TABLE OF CONTENTS

EXECUTIVE SUMMARY FINANCIAL OVERVIEW LOCATION OVERVIEW ZONING OVERVIEW

BESEN ADVISORY TEAM

Shallini Mehra Senior Director (212) 951-8414 [email protected]

Amit Doshi Executive Director (212) 951-8401 [email protected]

Paul J. Nigido Senior Financial Analyst (646) 424-5350 [email protected]

Jared Rehberg Marketing Manager (646) 424-5067 [email protected]

Carine Citadelle Marketing Associate (646) 472-8750 [email protected]

Besen & Associates 381 Park Avenue South 15th Floor , NY 10016 (212) 689-8488

EXECUTIVE SUMMARY EXECUTIVE SUMMARY

Besen & Associates, as exclusive agent for Ownership, is pleased to offer for sale 245 , New York, NY 10002 (the “Property”), a 37-foot wide, six-story building with ten free market units and two retail spaces. The Property was built in the early 1900’s and the previous ownership gut-renovated the building in 1982. Current ownership purchased the Property in 1992 and has updated and renovated all of the apartments. This 14,161± SF property is located between East Houston Street and in ’s Lower (“LES”), one of the city’s trendiest and most desirable neighborhoods for millennials, students, and young professionals as well as a primary destination for culture, entertainment and nightlife.

245 Eldridge Street offers tremendous upside to an investor. The residential units at the Property feature generous layouts and are currently renting at rates which are 25% below market. In addition, the two retail tenants are renting at rates that are 40% below market. The Flower Girl shop crafts striking flower arrangements and bouquets for an array of fashionable clientele (i.e. Vogue, Chanel, Marc Jacobs). Award-winning bartender Kenta Goto opened Bar Goto in 2015 and the bar has since been featured in and The Food Network, among other prominent outlets. Together, these spaces occupy 2,360± of prime ground floor retail space.

The LES is rich with history and for most of the 20th Century, the LES was the first stop for immigrants looking for affordable accommodations in tenements. Over the past 20 years, the neighborhood has seen widespread gentrification, with new rental and condo developments, hip bars and restaurants, chic hotels, independent boutiques and art galleries. Part of the LES charm and attraction has been its ability to maintain it’s “edge,” and hang on to its vibrant past with its old-school eateries, retro businesses, and preserved public spaces. As the LES continues to develop, 245 Eldridge Street is well positioned to take advantage of the continued high demand for this neighborhood, the increasing market rents, and the opportunity for an investor to reposition the building and capture the significant upside potential.

ASKING PRICE: $18,400,000 INVESTMENT HIGHLIGHTS

FREE MARKET BUILDING

245 Eldridge Street is a free market building giving an investor a great deal of flexibility. There is strong demand for boutique buildings which offer amenities and privacy. Condos prices continue to be strong downtown with average prices in the $1,800-$2,000± per square foot range. The combination of the spacious units and prime location make the Property an excellent candidate for a condo conversion.

SIGNIFICANT RENTAL UPSIDE

The Property’s residential units have an average rent per square foot of $51±. The average market rent per square foot is approximately $65-$75± resulting in rental upside of 30-40%. The apartments have spacious layouts with the capacity to add bedrooms in all of the apartment lines. In addition, an investor could reconfigure the basement space and add convenient amenities including a gym and/or a bike room.

The stores have an average rent per square foot of $45±. The average market retail rent per square foot is approximately $65-$80± resulting in rental upside of 45-65% upon lease expiration.

TENANT PASS-THRU EXPENSES

The property features individual gas heating systems for each apartment. The residential tenants pay for their own heat resulting in lower operating expenses for the owner. The commercial tenants pay 5% of the total real estate tax bill in addition to gas, water & sewer, heat, and electricity.

EXCELLENT LOCATION

Located at the nexus of Manhattan’s (LES) and East Village (EV), 245 Eldridge Street is situated just south of East Houston Street. The LES is a magnet for millennials, students, and young working professionals. The neighborhood is filled with hip restaurants and bars, eclectic shops, chic boutiques, music venues and art galleries. The LES has gentrified significantly over the past ten years with many new residential developments including , a new unprecedented development which will spread over 1.9 million square feet and will include 1,000± new residences, 450,000± square feet of retail, 400,000± square feet of office space, community attractions, and green spaces. The development is expected to be completed by 2024.

