The Real Deal New York

Treetop adds to Queens portfolio with $41M buy

164-unit Elmhurst rental building is mostly rent-stabilized

August 26, 2016 12:10PM
By E.B. Solomont

94-26 56th Avenue in Queens and Adam Mermelstein

94-26 56th Avenue in Queens and Adam Mermelstein

Treetop Development isn’t slowing down in Queens. The New Jersey-based landlord and developer picked up a 164-unit rental apartment building in Elmhurst for $40.7 million, according to property records.

The firm — led by Azi Mandel and Adam Mermelstein — bought the six-story building from Mydac Realty Corp., which owned the property since 1986, records show.

Located at 94-26 56th Avenue (alternatively named 94-25 57th Avenue), the majority of the building’s apartments are rent-stabilized. The 187,800-square-foot property also has three commercial units.

To finance the deal, Treetop TRData LogoTINY snagged a $25 million acquisition loan from Dime Community Bank.

Earlier this year, Treetop sold Saxon Hall, a 420-unit rental building in Rego Park to Madison Realty Capital for $135 million, in what sources described as the largest investment sales transaction in the history of that submarket. Treetop had purchased the property for $85 million in 2013.

Late last year, the landlord bought a portfolio of eight rent-regulated buildings — with 608 units combined — in Flushing and Elmhurst for $138.8 million.