310 EAST 25th STREET FLATBUSH, BROOKLYN, NY TABLE OF CONTENTS I. EXECUTIVE SUMMARY II. THE NEIGHBORHOOD III. DUE DILIGENCE FOR MORE INFORMATION, PLEASE CONTACT EXCLUSIVE AGENTS DJ Johnston Jermaine Pugh Partner, Sr. Managing Director Director 646 933 2619 646 933 2633 [email protected] [email protected] William Cheng Michael Murphy Director Senior Associate 646 933 2623 646 933 2639 [email protected] [email protected] 310 EAST 25th STREET 3 EXECUTIVE SUMMARY THE OPPORTUNITY PROPERTY INFORMATION B6 Real Estate Advisors has been retained on an Address 310 East 25th Street, Brooklyn, NY 11226 exclusive basis to arrange the sale of 310 East 25th Location On the southwest corner of East 25th Street a 4-story walkup building, consisting of 19 Street and Clarendon Road. residential units located in the Brooklyn neighborhood Block & Lot 5190 / 9 of Flatbush. Positioned between Flatbush, Nostrand, Lot Size 40' x 100' and New York Avenues, some of the most notable and sought-after retail corridors in Brooklyn, this 19 Lot SF 4,000 units asset offers investors both scale and location. Building Size 40' x 90' Approx (less air shafts) With decently sized unit layouts, recent capital Stories 4 improvements such as new roof, new boiler and new Building SF 13,296 Approx (less air shafts) fire escapes, this is truly an exceptional opportunity. Net SF 12,343 Approx Residential Units 19 With 140’ of corner frontage and additional internal air shafts, the building benefits from ample light and Zoning R6 air allowing for increased bedrooms upon renovation. FAR 2.2 The building is approximately 13,296 square feet with Assessment ('18/'19) $339,930 Tax Class 2 unit sizes ranging from 563 to over 1,100 square feet. R.E. Taxes ('18/'19) $42,872 The five lines share a large lobby, highlighting the buildings unique stone and tile work. There is ample space in the basement for amenities such as laundry, STATION DISTANCE FROM PROPERTY bike racks and storage. SUBWAY LINE STATION WALKING DISTANCE The location is prime for Flatbush, positioned just 2 5 Beverly Road / Nostrand Avenue 7 block / 8 minutes blocks away from the heavily trafficked Flatbush, Nostrand and New York Avenue retail corridors. These Q Cortelyou Road / East 16th Street 11 blocks / 15 minutes retail corridors are lined with restaurants, cafés and TRAVEL TIMES ESTIMATED BY GOOGLE MAPS national tenants such as Walgreens, Bank of America, Chase, Citibank, Planet Fitness, Modell’s and Dunkin Donuts just to name a few. An appeal to many Flatbush residents is the abundance of public transportation INCOME AND EXPENSE SUMMARY options. 310 East 25th Street is conveniently serviced Gross Annual Income $352,086 by the New York City 2 , 5 , and Q trains. Vacancy & Credit Loss @ 3% $10,563 Effective Gross Income $341,524 Less Total Expenses $106,971 Projected Net Operating Income $234,552 6 B6 REAL ESTATE ADVISORS 310 EAST 25th STREET 7 INVESTMENT HIGHLIGHTS AREA MAP ■ 19 rent stabilized units, provides an investor with tremendous upside potential. ■ 120’ of corner frontage coupled with additional air shaft, provide ample light and air for an increased bedroom count upon renovation. ■ Recent capital improvements includes new roof, boiler and fire escapes. ■ Multiple transportation options are available within 310 EAST 25th STREET close proximity to either the 2 and 5 trains at Beverly Road station, and Q train at Cortelyou Road station, offering direct access to Downtown Brooklyn and Manhattan. TAX MAP EAST 25th STREET 9 AVENUE D AVENUE CLARENDON ROAD BEDFORD AVENUE 8 B6 REAL ESTATE ADVISORS 310 EAST 25th STREET 9 EXTERIOR INTERIOR 10 B6 REAL ESTATE ADVISORS 310 EAST 25th STREET 11 RESIDENTIAL REVENUE COLLECTED RENTS LEGAL RENTS UNIT TYPE RENOVATED STATUS LEASE EXP. UNIT NSF MONTHLY ANNUAL RENT $ / SF MONTHLY ANNUAL $ / SF 1A 3 BR Yes RS 9/30/19 690 $2,500 $30,000 $43 $2,874 $34,494 $50 2A 2 BR Yes RS 9/30/19 567 $2,100 $25,200 $44 $2,877 $34,520 $61 3A 3 BR + Duplex Yes RS 9/30/19 1,151 $3,250 $39,000 $34 $3,728 $44,741 $39 4A 2 BR No RS 3/31/20 563 $826 $9,906 $18 $826 $9,906 $18 1B 1 BR No RS 11/30/19 592 $750 $9,000 $15 $750 $9,000 $15 2B 1 BR No RS 3/31/20 583 $1,375 $16,500 $28 $1,375 $16,500 $28 3B 3 BR Yes RS 8/31/19 685 $2,500 $30,000 $44 $2,857 $34,278 $50 4B 1 BR No RS 9/30/19 657 $786 $9,438 $14 $786 $9,438 $14 5B 1 BR No RS 3/31/19 606 $820 $9,841 $16 $820 $9,841 $16 1C 1 BR Yes RS 10/31/20 592 $644 $7,722 $13 $644 $7,722 $13 2C 2 BR Yes RS 1/31/20 583 $2,100 $25,200 $43 $2,804 $33,646 $58 3C 