CONVENIENT TRANSPORTATION ACCESS

The Property is within walking distance of the 2nd Avenue subway [F & M] trains, the B, D, F, M on Broadway and Lafayette, the N,Q,R,W on Prince Street, the 4 & 6 trains on Spring Street, the F train on , and the J, M, Z on . Crosstown MTA buses along East Houston include the , M15, & the M21. Additionally, the Property provides easy access to the FDR Drive, the Williamsburg Bridge and the Brooklyn Bridge.

245 Eldridge Street, New York NY 10002 | 11 PROPERTY OVERVIEW – 245 ELDRIDGE STREET

Neighborhood Lower East Side, NYC

Block / Lot 422 / 57

Lot & Built Size 37’x 100’ & 37’x 84’

Gross Building Area ±14,161 SF

Stories 6-Story Walkup

Total Apartments & Rooms 10 Apartments & 2 Stores

Apartment Layout 1/6, 6/5, 3/4

Zoning C4-4A

FAR (built / allowed) 3.83 / 4

Year Built Circa 1900 and Renovated in 1982

Assessment & Taxes (17/18) $879,883 / $113,435 LOCATION MAP

Sunshine Cinema

Sara D. Roosevelt Park

Rockwood Music Hall

The Meatball Shop

Vandals Pianos

Bowery Ballroom 245 Eldridge Street

Tenement Museum

245 Eldridge Street, New York NY 10002 | 13

FINANCIAL OVERVIEW INCOME & EXPENSE

REVENUE: ACTUAL PROFORMA

Residential Income $673,740 * $903,000

Commercial Income $105,550 ** $153,400

Tenant Reimbursements $14,640 $16,775

Vacancy & Credit Loss @ 2.0% ($15,880) ($21,475)

EFFECTIVE GROSS INCOME: $778,050 $1,051,700

EXPENSES:

Real Estate Taxes (17/18) $113,450 $153,800

Water & Sewer $10,250 $10,250

Payroll (Visiting Super) $12,000 $12,000

Management Feet (3%) $23,500 $31,500

Fuel (Gas) TENANTS PAY TENANTS PAY

Insurance $8,500 $8,500

Utilities $6,500 $6,500

Repairs, Maintenance & Supplies $13,000 $13,000

TOTAL EXPENSES: $187,200 $235,550

NET OPERATING INCOME: $590,850 $816,150

* Residential Income projected at $70 PSF ** Commercial Income projected at $65 PSF RESIDENTIAL RENT ROLL

APT # TENANT BEDROOMS SQ FT (±) BATHS RENT / MONTH LXP STATUS

1R VACANT 3 2,150 2 $10,000 Projected FM

2F Tenant 2 3 1,250 1 $5,050 7/31/2018 FM

2R Tenant 3 3 900 1 $5,400 7/31/2018 FM

3F Tenant 4 3 1,250 1 $4,750 4/30/2018 FM

3R Tenant 5 2 900 1 $4,450 4/30/2018 FM

4F Tenant 6 3 1,250 1 $5,350 5/31/2018 FM

4R Tenant 7 2 900 1 $3,900 4/30/2018 FM

5 Tenant 8 4 2,150 2 $7,995 6/30/2018 FM

6F Tenant 9 3 1,250 1 $4,750 7/31/2018 FM

6R VACANT 2 900 1 $4,500 Projected FM

Total Monthly Income: $56,145

Total Annual Income: $673,740

245 Eldridge Street, New York NY 10002 | 19 RESIDENTIAL RENT ANALYSIS (By Apartment)

TOTAL AVERAGE # OF UNIT LAYOUT MONTHLY MONTHLY TOTAL SF± RENT PSF UNITS % RENT RENT

2BR 3 30% $12,850 $4,283 2,700 $57.11

3BR 6 60% $35,300 $5,883 8,050 $52.62

4BR 1 10% $7,995 $7,995 2,150 $44.62

Total/Average: 10 100% $56,145 $5,615 12,900 $52.25

RESIDENTIAL RENT ANALYSIS (By Room)

TOTAL MONTHLY AVERAGE RENT / LAYOUT # OF ROOMS ROOM % RENT ROOM

2BR 12 25% $12,850 $1,071

3BR 30 63% $35,300 $1,177

4BR 6 13% $7,995 $1,333

Total/Average: 48 100% $56,145 $1,170 COMMERCIAL RENT ROLL

ANNUAL UNIT TENANT RENT / MONTH LXP TERM INCREASES

North Store (1) Flower Girl $3,000 3% 08/31/2022 5 Years

South Store (2) Bar Goto Restaurant $5,796 3% 12/31/2029 15 Years

Commercial Monthly Income: $8,796

Commercial Annual Income: $105,552

Notes:

(1) Includes 100 SF of basement storage space. Tenant pays $75/month for Water & Sewer. (2) Year 10 of the lease states a 6% rent increase, 3% thereafter. Tenant pays $200/month for Water & Sewer.

