The Real Deal New York

BCB sheds more assets with $38M Crown Heights sale

Sterling among buyers of three rentals near Prospect Park

February 02, 2016 06:54PM
By Mark Maurer Twitter_logo_blue copy

15 Crown Street

From left: 15-25 Crown Street in Crown Heights, Bennat Berger and Fred Wilpon

BCB Property Management is continuing to divest its real estate holdings as co-founder Bennat Charatan Berger shifts his focus to a new venture. The firm just sold three Crown Heights rental buildings to two separate buyers for a total of $37.8 million.

Sterling Equities, led by New York Mets bosses Fred Wilpon and Saul Katz, picked up a six-story, 51,000-square-foot property at 15-25 Crown Street for $20.8 million, or $408 per square foot. The elevator building has 58 apartments.

TerraCRG’s Adam Hess, who brokered the Sterling deal, said it is particularly rare for the owner of an elevator building near Prospect Park to sell.

“BCB left a lot of meat on the bone for Sterling and sold for a great price,” said Hess, referring to the opportunity for another profitable investment. BCB paid $11 million for the property in 2013.

Meanwhile, Ditmas Park-based landlord Pankaj Prasad bought a pair of BCB’s walk-ups at 991-993 President Street for $17 million, or $370 per square foot. The properties, which BCB bought in 2014 for $9 million, span 46,000 square feet and hold 53 apartments in total. BCB bought them in 2014 for $9 million. Marcel Fridman and Bart Zimmerman of the Barcel Group and Matt Fotis of Marcus & Millichap brokered the Prasad deal.

The three buildings are about 80 percent rent-stabilized, and located a block from Prospect Park.

Berger and Excelsior Equities’ Andrew Miller launched an investment firm in August called Novel Property Ventures, to diversify its investments with retail, office and development plays in addition to multifamily. Last week, Union Square-based BCB sold three Manhattanville rental buildings to Thor Equities for $34.4 million.

Berger declined to comment on the size of BCB’s current portfolio. As of spring 2015, the company owned 35 New York City apartment buildings holding about 1,000 units.

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