309 East 60Th Street OM 021419.Pdf
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BESEN INVESTMENT SALES TEAM Greg Corbin Executive Managing Director (646) 424-5077 [email protected] Aaron Kline Director (646) 472-8747 [email protected] Miguel Jauregui Director (212) 951-8402 [email protected] Brandon Serota Associate (646) 472-8732 [email protected] Leah Chen Associate (646) 604-7020 [email protected] Paul J. Nigido Senior Financial Analyst (646) 424-5350 [email protected] Besen & Associates 381 Park Avenue South New York, NY 10016 Tel: (212) 689-8488 Fax: (212) 689-9518 TABLE OF CONTENTS 15 PROPERTY OVERVIEW 11 EXECUTIVE SUMMARY LOCATION OVERVIEW 25 PROPERTY PHOTOS EXECUTIVE SUMMARY 11 INVESTMENT HIGHLIGHTS PROPERTY OVERVIEW 15 LOCATION MAP PROPERTY PHOTOS FINANCIAL OVERVIEW 21 INCOME/EXPENSE REPORT RENT ROLL LOCATION OVERVIEW 41 TRANSPORTATION MAPS ZONING OVERVIEW 55 R8-B 43 309 East 60th Street, New York, NY 10022 | 9 EXECUTIVE SUMMARY EXECUTIVE SUMMARY Besen & Associates, as exclusive agent for Ownership, is pleased to offer for sale 309 East 60th Street, New York, NY 10022 (the “Property”); a well-maintained, 4-story, 5,740± square foot mixed-use building located between First and Second Avenue in the Lenox Hill neighborhood of the Upper East Side. The Property features six (6) one-bedroom apartments, ground floor retail, useable basement space, and a sun-drenched 1,000 sq. ft. rear yard. The vacant ground-floor retail contains 1,200 sq. ft. on- grade, a 500 sq. ft. storage basement, 6,800 Sq. Ft. of air rights, and 25’ of prime retail frontage. Only one of the units is market at $2,700 / month, the remaining five units average only $826 / month providing for a 232% jump in income for these units when rents are raised to market. This property presents an exceptional investment opportunity to purchase and reposition a 25’ wide mixed-use building on Manhattan’s prestigious Lenox Hill / Upper East Side. The Property benefits from incredible access to public transportation, neighborhood attractions, restaurants, retail, and local amenities. Two blocks away is the Lexington Avenue/59th Street Station servicing the 4,5,6 as well as the N,R,W subway trains. Nearby attractions include the Bloomingdale’s Flagship Store, Central Park, the Decoration & Design Building, the Church of Our Lady Peace, Trinity Baptist Church, Roosevelt Island Tramway and the headquarters to the United Nations. INVESTMENT & PROPERTY HIGHLIGHTS • Located in Lenox Hill on the north side of East 60th Street in the heart of Manhattan’s Midtown East Decoration & Design District, steps from the Roosevelt Island Tram, close to all transportation • User Opportunity - vacant ground floor retail includes 500 sq ft basement and 1,000 sq ft rear yard • Two of the studio apartments have been renovated and combined into a 1-bedroom unit, creating two separate entrances with two separate full bathrooms, gorgeous bamboo floors, new kitchen and tons of natural light • Tax Class 2B preserves a low and stable expense ratio, as well as capping increases in assessed values • The Certificate of Occupancy permits “Eating and drinking place with unlimited entertainment, Use Group 12” on the ground floor – ideal for restaurant/wine