Real Estate Tax Reimbursement:

Commercial tenants pay 5% of the total real estate tax bill per annum, as well as gas, heat, and electricity.

FLOWER GIRL BAR GOTO RESTAURANT

“…with creations ranging from Vintage Find, which “A Tokyo native and Pegu Club vet is behind fills a vintage tin from the company’s collection with this “lovely” LES bar offering divine” Japanese- various rustic selections, to The Boho Chic City Hall inspired cocktails and “delicious” izakaya bites, Bride full of unexpected flora, to Il Tropicale using including okonomiyaki pancakes that are “a true modern glassware and eclectic , Flower Girl revolution starter”; fans can also leave the “small NYC is anything but basic.” but lovely” surrounds without having spent a fortune.” - Time Out - Zagat

245 Eldridge Street, New York NY 10002 | 21 LEASE ABSTRACT – FLOWER GIRL

Tenant Name (Per Lease): Flower Girl, LLC

Lease Commencement Date: September 1, 2013

Lease Renewal Date: September 1, 2017

Personal Guarantee: Denise Porcaro

Tenant Location: North Store, Ground Floor, + Basement (Limited Use)

Security Deposit: 3 Months

Use: Florist Shop

Rental Information

LEASE YEAR MONTHLY RENT ANNUAL RENT BASE MONTHLY RENT ANNUAL INCREASE TERM 2017 $3,000 $36,000 $3,000 3% 5 Years

2018 $3,090 $37,080 Notes:

2019 $3,183 $38,192 Ground floor includes basement with 100 SF 2020 $3,278 $39,338 limit for storage. 2021 $3,377 $40,518

RE TAX REIMBURSEMENT TAX YEAR TAX AMOUNT REIMBURSEMENT AMOUNT

5% of total Real Estate Taxes 2017/2018 $113,434 $5,671.70

LEASE RENEWAL DATE EXP DATE LEASE TERMINATION CLAUSE

Landlord may terminate lease at any time during the term only for September 1, 2017 August 31, 2022 violation of tenants obligations provided Landlord gives tenant a thirty (30) day written notice by certified mail return requested.

UTILITIES GAS WATER HEAT ELECTRICITY GARBAGE & DISPOSAL

Tenant Pays For

INSURANCE AMOUNT

Tenant Insurance $1,000,000

WATER & SEWER MONTHLY AMOUNT NOTES

$75 Amount measured by sub-meter LEASE ABSTRACT – BAR GOTO

Tenant Name (Per Lease): Liquid Samurai

Lease Agreement Date: January 7, 2015

Personal Guarantee: Kenta Goto

Tenant Location: South Store, Ground floor

Security Deposit: 3 Months

Use: Japanese Restaurant

Rental Information

LEASE YEAR MONTHLY RENT ANNUAL RENT BASE MONTHLY RENT ANNUAL INCREASE TERM 1 $5,463 $65,556 $5,463 3% 15 Years 2 $5,627 $67,523 Notes: 3 $5,796 $69,548 4 $5,970 $71,635 5 $6,149 $73,784 6 $6,333 $75,997 7 $6,523 $78,277 8 $6,719 $80,626 9 $6,920 $83,044 10* $7,128 $85,536 *Year 10 shall have a 6% rent increase 11 $7,556 $90,668 12 $7,782 $93,388 13 $8,016 $96,190 14 $8,256 $99,075 15 $8,504 $102,047

RE TAX REIMBURSEMENT TAX YEAR TAX AMOUNT REIMBURSEMENT AMOUNT 5% of total Real Estate Taxes 2017/2018 $113,434 $5,671.70 LEASE COMMENCEMENT DATE EXP DATE LEASE TERMINATION CLAUSE Landlord may terminate lease at any time during the term only for violation of December 31, January 1, 2015 tenants obligations provided Landlord gives tenant a thirty (30) day written 2029 notice by certified mail return requested. UTILITIES GAS WATER HEAT ELECTRICITY GARBAGE & DISPOSAL Tenant Pays For INSURANCE AMOUNT Tenant Insurance $1,000,000 WATER & SEWER MONTHLY AMOUNT NOTES $200 Amount measured by sub-meter

245 Eldridge Street, New York NY 10002 | 23 CONDO SALES – LOWER EAST SIDE The average price per square foot for new construction condominiums with elevators and amenities (doorman, gym, bike room, roof deck, etc.) in the Lower East Side is approximately $1,800 per SF with higher end projects selling out for north of $2,000 per SF.

