Cushman & Wakefield Retained Exclusively to Sell Prime Bergen Beach Multifamily Building Portfolio and Commercial Pad Site
Cushman & Wakefield has been retained on an exclusive basis to sell Bergen Gardens, consisting of a portfolio of six apartment buildings at 1061, 1073, and 1089 East 73rd Street and 1054, 1070, and 1086 Bergen Avenue in Brooklyn’s Bergen Beach neighborhood. Additionally, ownership is also offering a well-located commercial/retail pad site. The multifamily building portfolio and commercial/retail pad site have a combined asking price of $58,000,000.
“Given the explosive residential growth in Brooklyn, this property has tremendous upside potential, given the increase of higher income families moving to outer borough locations in search of reasonable rents,” said Cushman & Wakefield’s James Nelson, who is exclusively marketing this property with Alex Svetlakou, Edward Gevinski, and Mitchell Levine. “This offering presents the opportunity for a purchaser to acquire a safe investment with consistent cash flow for years to come,” said Svetlakou.
Bergen Gardens consists of six walk-up, garden-style apartment buildings that encompass an entire city block with frontage on East 73rd Street, Avenue K, Bergen Avenue, and Ralph Avenue. The Garden Style buildings total approximately 167,850 gross square feet and 144 residential units, of which 36 are one-bedroom, 36 are two-bedroom, and 72 are three-bedroom units. The buildings were built in two phases in 2004 and 2006 under a New York City Housing Development Corporation (HDC) program. The portfolio benefits from the 25-year 421-a tax abatement program in separate phases, one of which has 17 years remaining and the other has 15 years remaining. The asking price of the residential portfolio is $55,000,000.
In addition to residential portfolio, ownership is also offering a well-located commercial/retail pad site, adjacent to Bergen Gardens. This retail opportunity will allow an investor to capitalize on the tremendous synergies for revenue growth while providing an amenity to the tenants at Bergen Gardens. Approved plans and permits from the Board of Standards and Appeals include a proposed 5,162-square foot retail building and on-site parking for 18 spaces. The asking price of the commercial/retail pad site is $3,000,000.
“In the past four years Brooklyn has seen an approximate 30% increase in rental rates for studio, one, and two-bedroom apartments. As the northwest neighborhoods of Brooklyn continue to foster high-end development, the southeast neighborhoods of the borough will continue to house an influx of tenants looking for more affordable rents with a supplementary suburban feel,” said Gevinski.