bar, day care, fitness, & spa/nails • Additional air rights of approximately 6,800± BSF are intact for future development Asking Price: $4,550,000 $3,995,000 309 East 60th Street, New York, NY 10022 | 13 50 Orange Street, Brooklyn, NY 11201 | 14 PROPERTY OVERVIEW PROPERTY OVERVIEW Neighborhood Lenox Hill – Upper East Side North side of East 60th Street between Second Location and First Avenues Block / Lot 1435 / 7 Lot & Built Size 25’ x 100.42’ (Built 53’) Lot Size (SF) 2,510± SF Gross Building Area 5,740± SF Stories & Building Class 4-Story Mixed-Use Building (C7) Zoning C8-4 FAR (built / allowed) 2.29 / 5.0 Available Air Rights 6,800± SF Year Built Circa 1940 | Altered 1987 Assessment & Taxes (18/19) $433,501 / $55,136 TAX MAP EAST 61st STREET Block: 1435 AVENUE AVENUE Lot st nd 7 1 2 EAST 60th STREET 309 East 60th Street, New York, NY 10022 | 17 LOCATION MAP 309 East 60th Street AERIAL MAP Central Park Upper East Side Lenox Hill 309 East 60th Street 309 East 60th Street, New York, NY 10022 | 19 FINANCIAL OVERVIEW FINANCIALFINANCIAL OVERVIEWOVERVIEW PROJECTED INCOME & EXPENSE REVENUE AMOUNT Residential (actual) $82,000 Commercial (projected) $120,000 EFFECTIVE GROSS INCOME: $202,000 ESTIMATED EXPENSES Real Estate Taxes (18/19) $55,150 Water & Sewer $3,500 Fuel $10,700 Utilities $1,200 Insurance $5,850 Management / Visiting Super $4,500 Repairs, Maintenance & Supplies $5,000 TOTAL EXPENSES: $85,900 NET OPERATING INCOME: $116,100 RESIDENTIAL RENT ROLL APT # TENANT MONTHLY RENT LAYOUT STATUS 2W Tenant 1 $138.00 1 – Bedroom / 1 Bath RS 2E Tenant 2 $248.45 1 – Bedroom / 1 Bath RS 3W Tenant 3 $1,321.97 1 – Bedroom / 2 Bath RS 3E Tenant 4 $1,408.76 1 – Bedroom / 1 Bath RS 4W Tenant 5 $2,700.00 1 – Bedroom / 1 Bath FM 4E Tenant 6 $1,017.28 1 – Bedroom / 1 Bath RS Residential Monthly Income: $6,834.46 Residential Annual Income: $82,013.52 PROJECTED COMMERCIAL RENT ROLL FLOOR TENANT MONTHLY RENT RENTABLE SF $/SF Ground Vacant (Projected) $10,000.00 1,200 $100.00 Commercial Monthly Income: $10,000.00 Commercial Annual Income: $120,000.00 Total Building Monthly Income: $16,834.46 Total Building Annual Income: $202,013.52 309 East 60th Street, New York, NY 10022 | 23 FINANCIALPROPERTY OVERVIEWPHOTOS FINANCIALPROPERTY OVERVIEWPHOTOS PROPERTY PHOTOS 309 East 60th Street, New York, NY 10022 | 35 RETAIL / COMMERCIAL RETAIL / COMMERCIAL 309 East 60th Street, New York, NY 10022 | 37 BACK PATIO BOILER / MECHANICALS 309 East 60th Street, New York, NY 10022 | 39 STREET VIEWS LOCATIONLOCATION OVERVIEWOVERVIEW LOCATION OVERVIEW – LENOX HILL The neighborhood is named for the hill that “stood at what became 70th Street and Park Avenue.” The name “Lenox” is that of the immigrant Scottish merchant Robert Lenox (1759-1839), who owned about 30 acres of land “at the five-milestone”, reaching from 5th Avenue to 4th Avenue and from East 74th Street to 68th Street. For the sum of $6,420 ($103,000 in current dollar terms) he had purchased a first set of three parcels in 1818, at an auction held at the Tontine Coffee House of mortgaged premises of Archibald Gracie, in order to protect Gracie’s heirs from foreclosure, as he was executor of Gracie’s estate. Several months later he purchased three further parcels, extending his