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A blog for breaking sales and neighborhood real estate news.

Cushman & Wakefield is pleased to announce the release of their exclusive year-end 2014 Property Sales Reports. These unique, industry-leading reports provide a comprehensive study of the investment sales market by product type in the New York City area (Manhattan, Northern Manhattan/Bronx, Brooklyn, and Queens).

“2014 was the best investment sales market we have seen in the past 30 years. More properties were sold in the city than ever before with 5,197 properties trading hands. The dollar volume surged 45 percent to $55.8 billion. These tremendous increases in volume were accompanied by value appreciation of 20 percent citywide with Manhattan leading the way with a 34 percent gain, resulting in an average price per square foot of over $1,400. It was truly a spectacular year!” stated Bob Knakal, Chairman, New York Investment Sales.

2014 was one of the best years for commercial real estate in New York City’s history. The investment sales market set an all-time high, with nearly 5,200 properties sold, surpassing the previous high of 5,018 in 2007. Citywide dollar volume was $55.8B second only to 2007’s $62.2B, when the Equity Office portfolio sold for $7B.

“New York City saw a banner year in 2014, with all markets performing exceptionally well. The outer markets experienced record levels of sales activity in 2014, with Brooklyn, Queens, Northern Manhattan and the Bronx exceeding $15.1B, which is $5B more than the previous peak of 2007. We expect this record level of dollar volume to continue and possibly be exceeded in 2015,” said Adrian Mercado, Vice President, Research.

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Cushman & Wakefield has secured a retail lease for 228 Smith Street, located between Douglass and Butler Streets in Brooklyn’s Carroll Gardens neighborhood. The space will be occupied by Painting with a Twist, the largest paint-and-sip franchise in the United States, where customers can come to learn to paint with friends in a fun and interactive environment.

The ground floor space contains approximately 900 square feet with additional basement space.  It features approximately 15 feet of frontage and is located on the border of Carroll Gardens, Cobble Hill, and Boerum Hill.  Neighboring tenants include Lululemon, Chase, Dunkin’ Donuts, Starbucks, and Trader Joe’s.

“This was a great transaction. We converted a residential ground floor unit into a prime commercial space,” said Cushman & Wakefield’s Nicole Liebman, who exclusively represented the landlord in this transaction.  “The tenant is a dry use/activity-based franchise retailer that will really add to the exciting landscape on Smith Street,” Nicole continued. 

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Neighborhoods: Carroll Gardens

A block through development site at 1525 Bedford Avenue, located between Lincoln Place and Eastern Parkway in Brooklyn’s Crown Heights neighborhood, was sold in an all-cash transaction valued at $32,500,000.
The site features a combined lot area of approximately 29,182 square feet with nearly 500’ of wrap around frontage on Eastern Parkway, Bedford Avenue, and Lincoln Place.  It is currently split between R7D and R6B zoning designations, translating into a combined as-of-right buildable square footage of 110,203.  Additionally, a developer has the opportunity to further increase the total buildable square footage by utilizing the Inclusionary Housing Program.  If implemented, the bonus would add 34,201 square feet to the site, increasing the maximum buildable to approximately 144,404 square feet.

The Crown Heights area is an ideal residential neighborhood benefitting from a variety of amenities.  The property is ideally located along Eastern Parkway, a major corridor running through the borough, and one block west of the 2, 3, 4, and 5 subway lines, providing residents with convenient access to the Barclays Center, Downtown Brooklyn, and Manhattan.

“The scale and positioning of this site makes it one of the most important in Crown Heights.  The sale attracted a range of institutional interest that had never been seen in the neighborhood,” said Cushman & Wakefield’s Michael Amirkhanian, who exclusively represented the seller in this transaction with Chairman, New York Investment Sales, Bob Knakal.  The buyer, Adam America Real Estate, was represented by Terra CRG.

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Neighborhoods: Crown Heights

Cushman & Wakefield has been retained on an exclusive basis to sell a mixed-use property at 32-37 Greenpoint Avenue. The property is located on the corner of Greenpoint and Bradley Avenues in the Long Island City neighborhood of Queens.  The asking price is $1,950,000.

The two-story building contains approximately 6,100 square feet and sits on a 59’ x 100’ lot.  It consists of approximately 3,050 square feet of retail space and two, three-bedroom apartments and one, two-bedroom apartment.  The property also features a multi-car parking lot with an additional oversized garage.

The property is located on Greenpoint Avenue, a main corridor connecting Greenpoint and Long Island City.  It has tremendous upside potential and offers an incredible opportunity for investors in the Long Island City market.