YEAR BUILDING ADDRESS UNIT MARKET STATUS PRICE BEDROOMS BATHS SF PPSF ELEVATOR BUILT

265 E Houston Street 3A Available $2,550,000 2 2 1,400 $1,821 Yes 2015

265 E Houston Street 5A Available $2,460,000 2 2 1,400 $1,757 Yes 2015

265 E Houston Street 4A Available $2,150,000 2 2 1,400 $1,536 Yes 2015

118 2nd Fl Available $3,200,000 2 2 2,300 $1,391 No 1915

204 Forsyth Street 5N In Contract $3,600,000 2 2 1,549 $2,324 Yes 2016

204 Forsyth Street 5S Available $3,395,000 2 2 1,542 $2,202 Yes 2016

204 Forsyth Street 4N In Contract $3,270,000 2 2 1,549 $2,111 Yes 2016

204 Forsyth Street 3S In Contract $2,995,000 2 2 1,542 $1,942 Yes 2016

204 Forsyth Street 2N Available $2,850,000 2 2 1,549 $1,840 Yes 2016

204 Forsyth Street 2S In Contract $2,800,000 2 2 1,542 $1,816 Yes 2016

109 Norfolk Street 5 Available $2,195,000 2 2 1,446 $1,518 Yes 2005

154 Attorney Street 603 In Contract $1,180,000 2 1 $1,410 Yes 2005 837

154 Attorney Street 154 In Contract $1,390,000 2 1 STUDIO$1,661 / 1 YesBATH 2005 837

154 Attorney Street 205 Sold on 4/24/2017 $1,060,000 1 1 $1,251 Yes 2005 847

154 Attorney Street 606 Sold on 1/3/2017 $1,225,000 2 1 $1,381 Yes 2005 887

150 2C Available $2,750,000 3 2.5 $2,000 Yes 2018 1,375

71 Ludlow Street 3A Available $2,395,000 3 2 $1,455 Yes 1900 1,646

196 4H Available $3,050,000 2 2.5 1,360 $2,243 Yes 2011

High $2,324 | Average $1,780 | Low $1,251 Source: Street Easy RENTAL COMPARABLES – LOWER EAST SIDE

The average rent per square foot in the Lower East Side is $65-$75 per square foot. Investors are currently underwriting rents at $70 per square foot for new gut-renovated apartments.

MONTHLY RENT ADDRESS DATE UNIT BEDS BATH SF COMMENTS RENT PSF

6-story elevator building with 24 units and 17,168 87 Attorney* 8/13/2017 6B $5,000 2 2 850 $71 SF. There is a roof deck and some units have balconies.

7-story condo built in 2005 with 41 units, gym, bike 154 Attorney 2/8/2017 PH $19,250 7 4 3,500 $66 room, washer dryers & part time doorman. 2 units on the market for an average of $1385 psf.

7-story elevator rental building built in 2013 with 37 155 Attorney 9/11/2017 4F $5,170 2 2 850 $73 units and 31,455 SF.

7-story elevator rental building built in 2015 with 4 255 9/11/2017 PH $13,995 3 2 2,200 $76 units, 2 stores and 10,989 SF

5-story walkup with 13 units and 1 retail and 9,967 205 Chrystie* 2/24/2017 21 $3,071 2 1 513 $72 SF. Renovated Units

7-story elevator building built in 1910 and renovated 88 Clinton * 10/15/2017 2B $6,750 3 2 1,400 $58 in 2016. This unit has a private terrace with a grill.

6-story walkup with 20 units, 5 stores and 13,428 101 Delancey* 9/8/2017 18 $4,500 3 1 750 $72 SF. Renovated in 2012.

6-story condo with 14,188 SF. Unit 4F (1100 SF) 241 Eldridge 2/4/2017 2F $6,500 2 1 1,100 $71 sold on 8/29/17 for $1.655M ($1,449 PSF)

6-story elevator rental building; 1995 construction 150 Forsyth * 4/29/2017 4 $3,300 2 1 667 $59 with 9 units, 1 office and 1 retail.

7-story elevator rental building with 22 units, 3 stores 152 Ludlow 8/21/2017 2A $7,350 3 2 1,400 $63 & 30,870 SF; Renovated in 2012. Sold for $29.1M in 2015.

5-story walkup with 15 units, 1 store and 9,540 SF. 177 Ludlow * 8/28/2017 3A $3,199 2 1 515 $75 Renovated units.

