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1183 Flatbush Avenue BROOKLYN, NY TABLE of CONTENTS

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1183 Flatbush Avenue BROOKLYN, NY TABLE of CONTENTS REQUEST FOR PROPOSAL FOR 99-YEAR LEASEHOLD INTEREST 1183 Flatbush Avenue BROOKLYN, NY TABLE OF CONTENTS DEAL HIGHLIGHTS EXECUTIVE SUMMARY 4-5 ZONING ANALYSIS PRELIMINARY LEASEHOLD TERMS 6-7 COMPARABLES CONFIDENTIAL OFFERING 8-13 3 1183 FLATBUSH AVENUE DEAL HIGHLIGHTS EXECUTIVE SUMMARY On behalf of ownership, Lee & Associates is seeking proposals from well established, well qualified developers and end users for a 99-year triple net leasehold of the properties located at 1183-1189 Flatbush Avenue in Brooklyn, New York (“the properties.”) The properties are located in an R7A, R5B, C2-4 zoning district. There is currently a one-story building on the lot totaling approximately 7,000 SF of retail space. The properties offer developers and users the opportunity to build over 52,000 SF as-of-right. The R7A, R5B, C2-4 zoning offers unique flexibility in permitted uses including residential, commercial, and community facility. The zoning flexibility, coupled with the superior location and large lot size, offers developers the opportunity to capitalize on the high demand in Flatbush. FLATBUSH AVENUE 1183 ADDRESS 1183-1189 Flatbush Avenue, Brooklyn, NY 99 Year Leasehold Interest • 52,320 buildable square feet as-of-right OPPORTUNITY • Flexible “R7A, R5B, C2-4” zoning, ideal for residential or commercial use SITE DESCRIPTION • Large, efficient floorplates with 96 feet of frontage on Flatbush Avenue Brooklyn / 5188 / 13 & 14 • Surrounded by Q B 2 5 train stops BOROUGH / BLOCK / LOTS COMBINED LOT SIZE 13,053 SF 1183-1187 Flatbush Ave: 79.42’ x 147.83’ LOT DIMENSIONS 1189 Flatbush Ave: 16.08’ x 86.83’ FRONTAGE 96’ on Flatbush Avenue ZONING R7A, R5B, C2-4 MTA ADJACENCY Q B 2 5 Newkirk Avenue Subway Station TAX CLASS 4 2020/2021 TAXES $145,444 1183 Notes: FLATBUSH - The maximum community facility FAR is the same as the residential FAR for the site. As such, there is no ‘community facility bonus’. AVENUE - 2020/2021 taxes are based on the projectionfrom the NYC Department of Finance 4 5 1183 FLATBUSH AVENUE ZONING ANALYSIS PRELIMINARY LEASEHOLD TERMS ZONING SUMMARY Address 1183 Flatbush Avenue Use Zoning Max FAR As-of-Right Buildable Indicate the structure of the proposed lessee entity. Include information about Commercial C1-3 2.0 26,160 Lessee each of the principals and partners. Indicate sources of funding for the proposed Residential R7A / R7B 4.0 / 3.0 52,320 development. Community Facility R7A / R7B 4.0 / 3.0 52,320 Term January 1, 2021 to December 31, 2120 Max Zoning Floor Area 52,320 Please indicate the initial rent, any proposed phase in period, as well as Rent & Increases Notes: percentage increases and rent resets. - The maximum community facility FAR is the same as the residential FAR for the site. As such, there is no ‘community facility bonus’. - 2020/2021 taxes are based on the projection from the NYC Department of Finance. The lease shall be an absolute “Triple net lease”. Tenant pays all real estate taxes, operating expenses, insurance, maintenance and repairs as well as all Net Lease development and capital expenditures and any other costs related to the development and operation of the