141 East 55Th Street
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TH 141 EAST 55 STREET RETAIL CONDOMINIUM OFFERING MEMORANDUM FOR MORE INFORMATION, PLEASE CONTACT: BEN TAPPER Senior Managing Director [email protected] 646.658.7334 GREG GROPPER Senior Managing Director [email protected] 646.723.4012 SEAN SLATTERY Associate [email protected] 646.723.4011 2 141 EAST 55TH STREET OPPORTUNITY HIGHLIGHTS • Ideal location between major retail corridors on Lexington Avenue and 3rd Avenue, within steps of major employment centers in central midtown, and heavy Turtle Bay - Sutton Place residential uses • High Avenue-to-Avenue pedestrian traffic • Beautifully stacked at the base of an elegantly built 87-unit residential condominium complex in East Midtown • Package offers three units with two of three occupied • Value-Add opportunity for vacant space, with in place positive cash-flow • Close proximity to Lexington Avenue-53rd St station, servicing the E M trains • 4 blocks south of Lexington Avenue-59th St station, servicing the N R W trains and the 4 5 6 4 EXECUTIVE SUMMARY Lee & Associates NYC is pleased to present on an exclusive basis the sale of the retail condominium package located at 141 East 55th Street (“The Properties”). The retail units sit at the base of a 13-story condominium complex with 87 condos and almost ±65,582 SF of mixed-use space. The combined ±80 FT of desirable frontage on a prime cross street offers the opportunity for an investor to own a well-lo- cated trophy retail asset. The package consists of three retail condominiums, all three having direct frontage on East 55th Street. CU-1 will be delivered vacant and has ±1,788 SF of above grade space. Unit CU-2 is a salon, Mingle, which occupies the space through August 2021 and is ±1,241 SF in size. Unit CU-3 is occupied by Allure, which is a day spa, through December 2026 and has a ±200 FT above grade entrance with an additional ±2,110 SF below grade. The ±80 SF of frontage allows for maximum visibility of store front windows, displays, and tenant branding. The Property is located a short walking distance from the Lexington Avenue-53rd St subway station, servicing the E M trains, and a few blocks from the Lexington Avenue-59th St subway station, servicing the N R W 4 5 6 trains. 4 4 141 EAST 55TH STREET PROPERTY SUMMARY Opportunity Type Retail Condominium Package Address 141 East 55th Street Location Frontage on East 55th Street between Lexington Avenue and Third Avenue in the East Midtown district of Manhattan, NY. Block / Lot(s) 1310 / 1001, 1090 & 1091 Lot Size ±9,539 SF (95’ x 100.42’) Year Built 1956 Above Grade Space ±3,229 SF Lower Level Space ±2,100 SF Total Unit Space ±5,339 SF Frontage ±80FT Zoning Split Zone: C5-2.5 & C5-2 Tax Class 4 Asking Price 2018 / 2019 Taxes $156,525 Total Common Area Interest 7.9555% Asking Price $4,500,000 Price PSF $843 5 EAST MIDTOWN Bounded by Park Avenue and the East River between East 59th Street and East 42nd Street, East Midtown is a neighborhood with a unique blend of major employment centers, several different submarkets, and a high concentration of residential uses. The submarkets that make up East Midtown include the area surrounding the United Nations Headquarters to the Southeast, Turtle Bay neighborhood at the heart of East Midtown, and the Sutton Place neighborhood offering affluent residential living options. The greatest driver of pedestrian and commuter activity in East Midtown is the major employment centers and high concentration of office buildings that East Midtown draws from on Madison Avenue, Park Avenue, Lexington Avenue, and 3rd Avenue. These concentrated office corridors make up roughly ±52 million SF in existing office space with ±905,000 SF of additional office space under construction. Some projects under construction include L&L Holding’s 425 Park Avenue office tower and Boston Properties 159 East 53rd Street ±200,000 SF office building. Hundreds of thousands of employees within East Midtown spurs demand for a range of daytime general service, food/beverage, and retailers year-round. Coupled with large office inventory on the western side of the neighborhood, the eastern part of the neighborhood is home to a pleth- ora of cooperative and condominium walk-up and elevator buildings. The condo concentration is more evident in Turtle Bay, between 3rd Avenue and 1st Avenue from East 53rd St down to East 45th Street. The cooperative buildings are primarily located between 1st Avenue and Sutton Place between East 59th Street and East 51st Street.The United Nations Headquarters and complex is located between 1st Avenue and The East River and is surrounded by a high concentration of foreign government embassies, consulates, non-governmental organizations, foundations, and nonprofit organizations. As part of the rezoning for the Special Midtown District (MiD) the New York City Planning and Zoning has created the East Midtown sub-district as a long-term guide to development of office space for the next several decades. This sub-district was established in 2017 and encourages new office development, offers incentives to improvement of pedestrian areas and improvements of transit access when coupled with new office development. 