“This property has tremendous upside potential and offers an incredible opportunity for investors in an up-and-coming area in the Long Island City market,” said Cushman & Wakefield’s David Chkheidze, who is exclusively marketing this property with Conrad Martin.

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Neighborhoods: Long Island City

Massey Knakal Realty Services has been retained on an exclusive basis to arrange for the court-ordered long-term lease of 77-79 Rivington Street, located on the corner of Rivington and Allen Streets on Manhattan’s Lower East Side.
The approximately 2,889 square foot lot features a total of approximately 114 feet of frontage, with 77 feet on Allen Street and 37 feet on Rivington Street, offering the possibility of excellent retail frontage.  A portion of the basement has already been excavated as part of the neighboring 16-story hotel development at 139 Orchard Street.
This offering represents an excellent opportunity to take advantage of a strong retail market in one of the fastest growing neighborhoods in Manhattan.  Neighboring retailers include Red Mango, Sweet Buttons, Goodfella’s, Russ & Daughters, Longboard Loft, and Tokyo Rebel.  In addition, it is within three blocks of the F train at Delancey Street and the J, M, and Z trains at Essex Street, as well as the Essex Crossing development.  

“The 1.9 million square feet of residential, commercial, and community space that will be available at Essex Crossing in the coming years will also have a tremendous impact, not only for the retail space at 77-79 Rivington, but the neighborhood as a whole,” said Cushman & Wakefield’s James Nelson, who is exclusively marketing this property with Michael DeCheser. “There are two hotels in progress on this block, which will increase the already vibrant foot traffic,” said Michael DeCheser.

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Neighborhoods: Lower East Side/ Agents: Michael DeCheser

By, James Nelson

2014 was the year of the boroughs for New York City. After the correction in the market in 2009-2010, we saw a flight to safety with Manhattan sales leading the recovery.

In 2011, Manhattan generated 32% of the sales even though the borough accounts for only 17% of the properties, according to data by Massey Knakal (now Cushman & Wakefield).

This year, it looks like that level will decline to a more proportionate share of the sales with “only” 17% of the sales, meaning that the Boroughs should end up with about 83% of the City’s activity.

Click here to read article in Real Estate Weekly

Cushman & Wakefield has been retained on an exclusive basis to sell an a mixed-use development site at 30-05 Vernon Boulevard, located between 30th Road and Main Avenue in the Astoria neighborhood of Queens. The asking price is $18,240,000.

The site holds approximately 96,000 buildable square feet for mixed-use development on an 18,589-square foot lot.  It benefits from frontage on both Vernon Boulevard and Welling Court.  

This Astoria waterfront assemblage is situated amongst several planned and recently completed developments, making it an excellent opportunity for a developer looking to capitalize on the explosive growth of the neighborhood.

“With approximately 73’ feet of frontage along Vernon Boulevard and 106’ on Welling Court, this site represents a substantial development opportunity on Astoria’s waterfront,” said Cushman & Wakefield’s David Chkheidze, who is exclusively marketing this property with Stephen R. Preuss.

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Neighborhoods: Astoria/ Agents: Stephen Preuss

A retail building at 522-528 Atlantic Avenue, located on the corner of Atlantic and 3rd Avenues in Brooklyn’s Boerum Hill neighborhood, was sold in December 2014 in an all-cash transaction valued at $15,000,000 by Massey Knakal, now Cushman & Wakefield.
The single-story building contains approximately 14,150 square feet and is occupied by Walgreens on a long-term lease. The property features approximately 100 feet of frontage along Atlantic Avenue, 180 feet on 3rd Avenue, and 100 feet on Pacific Street.  The property is located in the R7A/C2-4 zoning district and benefits from approximately 57,850 square feet of additional air rights.  The sale price equates to approximately $1,060 per square foot or $260 per buildable square foot.
The property is located in the highly sought-after neighborhood of Boerum Hill, two blocks from Atlantic Terminal and Barclays Center with access to nine subway lines and the Long Island Rail Road.  The neighborhood is undergoing a massive transformation with new developments such as Atlantic Yards and dozens of national retailers entering the market along the Atlantic Avenue corridor. 
“This sale illustrates the enthusiasm investors have for the continuing transformation of Downtown Brooklyn and its surrounding neighborhoods, especially for retail corridors like Atlantic Avenue," said Cushman & Wakefield's Stephen P. Palmese, who exclusively handled this transaction.