Properties, all of which are the Tenant’s sole responsibility. Key Money Please indicate all upfront payments upon lease signing and upon TCO. Please indicate the form and amount of security to be provided. A “Good Guy” Security Deposit guarantee will be required. Please indicate the proposed use of the Properties and the anticipated Proposed Uses & Initial Plans approximate time frame for completion and occupancy of the new development. Please indicate proposed combination of the following: project completion Bond, Completion Guarantees/Develop- cash security, letter of credit for completion/development security. Please provide ment Security the name and qualifications of the individuals/entities that will act as guarantor(s). Lessee will be required to carry insurance on an ongoing basis satisfactory to Insurance Landlord. There will be no transfers, assignments or sublets of the leasehold interest without the prior written consent of the Landlord. There will be no transfers, assignments Transfer, Assignment or Sub-Lease or sublets of the leasehold interest prior to completion of construction and obtaining approvals and certificate of occupancy. Notes: Prospective bidders are advised that this Request for Proposal is intended to solicit interest in the Property and that no rights are intended to be created with respect to the Property unless and until a formal lease agreement is executed between the parties. 6 7 1183 FLATBUSH AVENUE RETAIL LEASE COMPARABLES RESIDENTIAL RENTAL COMPARABLES Lease Monthly Annual Address Unit SF Beds Baths Monthly Rent Asking $/Bed Asking $ PSF Notes Location Tenant SF Date Rent PSF Source Type Rent Rent One Bedrooms 1625 Church Avenue N/A 900 Jun-20 MG $60.00 $4,500 $54,000 CoStar 1380 Flatbush Avenue 1F 550 1 1 $1,595 $1,595 $34.80 235 Martense Street 2B 875 1 1 $2,400 $2,400 $32.91 1086 Flatbush Avenue N/A 1,600 May-20 MG $45.00 $6,000 $72,000 CoStar 515 Ocean Avenue 4AG 700 1 1 $2,490 $2,490 $42.69 Elevator, Gym 345 Lenox Road 4B 670 1 1 $2,285 $2,285 $40.93 Elevator, Gym 1335-1339 Flatbush Avenue N/A 1,600 Feb-20 $48.70 $6,493 $77,920 CoStar 2212 Ditmas Avenue 3E 1 1 $1,750 $1,750 Elevator 2211 Ditmas Avenue 4J 1 1 $1,924 $1,924 Live-in Super Seven 2837 Church Avenue Daggers 1,200 Dec-19 $65.00 $6,500 $78,000 CoStar Min 550 $1,595 $1,595 $32.91 Tattoos Max 875 $2,490 $2,490 $42.69 Average 699 $2,074 $2,074 $37.83 1127 Flatbush Avenue N/A 2,300 Sep-19 MG $44.17 $8,466 $101,591 CoStar Two Bedrooms 959-965 Flatbush Avenue Sean Davis 1,600 Sep-19 MG $45.00 $6,000 $72,000 CoStar 2225 Ditmas Avenue 1D 2 1 $2,074 $1,037 Elevator Doorman, 625 East 18th Street 3B 950 2 2 $2,999 $1,500 $37.88 1214 Cortelyou Road N/A 1,000 Jun-19 NNN $49.50 $4,125 $49,500 CoStar Elevator 2501 Newkirk Avenue D16 2 1 $1,995 $998 1233 Flatbush Avenue N/A 1,700 Jul-19 $43.76 $6,199 $74,392 CoStar 173 Martense Street 4R 700 2 1 $2,100 $1,050 $36.00 Balcony 2417 Albemarle Road 4D 760 2 1 $3,075 $1,538 $48.55 Roof Deck 1384-1386 Flatbush Avenue N/A 10,400 Mar-19 MG $50.40 $43,680 $524,160 CoStar 62 East 21st Street 2C 800 2 1 $2,600 $1,300 $39.00 Elevator, Gym Doorman, 799 Ocean Avenue 3F 725 2 1 $2,775 $1,388 $45.93 1353-1357 Flatbush Avenue WOODstack 7,500 Mar-19 $0 $0 CoStar Roof Deck 625 East 18th Street 6A 900 2 2 $3,050 $1,525 $40.67 No Fee Min 900 $43.76 $0 $0 Min 700 $1,995 $998 $36.00 