NEW YORK CITY-As multifamily trades continue to heat up in the Bronx, a nine-building portfolio in the Longwood section of the borough has changed hands for $33.25 million, GlobeSt.com has confirmed. Investment sales firm Ariel Property Advisors represented the seller, an unnamed Bronx-based partnership, and procured the buyer, Omni New York LLC, a real estate development company focused on the revitalization of neighborhoods, on the transaction.
Shimon Shkury, president of Ariel Property Partners, tells GlobeSt.com that the 372-unit, Section 8 portfolio garnered a dozen bids within two weeks of marketing – a sign that the Bronx has been a hotbed for apartment transactions and reinvestment activity. “It has been a relatively active borough compared to years beforehand,” he says. “We’ve seen a lot of workouts in the multifamily sector going through the Bronx, mostly in 2010 and some in 2011. Only now we are seeing a lot of larger transactions change hands.”
The portfolio, which is subsidized under the US Department of Housing and Urban Development, will be preserved as affordable for years to come, Shkury says. The buildings are located at 737 Southern Boulevard, 663 Fox Street, 665 Fox Street, 712 Fox Street, 751 Fox Street, 766 Fox Street, 772-774 Fox Street and 784 Fox Street, near the Longwood Avenue 6 train.
Out of the 372 units, 371 are residential apartments and one is a commercial space. The residential units consist of two studios, 87 one-bedrooms, 186 two bedrooms, 62 three-bedrooms and 35 four-bedroom apartments.
Next up, Shkury is marketing several other larger assets in the borough, but says the details are still confidential for the next 10 days. ”We think that this year will be a relatively big volume year for the Bronx, and pricing is also trending up,” he adds.
Since 2004, ONY, founded by Maurice “Mo” Vaughn and Eugene Schneur, has acquired and rehabilitated or is in the process of rehabilitating 4,732 units of affordable housing across New York State. In the Bronx, the firm also owns Thessalonica Court, Brookhaven Apartments, Target V Apartments and Maria Lopez Plaza, according to the company website.