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Neighborhoods: Boerum Hill/ Agents: Stephen Palmese

Cushman & Wakefield has been retained on an exclusive basis to sell a landmarked carriage house at 180 East 73rd Street. The property is located between Lexington and Third Avenues on Manhattan’s Upper East Side.  The asking price is $18,000,000.

The three-story, 25-foot wide townhouse contains approximately 9,450 square feet and is one of the few carriage houses to survive into the 21st century.  It benefits from an elevator, additional air rights, ample ceiling heights, and the rare and sought after curb cut.  Designed by William Schickel & Co. and built in 1890 for Max Nathan, president of Nathan & Co., the home was designed in a transitional Romanesque Revival/neo-Renaissance style that was commonly found in the 19th century.  It was built in a form characteristic of contemporary carriage houses with a stone ground floor with blocks of limestone and brick upper stories.

The collection of carriage houses on this landmarked block is truly a unique find, offering a glimpse into the elegant lifestyle of old New York in the late 19th and early 20th centuries.  As transportation shifted away from the horse-drawn carriages in the early to mid-20th century many of the existing carriage houses were demolished, with only a few surviving.

“Due to its large open layouts, this property presents an opportunity to convert a historic piece of New York to a spacious single-family residence on one of the most sought after blocks in Manhattan,” said Cushman & Wakefield’s Guthrie Garvin, who is exclusively marketing this property. 

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Neighborhoods: Upper East Side

A retail condominium situated in a mixed-use building at 1400 Fifth Avenue, on the corner of Fifth Avenue and West 116th Street, in Manhattan’s Harlem neighborhood, was sold in December 2014 in an all-cash transaction valued at $12,500,000 by Massey Knakal, now Cushman & Wakefield.

The nine-unit condominium contains approximately 15,254 square feet on the ground floor with an additional 15,553 square feet of cellar space.  It benefits from approximately 384 feet of frontage on two corridors with heavy vehicular and pedestrian traffic.  The condominium features a credit rated tenant as the anchor complimented by neighborhood retail, providing a national and local tenant mix.  The sale price equates to approximately $406 per square foot.

The property is conveniently located on the same block as the 2 and 3 subway stop at 116th Street and within blocks of both Central Park and Marcus Garvey Park.  It is at the center of the 116th Street corridor, a retail strip that has seen investment and development in both retail and residential over the past ten years.  

“The property’s location on the intersection of 116th Street and Fifth Avenue is one the prime retail corners in Central Harlem. New ownership will benefit greatly from the area’s continued resurgence,” said Cushman & Wakefield’s Lev Kimyagarov, who exclusively handled this transaction.  “There was a tremendous amount of interest in the property and, ultimately, both the buyer and seller were pleased with the outcome.”

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Neighborhoods: Harlem

Cushman & Wakefield has been retained on an exclusive basis to sell a loft apartment building at 885 Park Avenue, located between Broadway and Marcus Garvey Boulevard in Brooklyn’s Bushwick neighborhood.  The asking price is $26,500,000.

The five-story, elevator-service building contains approximately 51,502 square feet and sits on a 114.25’ x 100’ irregular lot.  Originally built in the early 1900s for the Continental Furniture & Storage Company, the former warehouse was transformed into 34 high-end, oversized loft apartments.  Now known as the Continental Warehouse, the units feature wide-plank cedar floors, weathered brick walls, exposed wood beam ceilings, modern black cabinetry, and new appliances.  All of the units are free market and a future condominium conversion could also be a possibility for this asset.

The property is located within a block of Woodhull Hospital and around the corner from the J and M subway stops.  This is an excellent opportunity for an investor to acquire a low maintenance, high cash flowing asset with tremendous upside in one of Brooklyn’s fastest growing neighborhoods.  

“Rarely do institutional quality rental assets like 885 Park come to market in Brooklyn. This will be a tremendous addition to any portfolio,” said Cushman & Wakefield’s James Nelson, who is exclusively marketing this property along with Michael Amirkhanian and Matthew Nickerson.

“885 Park offers investors substantial scale and upside and is ideally positioned right off of Broadway, one of the fastest growing commercial corridors in Brooklyn,” said Michael Amirkhanian.

