Printer Friendly

Mark Zborovsky sells 2 unsold unit blocks.

Mark Zborovsky and Company, Inc. has closed on two sales of a block of unsold sponsor apartments.

The first package consists of 56 sponsor units occupied by rent-stabilized and rent-controlled tenants in the Barrington Condominium complex in Elmhurst, Queens. The 144-unit building was converted to condominium by converter Aaron Ziegelman in 1982 and later was taken over by The First New York Bank For Business.

According Mark Zborovsky, president, the combination of a convenient location, great physical condition and a substantial positive cash flow -- difference between rents collected from tenants and common charges payable to the condominium corporation) of $52 per unit per month -- made the purchase of Barrington Condominium block an excellent investment for the buyer.

According to Zborovsky the vacant market value of the package is approximately $3.6 million.

The second sale was a sale and a restructure deal. The sponsor of Boulevard Arms, a renovated luxury, 108 unit co-op, with a 24-hour doorman, in the Bayridge area of Brooklyn, still owned 75 unsold units. Due to a heavy negative cash flow, the sponsor, Bayridge Associates, stopped paying maintenance charges on his 50 occupied and 25 vacant apartments. The co-op corporation, missing more than 70 percent of its monthly income, also stopped paying its $2.5 million underlying mortgage held by Freddie Mac. In response, the mortgagee started to foreclose on the building.

An investor, brought in by Zborovsky, has agreed to buy the shares from the sponsor if the underlying loan could be restructured. After several months of negotiations between the investor, Freddie Mac, co-op corporation and sponsor, Freddie Mac has agreed to extend the term of the loan from three to 10 years, to reduce the principal amount of the loan by 20 percent and to lower the interest rate by 2 percent. The sponsor has agreed to sell his units to the investor for an undisclosed amount.

According to Zborovsky, the vacant market value of this block of apartments was $6.8 million.

Both Buyers and Sellers in both transactions were represented by Zborovsky.

These sales were the fifth and sixth bulk-sales of sponsor units in New York that the company arranged in the last 12 months. According to Zborovsky, which specializes in the analysis, appraisals and sales of large blocks of sponsor units in New York, the firm has currently three more similar deals under contract
COPYRIGHT 1992 Hagedorn Publication
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

Article Details
Printer friendly Cite/link Email Feedback
Publication:Real Estate Weekly
Date:May 6, 1992
Previous Article:Co-op/condo prices down .5%.
Next Article:10 Bank St. gets Manhattan tenant.

Related Articles
Beckerman Gatof named asset managers by bank.
Partnership buys block of 38 sponsor units.
French bank sells condo block.
Sponsor units in Cherokee Apartments and Celtic Park sold by Zborovsky.
Greenwich Realty Advisors, Incorporated.
On the real estate scene.
Sales. (On the Real Estate Scene).
Firm tapped for Hopkins sponsor units.
Office and retail condos at 820 2nd Ave. sell for $48m.

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters