Monday, May 23, 2016

103 St. Mark's Place sells for $11.5 million



The 6-story building between Avenue A and First Avenue has a new owner.

An EVG reader who lives in the building learned of the transaction via a note under the door on Friday.

The Commercial Observer noted the deal Friday afternoon ... reporting that Allied XVII LLC (with a Great Neck, N.Y., address) paid Adria Realty Investment Association $11.5 million.

Per the Observer:

The building ... has 21 apartments and two retail spaces, both occupied by a dentist’s office, with a lease expiring next year. Only six of the residential units are free-market and the rest are rent-stablized with average monthly rents of approximately $1,500.

“The seller is a local businessman who has owned the building since the early 1980s,” said Lev Mavashev of Alpha Realty, who represented the buyer in the deal. “He is planning for retirement and decided to capitalize in this market. The buyer is a local private investor with numerous holdings in the area. When I called the buyer on this deal, he immediately recognized the opportunity to purchase a building with plenty of unrealized potential and jumped on it, especially in this location.”

Mr. Mavashev said the buyer wanted to “add to his holdings in the area.”

The dental office had been on the rental market. The photo here is from March...


[Photo by Steven]

The dentist, Elan Kauffman, had been accused of alleged insurance fraud in this Fox 5 report from 2011.

The other retail tenant is Take Care, a natural healing center and spa with locations in Malibu and Montauk (per their website).

Meanwhile, per the EVG reader on the new owner: "I haven't heard or read anything either positive or negative about them, so I'm not sure if need to be in a state of super alarm (you know, start getting money orders for my rent checks and having them sent certified to the LLC's address — a P.O. Box! — etc.)"

11 comments:

Anonymous said...

Could it be Jonis realty / Citi Urban?

http://jonisrealty.com/contact-2/

Donnie Moder said...

So St. Marks St./East Village has been bought and sold twice over in the last ten years. What does that do to the community? It means there is no continuity except for NYU. Faceless corporations that are bought and sold themselves. Is it now just an investment vehicle? Pretty much. Is this ADReal Estate Investments again? Anyone's guess because landlords can hide their identity. Is that crazy or what? They know everything about you, you know absolutely nothing about them. I was once sued by my landlord and could never speak to him/her, only her representative (the lawyer he/she hired) to settle the matter, I only knew the managing agent and the shell company name that owned it. The managing gave me the runaround and I had to settle in order to save time and money. I had spent years in that poorly run building but given no courtesy by the mystery landlord.

Ken from Ken's Kitchen said...

Question 1: Will the current rent roll cover the monthly mortgage on the $11.5 million purchase? Not likely.

It's probably a good time to form a tenants association if there isn't one already.

Hodor said...

Hodor

Anonymous said...

8:33 AM: What makes you think dealing with the landlord directly would have been a rewarding experience?

Anonymous said...

Tenants time to call Cooper Square Committee and form a Tenants Association now that EV housing is so high-priced it is strictly an investment vehicle, not housing. It is the only thing that saved some of the rent regulated apartments, much less tenant's sanity, in our building.

Anonymous said...

white washing of the neighborhood continues..

Anonymous said...

I know of a few places in the neighborhood that can be had for the low, low price of 1.575 Billion $

chris flash said...

"Unrealized potential" = removal of tenants who don't pay enough rent to cover the huge-as-fuck mortgage that goes with that purchase price.

Donnie Moder said...

You know nothing about negotiation.

Anonymous said...

What are the tenants rights in the rent stabilized units? I am not clear on the difference between rent-controlled and rent stabilized. Can the new landlord just jack up their rents?

I sublet a unit in this horrible building many years ago. Some of the tenants there have been there for decades, they're elderly, and this is a disaster.