The city-designated market value for the property in 2022 is $11.3 million.The most recent loan totaled $21.7 million and was provided by Alma Bank on December 30, 2019.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the properties since September of 2020. In addition, according to city public data, the properties have received $375 in OATH penalties in the last year.

Development

For the tax lot buildings, one out of the two buildings received an 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 $5 million on this tax lot.

The neighborhood

In Ditmars Steinway, the bulk, or 40 percent of the 11.3 million square feet of commercial built space are walkup buildings, with industrial buildings next occupying 25 percent of the space. In sales, Ditmars Steinway has had very little sales volume relative to other neighborhoods with $200.5 million in sales volume in the last two years. For development, Ditmars Steinway has had very little major development activity relative to other neighborhoods.It had 712,170 square feet of commercial and multi-family construction under development in the last two years, which represents 6 percent of the neighborhood’s built space.

The block

On the tax block of 23-25 31st Street, PincusCo has identified the owners of seven of the 41 commercial properties representing 136,951 square feet of the 246,145 square feet. The largest owner is Yiannis Konstantinidis, followed by Ilias Theotokas and then John Panagiotopoulos.
There are two active new building construction projects totaling 91,267 square feet. The largest is a 52-unit, 83,658-square-foot R-2 building developed by Gandolfo Difiore with plans filed March 15, 2021 and it has not been permitted yet. The second largest is a 10-unit, 7,609-square-foot R-2 building developed by John Alexiou with plans filed March 29, 2012 and permitted April 28, 2017.

The majority, or 40 percent of the 236,242 square feet of built space are office buildings, with walkup buildings next occupying 27 percent of the space.

The borrower

The PincusCo database currently indicates that Yiannis Konstantinidis owned at least two commercial properties in New York City with 93,991 square feet and a city-determined market value of $13.9 million. (Market value is typically about 50% of actual value.) The portfolio has $21.7 million in debt, borrowed from Alma Bank. Within the portfolio, all identified are office properties. They are all located in Queens.

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