Canal Street, Located on Canal Street Block-Through to Lispenard Between Church Street and Broadway
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Canal302 Street (AKA 61 LISPENARD STREET) Offering Memorandum Disclaimer Table of Contents This Confidential Offering Memorandum (“Memorandum”) is being delivered subject to the Executive Summary ......................................................................................................................................... 46 terms of the Confidentiality Agreement (the “Confidentiality Agreement”) signed by you and PropertyIncome & DescriptionExpenses ...................................................................... .................................................................146 For more information, please contact constitutes part of the Confidential Information (as defined in the Confidentiality Agreement). one of the following individuals: It is being given to you for the sole purpose of evaluating the possible investment in 302 Canal TenancyInterior Photos Overview ............................................................................... ..................................................................... 228 Street (the “Property”), and is not to be used for any other purpose or made available to any MarketComparable Overview Sales ........................................................................ .......................................................................2810 Robert Burton other party without the prior written consent of the owner, or its exclusive broker, Cushman Senior Managing Director & Wakefield. This Memorandum was prepared by Cushman & Wakefield based primarily on LeaseMarket Comparables Overview ......................................................................... ...................................................................3414 +1 212 660 7770 information supplied by Managing Member. It contains select information about the Project [email protected] and the real estate market but does not contain all the information necessary to evaluate the SalesArea DemographicsComparables .................................................................... .................................................................. 3823 Project. The financial projections contained herein (or in any other Confidential Information) FinancialsDue Diligence ...................................................................................... .............................................................................4226 Maurice Suede are for general reference only. They are based on assumptions relating to the overall economy Associate Director +1 212 589 5131 and local competition, among other factors. Accordingly, actual results may vary materially [email protected] from such projections. Various documents have been summarized herein to facilitate your review; these summaries are not intended to be a comprehensive statement of the terms or a Bobby Carrozzo legal analysis of such documents. While the information contained in this Memorandum and Senior Associate any other Confidential Information is believed to be reliable, neither Cushman & Wakefield nor +1 212 589 5118 Managing Member guarantees its accuracy or completeness. Because of the foregoing and [email protected] since the investment in the Project is being offered on an “As Is, Where Is” basis, a prospective investor or other party authorized by the prospective investor to use such material solely to Daniel Soyak facilitate the prospective purchaser’s investigation, must make its independent investigations, Associate projections and conclusions regarding the investment in the Project without reliance on +1 212 698 5552 this Memorandum or any other Confidential Information. Although additional Confidential [email protected] Information, which may include engineering, environmental or other reports, may be provided to qualified parties as the marketing period proceeds, prospective purchasers should seek advice from their own attorneys, accountants, engineers and environmental experts. Neither Cushman & Wakefield nor Managing Member guarantees the accuracy or completeness of the information contained in this Memorandum or any other Confidential Information provided by Cushman & Wakefield and Managing Member. Managing Member expressly reserves the right, at its sole discretion, to reject any offer to invest in the Project or to terminate any negotiations with any party at any time with or without written notice. Managing Member shall have no legal commitment or obligations to any prospective investor unless and until a written sale agreement has been fully executed, delivered and approved by Managing Member and any conditions to Managing Member’s obligations thereunder have been satisfied or waived. Managing