Property details
Brooklyn Value-Add Multifamily Opportunity, Northeast Region
Property Description
Brooklyn Value-Add Multifamily Opportunity
Unlike other parts of the country, there is typically no "market cap rate" for value-add buildings in NYC. Investors for assets like this one will look at stabilized cap rates and how they can increase the rent roll.
Only two of the units have been renovated. If an investor brings them all up to market and buys out the RS (preferential) tenants, the investor will be able to increase the NOI dramatically.
Note: the projected figures shown here are based on keeping all of the RS tenants in except for the one that said she would take a buyout. Also the current cap rate doesn't take into account that there are 2 vacancies. 1 apartment and the retail which is the most valuable door. For $15k per unit, you can renovate and bring these units up to market.
This is a great value add opportunity.
This an an off-market, confidential offering.
4-Story, 8 unit mixed-use building with a full garage.
7 residential units, 1 retail store.
Four story walk-up building with seven residential apartments; three of the units are renovated free market apartments and the other four units are rent stabilized representing a significant value add opportunity.
In addition there is a vacant corner retail space and large garage / work studio.
The property is an 8 minute walk from the a subway station and provides easy access to the F/G trains.
This asset presents the prospective investor a unique investment opportunity in one of the fastest growing Brooklyn submarkets.
Financials:
Current Gross Revenue: $150,360
Projected Gross Revenue: $201,852
Current NOI: $72,650 (2.45% Cap Rate)
Projected NOI: $180,543 (6.03%)
Interesting questions and thank you for sharing your insights. Are you based in NYC or do you transact here? There is no "market cap rate" for value add buildings, as with all of your investors, mine look at stabilized cap rates and how they can increase the rent roll.
Only two of the units have been renovated, if you bring them all up to market and buy out the RS (preferential) tenants you can increase the NOI dramatically. Keep in mind the projected is based on keeping all of the RS tenants in except for the one that said she would take a buyout. Also the current cap rate doesn't take into account that we have 2 vacancies, 1 apartment and the retail which is the most valuable door. For $15k per unit, you can renovate and bring these up to market.
Images
Highlights
- Status:
- Available
- Price:
- $2,995,000
- PSF:
- $526
- Cap Rate:
- 2.45%
- Annual Rent:
- $72,650
Property Information
- Building Size:
- 5,694 sq.ft.
- Property Type:
- Apartments
- Industry Type:
- Apartment - Multifamily
- Units/Spaces:
- 8
- Land Area:
- 2,057 sq.ft.
- Purchase Tenure:
- Fee Simple
Existing financing information
- N/A
The information contained herein contains confidential and/or privileged material. Any review, retransmission, dissemination or other use of, or taking of any action in reliance upon, this information by persons or entities other than the intended recipient will be prohibited. The information contained herein has been obtained from sources believed to be reliable. While we do not doubt its accuracy, we have not verified it and make no guarantee, warranty or representation about the accuracy or completeness of the information. As a buyer, it is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this property to you depends on factors which should be evaluated by your tax, financial and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs. We have no knowledge of this offering other than the information received from Seller or their representatives. We are neither your agent or an agent for the seller. We will not participate in the negotiation of the purchase price or attend the showing of this property. As a buyer, you will be required to indemnify us and hold us harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this property.