CPEX Completes Sale of Bedford-Stuyvesant Mixed Use/Development Site
Chief Operating Officer
Tel: (718) 687-4222
FOR IMMEDIATE RELEASE:
CPEX Completes Sale of Bedford-Stuyvesant Mixed Use/Development Site:
June 7th, 2012
New York, New York – The CPEX New York Development and Conversion Investment Sales Team is proud to announce the sale of a mixed use/development site located at 1413-1425 Fulton Street, Brooklyn, New York 11216. The site consists of one existing medical health facility that is built full to the lot on Fulton Street between New York Avenue and Brooklyn Avenue, directly across from Restoration Plaza. The 10,247 square foot lot is zoned R7D with a C2-4 commercial overlay, permitting 43,037 square feet of buildable space “as of right”. With inclusionary housing, the lot can be built to a maximum of 57,391 square feet. The property was sold with a tenant whose lease expires in October 2013. The new owner plans to hold the asset until lease expiration and then reposition it for retail or a mixed use development.
The sale price was $3,300,000, all cash. The property sold for $322 per square foot for the existing building, or $76 per square foot on a buildable basis. CPEX’s Development and Conversion Team, consisting of Managing Partner Brian T. Leary, Managing Director Sean R. Kelly, Esq., and Associates Cengiz (“Jay”) Sendogdular and Matthew J. Dzbanek, represented the seller, Shiloh Realty Corp., in this transaction and procured the purchaser, Stath Realty Corp.
“This stretch of Fulton Street is a vibrant retail corridor with a mix of national and local tenants. We received a lot of interest from retail investors and end users. We also had several offers from developers because the site is eligible for 421a tax benefits since it is located outside of the Geographic Exclusion Area (“GEA”). With rental rates climbing and vacancy rates plummeting, particularly in prime markets, we expect to see more transactions in sub-markets such as Bedford-Stuyvesant, Bushwick, and East Williamsburg where 421a tax incentives are still available,” said Sean R. Kelly, Esq.
“With the 421a tax abatement expiring there is huge demand for development sites in well-located and transit accessible areas outside the GEA where 421a benefits are ‘as of right’. Demand for mid-scale development sites is inching back to pre-recession levels. There is resurgence in the residential market in Bedford Stuyvesant as rents have increased dramatically the last several years in Downtown Brooklyn, Fort Greene, Boerum Hill, Park Slope and Williamsburg. I also expect to see retail rents increase and vacancies decrease along this stretch of Fulton Street, as several local tenants have relocated from Downtown Brooklyn already to capitalize on more favorable rents and a vibrant housing market with good transportation,” said Brian T. Leary.
For further information, please contact CPEX, firstname.lastname@example.org , or (718) 935-1800.
CPEX was founded in September 2008 by Timothy D. King and Brian T. Leary, two prominent leaders in the New York City commercial real estate industry. The founders have provided a broad range of real estate and business services locally, nationally and internationally throughout their career.
CPEX provides a full range of services for both real estate and business owners, through our innovative operating platform and entrepreneurial culture. CPEX implements a team-based approach in which each group is focused on a specific business line, product type and definitive specialization for each market. Real estate services include: sales, leasing, acquisitions and advisory. Business services include: sales, acquisition, and advisory.
CPEX adds additional resources and support to its teams. Each business line is backed by its own dedicated operations team. The operations team carries out tasks such as scheduling, preparing materials and documentation, client reporting, coordinating public relations, advertising and marketing efforts, and working with CPEX administration. Teams are further supported by our centralized in-house research, technology and marketing & media groups. This quality of support allows our sales force and advisory team to remain singularly focused on executing assignments. The CPEX operating platform consisting of multiple people working together in a specialized system is proven to achieve maximum results for our clients.