Max 10,400 $65.00 $43,680 $524,160 Max 950 $3,075 $1,538 $48.55 Average 2,980 $50.17 $9,196 $110,356 Average 806 $2,584 $1,292 $41.34 8 9 1183 FLATBUSH AVENUE RESIDENTIAL RENTAL COMPARABLES RESIDENTIAL RENTAL COMPARABLES Asking Asking Monthly Address Unit SF Beds Baths Monthly Rent Notes Address Unit SF Beds Baths Asking $/Bed Asking $ PSF Date Notes $/Bed $ PSF Rent Three Bedrooms Two Bedrooms 2584 Bedford Avenue 2B 3 1 $2,400 $800 Washer/Dryer 8 Fairview Place 402 1,000 2 1 $3,140 $1,570 $37.68 6/9/20 Elevator, Gym 2318 Avenue D 2 4 2 $3,475 $869 Washer/Dryer Doorman, 123 Linden Boulevard 14A 2 1 $3,495 $1,748 7/3/20 1233 Flatbush Avenue 2 1,200 4 1 $2,700 $675 $27.00 Elevator 370 East 23rd Street 4T 3 1 $2,399 $800 Elevator, 130 Martense Street 2C 870 2 1 $2,400 $1,200 $33.10 6/25/20 445 East 22nd Street 2C 3 1 $2,099 $700 Washer/Dryer 2311 Newkirk Avenue 2 4 2 $3,400 $850 2807 Snyder Avenue 3B 650 2 1 $2,352 $1,176 $43.42 5/31/20 Gym, Roof Deck 2317 Newkirk Avenue 1C 900 3 1 $2,383 $794 $31.77 Private Backyard 2102 Regent Place 3D 700 2 1 $2,099 $1,050 $35.98 4/8/20 Dishwasher 360 Westminster Road 2C 1,200 4 2 $3,599 $900 $35.99 Elevator Min 650 $2,099 $1,050 $33.10 531 East 22nd Street 5AA 1,100 4 2 $3,250 $813 $35.45 Elevator, Courtyard Max 1,000 $3,495 $1,748 $43.42 1091 Rogers Avenue 3 3 1 $2,300 $767 Average 805 $2,697 $1,349 $37.55 Min 900 $2,099 $675 $27.00 Max 1,200 $3,599 $900 $35.99 Three Bedrooms Average 1,100 $2,801 $797 $32.55 370 East 23rd Street 4Q 1,100 3 1 $2,450 $817 $26.73 6/23/20 Washer/Dryer CLOSED DEALS 1109 Ditmas Avenue 1 1,150 3 1 $2,900 $967 $30.26 6/18/20 Garden Monthly Address Unit SF Beds Baths Asking $/Bed Asking $ PSF Date Notes Rent 2100 Bedford Avenue 6D 1,251 3 2 $3,700 $1,233 $35.49 6/17/20 Elevator, Gym One Bedrooms 2409 Albemarle Road 2 1,050 3 2 $2,498 $833 $28.55 5/19/20 Washer/Dryer Elevator, 212 Linden Boulevard 6D 500 1 1 $1,995 $1,995 $47.88 7/8/20 Virtual Doorman Min 1,050 $2,450 $817 $26.73 1380 Flatbush Avenue 1F 550 1 1 $1,595 $1,595 $34.80 7/6/20 Max 1,251 $3,700 $1,233 $35.49 Elevator, Virtual Average 1,138 $2,887 $962 $30.26 212 Linden Boulevard 5D 500 1 1 $2,050 $2,050 $49.20 7/5/20 Doorman 345 Lenox Road 4B 670 1 1 $2,285 $2,285 $40.93 7/5/20 Elevator, Gym 1191 Ocean Avenue 3A 650 1 1 $2,199 $2,199 $40.60 7/1/20 48 Linden Boulevard 5D 631 1 1 $2,100 $2,100 $39.94 6/10/20 Elevator 95 Linden Boulevard 55A 673 1 1 $2,031 $2,031 $36.21 6/1/20 Elevator Elevator, 309 East 19th Street 5 900 1 1 $2,250 $2,250 $30.00 5/25/20 Washer/Dryer Min 500 $1,595 $1,595 $30.00 Max 900 $2,285 $2,285 $49.20 Average 634 $2,063 $2,063 $39.94 10 11 1183 FLATBUSH AVENUE LAND SALES COMPARABLES CONFIDENTIAL OFFERING Address Lot Size (SF) Date Resi FAR Max ZFA Sale Price $ / ZFA This Request For Proposals (“RFP”) has been prepared The Owners and Lee & Associates each expressly reserve exclusively by Lee & Associates on behalf of Ownership, the right, in their sole discretion, to reject any and all the (“Owner”), regarding the 99-year triple net lease of expressions of interest or offers regarding the Properties 2671 Bedford Avenue 7,300 Feb-20 0.50 3,650 $760,000 $208 the properties described herein at 1183 Flatbush Avenue, and/or terminate discussions with any entity at any time Flatbush, New York (the “Properties”).
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