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Neighborhoods: Bushwick

A development site located at 191-231 Moore Street, running block through from Seigel Street to Moore Street between White Street and Bushwick Avenue in Brooklyn’s East Williamsburg, was sold in an all-cash transaction valued at $28,250,000 in December 2014 by Massey Knakal, now Cushman & Wakefield.
This development opportunity is an approximately 2.3-acre site located in a dual zone of M1-1/M1-2, which permits a total of approximately 169,497 buildable square feet for retail or commercial development.  It features over 1,100 feet of frontage on Moore, Seigel, and White Streets.  The site currently consists of five industrial buildings totaling nearly 47,000 square feet.  The sale price equates to approximately $167 per buildable square foot.
This site is ideally located in East Williamsburg, surrounded by some of the newest and best received restaurants, art galleries, clothing boutiques, music venues, and technology and manufacturing startups. It is conveniently situated one block from the Morgan Avenue L train.
“This is the first major site in the Industrial Williamsburg area zoned for manufacturing that was successfully marketed for development of retail, hotel and office space. It will go a long way to solidifying the changing nature of the area,” said Cushman & Wakefield’s Brendan Maddigan, who exclusively handled this transaction with Stephen P. Palmese. “The sellers were business and property owners in the neighborhood for over 70 years, and we felt honored when they entrusted us to market their asset," said Stephen Palmese.

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Neighborhoods: Williamsburg/ Agents: Brendan Maddigan, Stephen Palmese

Cushman & Wakefield is announcing that 139-141 Orchard Street, a partially complete hotel development, is going to auction. The property is located between Delancey and Rivington Streets on Manhattan’s Lower East Side.

This 16-story hotel was originally envisioned as a 96-key boutique development, with significant food and beverage operations. Pursuant to a court order, an auction will take place on February 4, 2015. Bid packages must be submitted no later than January 30th, 2015 at noon in order to participate in this auction

A stalking horse bidder has been approved, resulting in a minimum initial bid of $34,150,000. Clean title will be delivered, free and clear upon sale.  Additional details, including the full bidding procedures, conditions of sale and necessary qualifications will be provided after execution of the confidentiality agreement.

Additionally, Cushman & Wakefield is also offering the ground floor and lower level of 77 & 79 Rivington Street for long-term lease, pursuant to a separate court order. Although this offering will not be part of the auction for Orchard, it is complementary of it.

“This court ordered sale will help facilitate a quick transaction which should be beneficial to all parties involved,” said Cushman & Wakefield’s James Nelson, who is exclusively marketing this property with Michael DeCheser and Matt Nickerson. “This is one of only a few sites on the Lower East Side that can reach to 16 stories,” added Michael DeCheser.

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Neighborhoods: Lower East Side/ Agents: Michael DeCheser

Cushman & Wakefield has been retained on an exclusive basis to sell the Claudio Complex, a prime 2-plus acres waterfront property located in the heart of Greenport Village’s Central Business District.  This is a well located and unique offering just 90 miles from New York City, five miles from the New London Connecticut/Orient ferry, and walking distance from the Shelter Island ferry.  This is the first time the property has been available for purchase in 145 years.  It is recognized by the National Restaurant Association as the oldest same family owned restaurant in the United States. Ownership is requesting proposals.

With awe-inspiring views of Shelter Island and Greenport Harbor, Claudio’s accommodates its guests with three-established harbor front restaurants with unique dining experiences, totaling approximately 5,800 square feet of seating area and live music at the Wharf Club.  Additionally, there is a snack bar, two souvenir shops, ample parking, and transient and overnight dockage with approximately 2,200 feet of deep-water dockside and 1,600 feet of bulk heading. 

Claudio’s Restaurant operates under a hotel liquor license and has always had a third floor, used as a hotel at the turn of the 20th century that now accommodates staff.  Demand for hotel accommodations is high and room supply in the area is limited.  A notable benefit of this rare offering is that the current configuration of the property allows for major construction without disrupting current business operations.

This property is being marketed exclusively by Cushman & Wakefield’s Guthrie Garvin and Stephen R. Preuss.

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Neighborhoods: Nassau County/ Agents: Stephen Preuss

Massey Knakal, now Cushman & Wakefield, arranged the sale and financing of a historic landmark building at 281 Park Avenue South, on the southeast corner of 22nd Street and Park Avenue South in Manhattan.  The property was sold in an all-cash transaction valued at $50,000,000 in December, 2014. The transaction was handled by John Ciraulo, Robert M. Shapiro and Craig Waggner of Cushman & Wakefield and Howard Poretsky and Patrick Gardner of Savills Studley.  A non-recourse loan of $40 million with a 3-year term was arranged by Scott Aiese of Cushman & Wakefield.

Agents: John Ciraulo, Robert Shapiro