The Switch Building Condo built in 2005 (elevator 109 Norfolk 6/12/2017 3 $7,500 2 2 1,445 $62 building). OneSTUDIO unit for sale at / $15161 BATH psf (1416 SF).

The Beckenstein Building; 6-story elevator building 130 Orchard 7/29/2017 44 $7,700 3 2.5 1,400 $66 with 18 units. Renovated units.

The Orchard; 6-story walkup with 15 units. Older 140 Orchard * 7/17/2017 7 $4,500 3 1 737 $73 renovations

7-story elevator building built in 2003 and renovated 114 Ridge 9/20/2017 2F $5,500 3 2 1,000 $66 in 2011. 23 units and 4 stores. Renovated units.

153 Rivington 1/23/2017 2 $5,695 3 2 1,155 $59 3-story building with 2 units and 1 store.

112 Rivington 7/17/2017 3C $2,800 2 1 550 $61 5-story walkup condo building with 6 units.

5-story walkup built in 1920 and renovated with 4 125 Rivington 9/21/2017 2 $10,500 4 2 2,285 $55 units, 1 store and 11,141 SF.

4-story walkup with 4 units, 1 store and 7,050SF. 113 Stanton 8/1/2017 4 $7,860 4 2 1,300 $73 Renovated units with washer/dryer

High $76 | Average $66 | Low $55 Source: Street Easy

245 Eldridge Street, New York NY 10002 | 25 245 ELDRIDGE – APARTMENT 2R

STUDIO / 1 BATH 245 ELDRIDGE – APARTMENT 2R ALTERNATE PLAN FOR 3-BEDROOM LAYOUT

STUDIO / 1 BATH

245 Eldridge Street, New York NY 10002 | 27 245 ELDRIDGE – APARTMENT 2F

STUDIO / 1 BATH 245 ELDRIDGE – APARTMENT 2F ALTERNATE PLAN FOR 4-BEDROOM LAYOUT

STUDIO / 1 BATH

245 Eldridge Street, New York NY 10002 | 29 245 ELDRIDGE – APARTMENT 1R

STUDIO / 1 BATH

PROPERTY PHOTOS

EXTERIOR EXTERIOR

245 Eldridge Street, New York NY 10002 | 37

ENTRANCE & STAIRS EACH UNIT HAS A GAS BOILER & WASHER/DRYER

245 Eldridge Street, New York NY 10002 | 43 BATHROOMS ROOF TOP

245 Eldridge Street, New York NY 10002 | 45 ROOF TOP ROOF TOP

LOCATION OVERVIEW LOWER EAST SIDE, NYC LOWER EAST SIDE, NYC

245 Eldridge Street, New York NY 10002 | 51 LOWER EAST SIDE, NYC LOWER EAST SIDE, NYC

245 Eldridge Street, New York NY 10002 | 53 ESSEX CROSSING DEVELOPMENT ()

Essex Crossing’s first phase nears completion as its last building tops out

The building formerly known as site two, aka 115 Delancey Street, has now topped out.

As the Essex Crossing megaproject gears up to launch its second phase—comprising three residential and office buildings, along with retail projects like the Market Line—bits and pieces of its first phase are gunning for the finish line.

Case in point: the building formerly known as site two, aka 115 Delancey Street, has now topped out. Developer Delancey Street Associates (a collaboration between L & M Development Partners, BFC Partners, and Taconic) announced that the 26-story building, designed by Handel Architects, has reached its pinnacle, putting it on target for a 2018 opening.

The building itself will be home to 195 rentals, 98 of which will be affordable apartments—part of the megaproject’s commitment to bringing more than 500 affordable units to the area. public-facing features will include a piece of the Market Line, the enormous bazaar that will stretch through three buildings, and a new 14-screen movie theater. ESSEX CROSSING DEVELOPMENT (SEWARD PARK)

245 Eldridge Street

Essex Crossing

Located near the intersection of The project will create a vibrant, mixed-income community anchored by new Essex Street and Delancey Street, market-rate and permanently affordable, income-limited housing that offers both the nine sites in Essex Crossing will rental and homeownership opportunities. There will be a total of 1,000 new rental become a 1.65-million-square-foot apartments and condominium units, with 500 units being permanently affordable to development anchored by 1,000 units low-, moderate- and middle-income households, including senior citizens. The of housing, half of which will be project will also include homeownership opportunities, with 20% of the condo units permanently affordable for low, being affordable to moderate-income households. moderate, and middle-income households and senior citizens. In addition, the project—to be called Essex Crossing—includes a 15,000- square-foot open space, a new and expanded Essex Street Market, senior housing and community facilities, a rooftop urban farm, 250,000 square feet of office space, and a diverse mix of retail space. Seward Park will also become a hub of small-business incubation, with micro-retail spaces and creative and tech co-working and incubator space.

