Vilson Lumaj Plans Two 99-Unit Buildings in the Bronx After $14M Deal

Housing developer Vilson Lumaj has purchased a vacant property in the Bronx to build two 99-unit residential buildings, Commercial Observer has learned.

The property at 761-769 East Tremont Avenue was sold for $10 million by real estate developer Yoram Eliyahu. The buyer also acquired 60,000 square feet of air rights above the property for $3.5 million from Michael and Rudolf Abramov, according to broker Rosewood Realty Group. The total sale price was $13.5 million.

The development plans for two 99-unit buildings were meant to cut down on labor costs while still getting more units on the market, according to Rosewood’s Jonah Corney.

“The development is going to be two 99-unit buildings which will be a work-around for the prevailing wage required under 485-x,” Corney told CO. “I guess it’s a sign of poor policy.”

Corney represented the buyer alongside Rosewood’s Mike Kerwin and Mark Steinmetz.

The proliferation of 99-unit developments throughout New York City has resulted in criticism of the state government for allegedly creating a piece of flawed policy after the expiration of the 421-a property tax abatement, as under its successor, the 485-x tax program, construction costs can increase 20 to 30 percent, depending on who you ask.

Critics, such as the Real Estate Board of New York, have said that the tax program prevents the city from reaching its goals of meeting the needs of the national housing shortage.

But it appears developers are simply building 99 units across multiple buildings, such as with Ami Weinstock working on six 99-unit buildings in Jamaica, Queens, in 2025, along with a scattering of other projects.

Mark Hallum can be reached at mhallum@commercialobserver.com.