Successful Note Sale of 224 Richmond Terrace in St. George, Staten Island
Bob Knakal orchestrated the successful sale of the senior note collateralized by 224 Richmond Terrace, a partially completed elevator building with residential, retail, and community facility components in the St. George neighborhood of Staten Island. The transaction, valued at $8,400,000, involved a complex legal backdrop and an uncooperative borrower. Despite those challenges, Bob’s persistent marketing efforts and deep network of note purchasers enabled a closing at a price well above expectations.
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Sale Details
This distressed note sale involved a unique, unfinished asset located at the corner of Nicholas Street and Richmond Terrace. Originally constructed in 2008, the building included 40 residential units, two retail spaces, one community facility, and 28 parking spots—spanning nearly 60,000 square feet of gross space.
- Sale Price: $8,400,000
- Sale Date: May 21, 2012
- Property Address: 224 Richmond Terrace, Staten Island, NY
- Property Type: Multifamily – Elevator, Note Sale
- Square Footage: 59,919 SF
- Price per SF: $140.19
- Units: 70
- Building Count: 1
Property Overview
The 224 Richmond Terrace asset was originally intended to bring new residential and commercial space to the St. George area. However, construction stalled, and legal complications with the borrower added further complexity. The building had potential for future development upside, but its condition and legal entanglements limited the pool of potential buyers.
Bob and his team were tasked with selling the note, not the physical asset, which required targeting experienced purchasers capable of navigating the foreclosure process and redevelopment.
Strategic Outreach and Execution
The sale was launched through a targeted campaign aimed at active note investors across the five boroughs. Drawing on years of experience in similar transactions, Bob's team directly contacted buyers who had shown interest in other distressed assets.
Despite multiple delays caused by borrower litigation and shifts in buyer focus, Bob's team kept interest levels high. Once legal conditions allowed for a definitive bidding deadline, over 20 offers were submitted—many exceeding the reconciled value.
Neighborhood Overview
St. George is the civic and cultural hub of Staten Island, offering scenic views of Manhattan and convenient access to ferry service.
- Home to Staten Island Ferry Terminal
- Near Empire Outlets and Staten Island Yankees stadium
- Ongoing investment in Staten Island’s North Shore waterfront
- Mix of civic, residential, and commercial buildings
- Growing interest from developers seeking waterfront and outer borough opportunities
Conclusion
The note sale of 224 Richmond Terrace demonstrated Bob Knakal’s expertise in navigating distressed and legally complex transactions. His persistent outreach and seasoned understanding of the note sales process ensured a strong finish for an institutional client facing significant headwinds.
Despite delays, litigation, and location-related limitations, Bob’s team delivered a competitive buyer and a final price that exceeded expectations—underscoring their ability to execute even under challenging circumstances.
Testimonial
“Unfortunately, this sale was more challenging than expected. I didn’t fully appreciate it until we got into the sales process how much of a turn-off the condition, location and legal problems would be. Under those circumstances, I think your team did an excellent job of finding a highly credible buyer for our loan at a very good price. Thanks again for your persistence and hard work on this transaction.”
— Peter Helt, Bank of New York Mellon
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