245 Eldridge Street, New York NY 10002 | 55

LOCATION OVERVIEW

Lower East Side The Lower East Side, aka LES, is a neighborhood in the southeastern part of the borough of Manhattan, bounded by the Bowery to the west, East Houston Street to the north, the F.D.R. Drive to the east and Canal Street to the south. The western boundary below veers east off of the Bowery to approximately Essex Street. The neighborhood is bordered in the south and west by Chinatown – which extends north to roughly Grand Street, in the west by and in the north by the East Village.

The narrow streets of the Lower East Side were once lined with tenement buildings, shirt factories and bialy shops. Although a few vestiges of the neighborhood's immigrant heritage remain, many of the tenement buildings have been updated and now offer relatively affordable rental options to young New Yorkers looking to live right in the thick of Downtown Manhattan. There's no getting around it - the LES is a major nightlife destination. In this part of the city, last call is late and often negotiable -- especially if you're a regular. On weekend nights, the neighborhood is packed as crowds overflow from the local bars and take to the streets in search of a late-night falafel fix before heading onto the next venue. During the day, the neighborhood chills out as residents nurse their hangovers or head to work slowly after stopping at one of the area's many trendy juice bars or coffee shops.

Housing stock in the LES is primarily comprised of tenement-style apartment buildings. As such, the properties tend to be walk-ups with unique layouts. Prices for these types of units were once on par with their quality, but the neighborhood has grown increasingly expensive. Although artsy pop-up shops and galleries now fill the storefronts, the LES was once predominantly a neighborhood of immigrants with many businesses catering to these residents. The Lower East Side has a street style all its own, embracing anything bold, original and unorthodox.

The LES is full of surprises and incongruities. Trendy sandwich shops stand next to traditional cobblers and hosieries and there are several historic shops still open on Orchard Street. Although it's always a busy neighborhood, the LES really comes to life after the sun goes down when young people pour in from all over the city.

LOWER EAST SIDE

A forward-thinking neighborhood with historic roots.

In the nineteenth and early twentieth century, the Lower East Side was known as a hub for European immigrants, as well as the center of Jewish life in New York City.

Long-time residents, downtown pioneers, and members of New York’s creative communities.

While the shops, bars, and restaurants change every few years, many of the neighbors on the Lower East Side have stayed the same. These long-time residents are loyal to the area and help to foster a sense of camaraderie and community across the neighborhood. A few vestiges of vintage LES still remain, namely the Tenement Museum, Streit’s Matzos Factory, Katz’s Deli and Russ & Daughters. The Lower East Side is also filled with “downtown pioneers” - New Yorkers who moved to the neighborhood before it experienced a surge of popularity in the late 1990s and early 2000s. The creative and expressive energy in LES has also made it a favorite for many in New York’s creative and artistic communities.

Some of the best nightlife, dining, and entertainment in Manhattan.

In large part due to a booming bar and club scene, the Lower East Side is a great choice for Manhattanites who want to have the nightlife scene right outside their doorstep. The unpretentious, no-frills attitude of the Lower East Side draws people from all walks of life, contributing to the neighborhood’s unique and eclectic identity.

Lounge during the day, dine at dusk, and party all night.

During the day, the Lower East Side is relatively quiet. It’s a perfect time to explore the many shops and boutiques hidden in pockets across the neighborhood. A pathway along the East River is a scenic option for walking, biking, and even fishing. From here, you can access great views of the Williamsburg Bridge.

At dusk, the mood quickly picks up with activities that act as a prelude to late-night events. The LES is also known for its art scene, with smaller, contemporary galleries sprinkled across the neighborhood. LOWER EAST SIDE

Another staple of the entertainment scene in LES is live music. The neighborhood has been a powerhouse for rock, punk, folk, and rap for decades, and bars like Cake Shop, Pianos, and the Living Room host new, up-and-coming bands daily.

You’ll also have no trouble indulging in your culinary curiosity in this neighborhood. Trendy restaurants like Beauty and Essex are popular for pre-clubbing meals, and smaller spots like Ivan Ramen, Mission Cantina, or Dirty French are so popular they inspire hours-long waits.