1 BR No RS 10/31/20 685 $582 $6,988 $10 $582 $6,988 $10 4C 1 BR No RS 1/31/20 657 $821 $9,855 $15 $821 $9,855 $15 5C 1 BR No RS 7/31/20 606 $645 $7,739 $13 $645 $7,739 $13 1D 3 BR Yes RS 10/31/19 700 $2,500 $30,000 $43 $2,873 $34,479 $49 2D 2 BR No Vacant -- 584 $2,100 $25,200 $43 $2,100 $25,200 $43 3D 1 BR No RS 7/14/20 686 $841 $10,097 $15 $841 $10,097 $15 4D 2 BR Yes RS 1/31/20 576 $2,100 $25,200 $44 $3,109 $37,305 $65 5D 2 BR Yes RS 12/31/19 578 $2,100 $25,200 $44 $2,711 $32,530 $56 Total 12,343 $29,341 $352,086 $29 $34,023 $408,279 $33 PROJECTED EXPENSES UNIT SIZE MIX INCOME AND EXPENSE SUMMARY B6 METRICS ANNUAL $ / SF $ / UNIT Gross Annual Income $352,086 Vacancy & Credit Loss @ 3% $10,563 Real Estate Taxes (18/19) DOF Tax Bill $42,872 $3.22 $2,256 Effective Gross Income $341,524 Insurance $400 / Unit $7,600 $0.57 $400 Less Total Expenses $106,971 Water & Sewer $1.50 / GSF $19,944 $1.50 $1,050 4 Projected Net Operating Income $234,552 Heating Fuel* $650 / Unit $12,350 $0.93 $650 Electric (Common) $0.15 / GSF $1,994 $0.15 $105 9 Repairs & Maintenance $450 / Unit $8,550 $0.64 $450 1 Bedroom Management/Super 4.0% of EGI $13,661 $1.03 $719 6 TOTAL EXP. RATIO: 30.38% $106,971 $8.05 $5,630 2 Bedrooms *Entech system being installed 3 Bedrooms 12 B6 REAL ESTATE ADVISORS 310 EAST 25th STREET 13 42nd STREET GRAND CENTRAL 34th STREET PENN STATION 37 Minutes TRANSPORTATION 38 Minutes The subject property is an 12 minute train ride from Downtown Brooklyn and within 22 minutes of Manhattan. METRO NORTH LIRR, PATH, NJ TRANSIT & AMTRAK 310 East 25th Street is conveniently located within a 8 minute walk to the 2 , 5 trains’ Beverly Road station to nd the north east, and 15 minute walk to the Q train’s Cortelyou Road station, providing access with Atlantic Avenue- 42 STREET TIMES SUARE 31 Minutes Barclays Center, Borough Hall, Downtown Manhattan, and Fulton Center – Lower Manhattan’s main transport hub. Multiple bus options are also available with the B44 SBS, B44, B49, B8, B11 and B103 buses, providing connections across Brooklyn neighborhoods. Additionally, the BM2 express bus to Manhattan is also available at Flatbush Avenue / Foster Avenue, providing direct access into Midtown, Manhattan. 34th STREET HERALD SUARE 29 Minutes By car, there is easy access to Manhattan via the Hugh L. Carey Tunnel, Brooklyn Bridge or Manhattan Bridge. PATH The property is ideally situated in close proximity to the Prospect Expressway accessible within one- and three- 14th STREET UNION SUARE quarter miles of the property. 26 Minutes The three major metropolitan airports, John F. Kennedy (11.2 mi), LaGuardia (12.4 mi), and Newark (19.4 mi) are located in the immediate Metropolitan area. FULTON CENTER 26 Minutes BOROUGH HALL 17 Minutes PATH ATLANTIC AVE - BARCLAY CENTER 12 Minutes LIRR 310 EAST 25th STREET CORTELYOU ROAD BEVERLY ROAD 11 Blocks / 15 Minutes 7 Blocks / 8 Minutes 14 B6 REAL ESTATE ADVISORS 310 EAST 25th STREET 15 NEIGHBORHOOD 16 B6 REAL ESTATE ADVISORS 310 EAST 25th STREET 17 FLATBUSH Flatbush is an emerging Central Brooklyn neighborhood that has become increasingly popular among investors, developers and young professionals. Flatbush is located at the southernmost point of Prospect Park, bounded by Parkside Ave to the north, Avenue H to the south and is between Ocean and New York Avenues. Founded by Dutch colonist in 1651, Flatbush consist of two major subsections, Ditmas Park and Prospect Park South. Flatbush is best known for its deep-rooted multicultural history. This Brooklyn neighborhood is a true melting pot of cultural diversity, represented by heavy enclaves of Asian, Central American, Jewish, Pakistani and West Indian populations. Accompanying this diversity is a variety of authentic cuisines from around the world. On Flatbush Avenue, the main retail corridor you will find patrons dinning at a variety of delicious Caribbean, Mexican, and Asian inspired restaurants. Over the last several years the latest wave of cultural influences to emerge is from young media professionals, that are now calling Flatbush home. With affordable rents and convenient transportation options to NYC, many people are relocating to Flatbush when they are priced out of Manhattan or other Brooklyn neighborhoods like Cobble Hill and Williamsburg. Flatbush is one of Brooklyn’s most architecturally diverse neighborhoods, prewar walkup to elevator apartment buildings to historic Victorian and Colonial homes nestled on tree lined blocks, Flatbush has a home for everyone.