14 6 CONFIDENTIAL OFFERING This Offering Memorandum was prepared by Lee (“Broker”) solely for the use of prospective purchases of the package of retail condominium located at 141 East 55th Street (“The Properties”). Neither the Broker nor the owner of the Properties (“Owner”) makes any representation or warranty, expressed or implied, as to the complete- ness of the accuracy of the material contained in the Offering Memorandum. Prospective purchasers of the Properties are advised that changes may have occurred in the physical or financial condition of the Properties since the time this Offering Memorandum or the financial statements therein were made by Broker and not by Owner and are based upon assumptions or events beyond the control of Broker and Owner, and therefore may be subject to variation. Other than historical revenue and operating expense figures for the Property, Owner has not, and will not, provide Broker or a prospective purchaser with any income or expense figures, budgets, or projections regarding the Properties. Prospective purchasers of the Properties are advised and encouraged to conduct their own comprehensive review and analysis of the Properties. The Offering memorandum is a solicitation of interest only and is not an offer to sell the Properties. The Owner and Broker expressly reserve the right, at their sole discretion, to reject any or all expressions of interest to offers to purchase the Properties and expressly reserve the right, at their sole discretion, to terminate discussions with any entity at the time with or without notice. The owner shall have no legal commitment or obligations to any entity reviewing the Offering Memorandum or making an offer to purchase the Properties unless and until such offer for the Property is approved by the owner pursuant to its Finance Committee authorities and the signature of a Vice President or Owner is affixed to a Real Estate Purchase Agreement prepared by Owner. This Offering Memorandum is confidential. By accepting the Offering Memorandum, you agree (i) that you will hold and treat the Offering Memorandum and its contents in the strictest confidence, (ii) that you will not photocopy or duplicate any part of the Offering Memorandum, (iii) that you will not disclose the Offering Memorandum or any of its contents to any other entity without the prior written authorization of the Owner, and (iv) that you will not use the Offering Memorandum in any fashion or manner detrimental to the Owner or Broker. 16 7 141 EAST 55TH STREETTH 141 EAST 55 STREET RETAIL CONDOMINIUM FOR MORE INFORMATION, PLEASE CONTACT: BEN TAPPER Senior Managing Director [email protected] 646.658.7334 GREG GROPPER Senior Managing Director [email protected] 646.723.4012 SEAN SLATTERY Associate [email protected] 646.723.4011 PRINCIPAL REGISTRATION AND CONFIDENTIALITY AGREEMENT THIS REGISTRATION AND CONFIDENTIALITY AGREEMENT (this “Agreement”), made effective as of the _____ day of _______________, 2019, by and between LEE & ASSOCIATES NYC as exclusive agent of the Seller of the Property (as hereinafter defined “Seller”), and __________________________________(1), a ________________________(2), whose address is __________________________________(3), (“Principal”), is to, among other things, assure the protection and preservation of the confidential and/or proprietary nature of information to be disclosed or made available to Principal by Seller, or Lee & Associates NYC relating to the potential purchase and sale of the real property commonly known as 141 East 55th Street, Commercial Units, New York, New York (the “Property”). NOW, THEREFORE, for good and valuable consideration, the parties hereto, for themselves, or for any corporation, partnership, association, joint stock company, limited liability company, limited liability partnership, or trust directly or indirectly controlling, controlled by or under common control of such party, or any employee, servant, agent of such party (all the foregoing being hereinafter collectively referred to as Principal’s “Affiliates”), agree as follows: 1. Registration and Compensation. By execution below, Principal hereby registers its interest in the potential purchase of the Property and acknowledges receipt of the materials included in the offering package pertaining to the Property prepared by Lee & Associates NYC and delivered herewith (the “Offering Package”). Principal hereby agrees that, notwithstanding anything herein or any other agreement or principle of law or equity to the contrary, in no event shall Seller and/or Lee & Associates NYC be liable or responsible to pay, or cause to be paid, to any real estate broker, finder, consultant, agent or any other similar party (such parties being hereinafter collectively referred to as the “Broker”) any compensation whatsoever including, without limitation, any brokerage commission (or similar charge).