Perhaps the most defining part of the neighborhood’s reputation is the nightlife scene, which draws partiers from across the boroughs. The neighborhood has a good mix of options that range from massive clubs to hole-in-the-wall dive bars.

The free-spirit tradition of this diverse, welcoming community.

Even though the Lower East Side is synonymous with the party scene, those who live in the neighborhood love it for its well- worn, homely touches of community. In the Lower East Side, it’s the small, personal touches that make this neighborhood a vibrant and exciting place to live.

Conclusion

As gentrification continues to improve this part of and more families make the Lower East Side their home, the many schools and opportunities for education play a more significant role in attracting tenancy to the area.

While maintaining some of its roots as a collection of several neighborhoods inhabited and defined by different ethnic groups, the Lower East Side is in the midst of a full transformation into a more culturally diverse community, populated by people from all socio-economic backgrounds and all walks of life.

245 Eldridge Street is extremely well positioned to take full advantage of this transformation as the units are eventually reconfigured in the future and avail themselves to the higher values of increased market rents in the area.

245 Eldridge Street, New York NY 10002 | 61 NEIGHBORHOOD MAP

245 Eldridge Street LOWER EAST SIDE

RESTAURANTS Wildair, Katz’s Delicatessen, Russ & Daughters Café, Ivan Ramen, Pies ’n’ Thighs, , El Rey Luncheonette, Bowery Meat Company, Mission Chinese Food, Dirty French, Pig & Khao, Cocoron, Dimes, Birds & Bubbles BARS & PUBS

Attaboy, Bar Goto, Nitecap, Suffolk Arms, Wassail, The Ten Bells, Copper & Oak, Top Hops Beer Shop, Paulaner, Arlene’s Grocery, 169 Bar, The Leadbelly, Paloma Rocket, Marshall Stack

MUSIC VENUES

Sons of Essex, Bowery Ballroom, , Arlene’s Grocery, , Leftfield, Parkside Lounge, Pianos, Hotel Chantelle, Back Room, The Box, MOSCOT, New Museum

COFFEE & DESSERT Round K, Whynot Coffee, Roasting Plant, Ludlow Coffee Supply, 12 Corners Coffee, Black Cat LES, Morgenstern's Finest Ice Cream, Clinton St. Baking Company

HOTELS The Ludlow, Orchard Street Hotel, , Holiday Inn Lower East Side, Sago Hotel, SIXTY LES, Wyndham Garden Chinatown, Hotel 91, Gatsby Hotel, Hotel East Houston, Hotel Indigo Lower East Side, Blue Moon Hotel, The Ridge Hotel, Off SoHo Suites, PUBLIC Hotel, Redford Hotel

SHOPPING Alife Rivington Club, Assembly New York, Bluestockings, Claw & Co., THECAST, The Dressing Room, Frankie, Grit N Glory, Moo Shoes, Moscot, Objectify 139, The Reed Space, Salvor Projects, Obsessive Compulsive Cosmetics

245 Eldridge Street, New York NY 10002 | 63 TRANSPORTATION

SUBWAY Just a short walk from the property are multiple trains stations including: • 2nd Avenue Station • Grand Street Station • Essex Street Station

BY CAR Situated less than a mile west of the FDR drive which provides access along Manhattan's east Side. The Highway is approximately 1.5 miles west of the property. The Williamsburg and Manhattan bridges are also conveniently accessible from the property.

AIRPORTS Three major airports are located within 16 miles of the Property. LaGuardia and John F. Kennedy international airports are both within the New York City borough of Queens, while Newark Liberty International Airport is situated across the Hudson River in New Jersey.

BIKE & BUS Citi Bike docking stations on are located only one block from the Property. East Houston, St. Allen and Forsyth Street [M15, M15-SBS, M21] and East Houston and Essex St [M9, M14A, M21] bus stations provide offer a quick and convenient method of transportation.

COMMUTE TIMES 31m by train 24m by car Grand Central 26m by train 18m by car Union Square 22m by train 9m by car Wall Street 22m by train 9m by car SUBWAY MAP

BUS MAP

245 Eldridge Street, New York NY 10002 | 65

ZONING OVERVIEW C4-4A ZONING

C4 districts are mapped in regional commercial centers, such as Flushing in Queens and the Hub in the Bronx, that are located outside of the central business districts. In these areas, specialty and department stores, theaters and other commercial and office uses serve a larger region and generate more traffic than neighborhood shopping areas. Use Groups 5, 6, 8, 9, 10 and 12, which include most retail establishments, are permitted in C4 districts. Uses that would interrupt the desired continuous retail frontage, such as home maintenance and repair service stores listed in Use Group 7, are not allowed.