property north to 74th Street. According to one source, “Thereafter these two tracts were known as the ‘Lenox Farm.’” The tenant farmhouse stood on the rise of ground between Fifth and Madison avenues and 70th and 71st Streets, which would have been the hill, if the property had ever been called “Lenox Hill.” The railroad right-of-way of the New York & Harlem Railroad passed along the east boundary of the property. Robert Lenox’s son James Lenox divided most of the farm into blocks of building lots and sold them during the 1860s and 1870s; he also donated land for the Union Theological Seminary along the railroad right-of- way, between 69th and 70th Streets, and just north of it a full square block between Madison and Fourth Avenue, 70th and 71st streets, for the Presbyterian Hospital, which occupied seven somewhat austere structures on the plot; He built the Lenox Library on a full block-front of Fifth Avenue, now the site of the Frick Collection. Lenox Hill is serviced by the New York City Subway’s 68th Street–Hunter College station on the 4, 6, and <6> trains. Bus routes include M1, M2, M3, M4, M15, M66, M72, M98, M101, M102, M103. RETAIL 309 East 60th Street, New York, NY 10022 | 45 RETAIL RETAIL 309 East 60th Street, New York, NY 10022 | 47 RETAIL MAP E 63rd ST CENTRAL PARK E 62nd ST E 61st ST FIFTH FIFTH AVENUE E 60th ST TRAMWAY PARK PARK AVENUE PARK THIRD AVENUE THIRD TRAMWAY TO SECOND AVENUE SECOND MADISON MADISON AVENUE ROOSEVELT LEXINGTON LEXINGTON AVENUE ISLAND E 59th ST GRAND ARMY PLAZA E 58th ST E 57th ST E 56th ST 58TH STREET 60TH STREET 1. CB2 21. Dylan's Candy Bar 32 34 E 61st STE 61st ST 2. Hastens 22. Anassa Taverna 3. Waterworks 23. Flywheel Sports 33 4. Ilumé 24. Patsy's Pizzeria 5. Koleksiyon Furniture 25. Canaletto AVENUE THIRD 6. sohoConcept 26. Serendipity 21 23 26 27 29 30 31 7. Duxiana 27. Venfield th E 60st ST 8. Club A Steakhouse 28. Alt Box E 60 ST TRAMWAY 9. Auffrance 29. John Salibello 25 28 PARK 10. Felidia 30. Ann-Morris Inc. 22 24 31. Pascal Boyer TRAMWAY TO ROOSEVELT 11 14 15 20 ISLAND SECOND AVENUE SECOND E 59th STE 59st ST 59TH STREET 61ST STREET 11. McKinnon and Harris 32. Scalinatella 12 13 16 17 18 19 12. Waterworks 33. Learning Express Toys 13. Lutron 34. InVite Health 1 3 4 6 7 9 10 14. Janus et Cie E 58th EST 58th ST 15. The Shade Store 16. Lapicida 2 5 8 17. Galerie Van Den Akker 309 East 60th Street 18. Michael Dawkins Home 19. Safavieh Carpets 20. De Gournay UNITED NATIONS MAP E 65th ST 34 35 36 CENTRAL E 64th ST E 64th ST PARK AVE 33 E 63rd ST ZOO th 5 1 E 62nd ST 2 THE POND 309 East 60th Street WEST DRIVE th E 60th ST E 60 ST YORK AVE QUEENSBOROUGH BRIDGE 3 4 CENTRAL PARK SOUTH E 59th ST th 48 W 58th ST E 58th ST W 58 ST 6 5 th th W 57 ST LEXINGTON AVE E 57 ST CARNEGIE th HALL E 56 ST 37 W 56th ST 7 8 9 E 55th ST W 54th ST E 54th ST W 54th ST MoMA E 53rd ST 16 AVE AVE th 7 10 11 13 14 nd 2 46 st 49 AVENUE OF THE THE OF AMERICAS AVENUE W 51 ST st PARK AVE PARK E 51 12ST 17 ST PATS th E 50 ST AVE st 15 47 18 1 ROCKEFELLER E 49th ST CENTER 28 29 W 48th ST 50 22 21 27 20 E 48th ST AVE th AVE 25 30 W 47 ST MADISON AVE 26 24 rd 23 th 3 19 5 E 46th ST 44 39 38 32 31 AVE th E 45th ST E 45th ST 5 40 42 E 44th ST MIDTOWN 41 43 UNITED TIMES SQUARE NATIONS 1.