Tagged: Castellan

Castellan Makes $10.7M in Profit During Sale of Brooklyn Properties

Castellan Real Estate Partners pic

Castellan Real Estate Partners
Image: castellanre.com

With a postgraduate degree in real estate finance and investment at New York University, Paul Salib held top-level positions throughout his career, including his role as the senior vice president of Red Stone Partners. Today, Paul Salib serves as the managing partner of Castellan Real Estate Partners, which he founded.

In January of 2018, Castellan made $10.7 million in profit after selling two apartment complexes in the East Flatbush area of Brooklyn. The sale came only five years after the group purchased them for $8.6 million. Together, the buildings offered 92 residential spaces consisting of studio, one-, two-, and three-bedroom units. In addition to residencies, the larger of the two properties also included 1,600 feet of commercial retail space rented to a grocery store at the time of sale.

In recent years, Flatbush has experienced growing interest from both people and businesses looking to relocate in Brooklyn. According to a report from the New York State Comptroller, total job growth climbed 70 percent in just eight years between 2009 and 2017.

Castellan Sells East Harlem Properties to Emerald Equity Group

 

East Harlem pic

East Harlem
Image: castellanre.com

As managing principal of Castellan Real Estate Partners in New York City, Paul Salib oversees the firm’s investments in debt and equity real estate transactions. At Castellan, Mr. Salib has overseen real estate transactions with a market value in excess of $700 million. When away from Castellan, Paul Salib also works at Schack Institute of Real Estate at New York University as an assistant adjunct professor.

Castellan recently sold a four-building portfolio of East Harlem rental properties to the Emerald Equity Group in August 2017 for $24.8 million. Three of the buildings on East 117th Street feature a few commercial units along with more than 100 residential units. Of the $24.8 million, Emerald paid $9 million for the 1661 Park Avenue location that features 34 rental units and a single retail unit in 22,000 square feet of space.

Castellan bought the properties in 2013 for $13.5 million, believing that there would be an increase in demand for real estate in the neighborhood. As property values rose in Upper Manhattan, families started looking to East Harlem for housing. There is a perception that the neighborhood has improved since the acquisition.

Castellan’s Commitment to Green Initiatives

 

Castellan pic

Castellan
Image: castellanre.com

Paul Salib is a professor at Schack Institute of Real Estate – New York University School of Professional Studies. In 2009, he founded fully integrated real estate investment firm Castellan Real Estate Partners. One of Paul Salib’s contributions as the company’s top executive is the decision to focus on green initiatives.

Many property owners neglect to invest in capital improvements at their properties, thus resulting in a decay that can be damaging to both a property’s value and the surrounding community. Unlike many other property managers, Castellan prioritizes building upkeep and makes significant effort to improve energy efficiency in its properties. Its initiatives have reduced the costs of operating its properties, lowered tenant utility bills, saved energy, and minimized properties’ carbon footprints.

Castellan also works to develop relationships with various city government agencies such as the NYC Department of Housing, Preservation, and Development and the New York State Department of Environmental Conservation. These connections have been instrumental in helping Castellan obtain weatherization grants to help improve buildings’ energy efficiency.