Member has retained Cushman & Wakefield as its exclusive broker and will be responsible for any commission due to Cushman & Wakefield in connection with a transaction relating to the Project pursuant to a separate agreement. Cushman & Wakefield is not authorized to make any representation or agreement on behalf of Managing Member. Each prospective investor will be responsible for any claims for commissions by any other broker in connection with an investment in the Project if such claims arise from acts of such prospective investor or its broker. This Memorandum is the property of Managing Member and all parties approved by Managing Member and may be used only by parties approved by Managing Member. No portion of this Memorandum may be copied or otherwise reproduced or disclosed to anyone except as permitted under the Confidentiality Agreement. 2 cushmanwakefield.com 3 Executive Summary Cushman & Wakefield has been retained on an exclusive basis to arrange for the sale of a 5-story mixed-use building at 302 Canal Street, located on Canal Street block-through to Lispenard between Church Street and Broadway. The building features over 18’ of front- 210 / 19 age on Canal Street and Lispenard Street. The current retail tenant GNC, has a lease until BLOCK LOT December 2022, paying $18,500 per month. The second floor is configured as a live work space, while the 3rd, through 5th floors are arranged as one and two bedrooms. All apartments are free market and have been recently renovated. The property is steps from the N, Q, R, 6, J, Z subway lines, servicing over 41,457 employees within 18.67’ x 62.5’ a quarter of a mile of the property. Neighboring properties include The Mondrian LOT DIMENSIONS (APPROX.) Hotel, City Rooms SoHo, a dozen newly-developed high-end condominiums, and retailers of all types. In summary, 302 Canal Street represents a rare income producing asset with high quality retail in a high density position located in 1,124 one of the most exciting emerging submarkets in NYC. LOT SQUARE FOOTAGE (APPROX.) 5,642 GROSS SF (APPROX.) 6.02 6,766 COMMERCIAL FAR TOTAL BUILDABLE SF $817,650 ASSESSMENT (2018/2019) $85,968 TAXES (2018/2019) Asking Price: $8,790,000 Highlight • Nearly 19’ of Frontage along Canal Street and Lispenard Street. Robert Burton Maurice Suede Senior Managing Director Associate Director • Over 3,700 Businesses and 41,457 Employees within a quarter mile from the property +1 212 660 7770 +1 212 589 5131 [email protected] [email protected] • Approximately 40,000 Average Daily Traffic Count, Over 15 Million subway riders at the Canal Street Station (Ranked #18 out of all Manhattan subway stops) Bobby Carrozzo Daniel Soyak Senior Associate Associate • Residential portion of the building fully renovated +1 212 589 5118 +1 212 698 5552 [email protected] [email protected] • GNC paying $18,500 per month until end of 2022. Corporate Guarantee. 4 nyinvestmentsales.com 5 Income & Expenses Revenue Unit Lease Expiration Approx. SF Monthly Rent Annual Rent Ground Floor December, 2022 1,124 $18,510 $222,120 Canal Street Side Lispenard Street Side 2nd Floor March, 2019 1,124 $5,500 $66,000 3rd Floor* Vacant 1,124 $6,500 $78,000 4th Floor - Duplex* Vacant 1,124 $11,000 $132,000 5th Floor - Duplex* Vacant 1,124 TOTALS 5,620 $41,510 $498,120 *Projected due to Vacancy Expenses Expense Expense Amount Real Estate Taxes Actual $85,968 Insurance Actual $10,000 Water & Sewer Tenants Pay $0 Electric Tenants Pay $0 Repairs & Maintenance Projected $15,000 Management Projected $15,000 TOTALS $125,968 PROPERTY STATS TOTAL FRONTAGE ON BOTH Sidewalk Ramp 18’ CANAL AND LISPENARD ST. Net Operating Income PER MONTH ON GNC LEASE Gross Monthly Income $41,510 $18.5k Gross Annual Income $498,120 # OF BUSINESSES WITHIN .25 Retail Tax Reimbursement $7,700 3,700 MILE OF THE PROPERTY Total Projected Gross Annual Income $505,820 Less Expenses $125,968 NET OPERATING INCOME $379,852 6 nyinvestmentsales.com 7 Interior Photos 1 2 Lispenard Street 3 8 nyinvestmentsales.com 9 Comparable Sales SUFFOLK ST T Address Date Price Buildable Square Feet PPBSF 1) 275 Canal Street 8/1/2017 $10,500,000 11,000 $955 2) 106 Franklin Street 1/15/2017 $11,500,000 11,000 $1,045 3) 13-17 Laight Street 9/16/2016 $90,000,000 96,686 $931 4) 243 Canal Street 5/4/2016 $25,000,000 21,700 $1,152 5) 51 White Street 3/29/2016 $22,000,000 16,600 $1,325 3 1 4 2 5 10 nyinvestmentsales.com 11 SUFFOLK ST T Retail Lease Comparables Ground Square Monthly Annual Address Tenant Year Footage Total SF Rent Rent PPSF 1) 181-183 Canal Street On Market 2018 3,200 10,200 Asking Asking $650 2) 159 Canal Street First Republic Bank 2017 3,165 6,570 $133,333 $1,600,000 $506 3) 273 Canal Street Paris Baguette 2017 2,000 2,000 $33,333 $400,000 $200 4) 168 Canal Street Citi Bank 2016 5,867 15,367 $295,941 $3,551,296 $605