C4 districts with an A, D or X suffix are contextual districts in which the commercial and residential bulk and density regulations can differ from corresponding non-contextual districts. Some districts have the same commercial and residential floor area ratios (FAR) as shown in the table, but may differ in parking requirements. Floor area may be increased with a public plaza or Inclusionary Housing Program bonus.

C4-1 districts are mapped in outlying areas, such as the Staten Island Mall, that require large amounts of parking. C4- 2 through C4-5 districts are mapped in more densely built areas, such as Steinway Street in Astoria (C4-2A), Fordham Road (C4-4), and parts of Jamaica (C4-5X). C4-6 and C4-7 districts are mapped in densely built areas in Manhattan, including most of Broadway on the (C4-6A) and portions of central (C4-7).

*Note: Data taken from NYC Department of City Planning.

245 Eldridge Street CONFIDENTIALITY & DISCLAIMER

The information contained in this listing (“Listing”) is confidential, furnished solely for the purpose of review by a prospective purchaser of the following property: 245 Eldridge Street, New York, NY 10002 and is not to be used for any other purpose or made available to any other person without the express written consent of Besen & Associates, Inc. or Owner. The material is based in part upon information supplied by the Owner and in part upon information obtained by Besen & Associates from sources it deems reliable. Summaries of documents are not intended to be comprehensive or all inclusive, but rather only an outline of some of the provisions contained therein. No warranty or representation, expressed or implied, is made by Owner, Besen & Associates or any of their respective affiliates, as to the accuracy or completeness of the information contained herein or as to engineering or environmental matters. Prospective purchasers should make their own projections and conclusions without reliance upon the materials contained herein and conduct their own independent due diligence, including inspections.

This Listing contains selected information pertaining to the Property and does not purport to be all-inclusive or to contain all of the information a prospective purchaser may desire. Graphics are only a representation of property features, are not to scale and are subject to change. All financial projections are provided for general reference purposes only and are based on assumptions relating to the general economy, competition and other factors beyond control and are, therefore, subject to material change or variation. An opportunity to inspect the Property will be made available to qualified prospective purchasers.

In this Listing, certain documents, including leases and other materials, are described in summary form. The summaries do not purport to be complete or necessarily accurate descriptions of the full agreements involved, nor do they constitute a legal analysis of such documents. Interested parties are expected to independently review all documents. This Listing is subject to prior placement, errors, omissions, changes or withdrawal without notice and does not constitute a recommendation, endorsement or advice as to the value of the Property by Besen & Associates or Owner. Each prospective purchaser is to rely upon its own evaluation as to the advisability of purchasing the Property described herein.

Owner and Besen & Associates expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers to purchase the Property and/or to terminate discussions with any party at any time with or without notice. Owner shall have no legal commitment or obligation to any purchaser reviewing this Listing or making an offer to purchase the Property unless a written agreement for the purchase of the Property has been fully executed, delivered, and approved by Owner and any conditions to Owner’s obligations there under have been satisfied or waived. Besen & Associates is not authorized to make any representations or agreements on behalf of Owner.

This Listing is the property of Besen & Associates and may be used only by parties approved by Besen & Associates and Owner. The Property is privately offered and, by accepting this Listing, the party in possession hereof agrees (i) to return it to Besen & Associates immediately upon request of Besen & Associates or Owner and (ii) that this Listing and its contents are of a confidential nature and will be held and treated in the strictest confidence. No portion of this Listing may be copied or otherwise reproduced or disclosed to anyone without the prior written authorization of Besen & Associates and Owner. The terms set forth above apply to this Listing in its entirety.

245 Eldridge Street, New York NY 10002 | 69

Amit Doshi Shallini Mehra Executive Director Senior Director (212) 951-8401 (212) 951-8414 [email protected] [email protected]

Ronald H. Cohen Paul J. Nigido Chief Sales Officer Senior Financial Analyst (646) 424-5317 (646) 424-5350 [email protected] [email protected]

Jared Rehberg Carine Citadelle Marketing Manager Marketing Associate (646) 424-5067 (646) 472-8750 [email protected] [email protected] Shallini Mehra Senior Director (212) 951-8414 [email protected]

Amit Doshi Paul J. Nigido Executive Director Senior Financial Analyst (212) 951-8401 (646) 424-5350 [email protected] [email protected]

Jared Rehberg Carine Citadelle Marketing Manager Marketing Associate (646) 424-5067 (646) 472-8750 [email protected] [email protected]