324 - 326 - 327 - 328 East 89th Street New York, NY 10128 324 - 326 - 328 - 327 Compass has been retained on an exclusive basis to facilitate East 89th Street the sale of 324-328 and 327 East 89th Street on the Upper East Side. These four magnificent, 25' wide brownstones total 40 units spread over ~35k SF above-grade with six rent-stabilized Portfolio and two rent-controlled units. Two of the buildings have only one regulated unit between them with 327 E. 89th having one Zoning R8B RS unit and seven vacancies, and 328 E. 89th being fully free- FAR 4 market. They have been well-maintained and owned by the Total SF 34,760 SF same family for three generations. The high percentage of free- Lot SF 10,068 SF market units offers investors numerous opportunities: Buildable SF 40,272 SF A. Keep the in-place income and lease up the remaining Additional Air Rights 5,512 SF units (current ownership has intentionally left vacancies in preparation for a sale) for a solid rate of return in already- Tax Class 2B renovated buildings; Individual Lot Size 2,517 SF Annual Taxes $154,611 B. Combine each floor into floor-through luxury units that would rent or sell at a premium upon converting to condominiums or single-families; 324-326-328 C. Install an elevator in between the contiguous buildings Block / Lot 1551 / 36-37-38 and create a 50' or 75' masterpiece in a highly-desired part Building Dimensions 25’ x 74’ of Manhattan where condominium and single-family sales Individual Building SF 8,890 SF range upwards of $2,500 / SF for 25’ wide brownstones. 327 This is a truly remarkable opportunity to own a part of old NYC that is only a few blocks from the new second avenue subway Block / Lot 1552 / 18 line. Please reach out to Nathan at nathan.horne@compass. Lot Dimensions 25’ x 56’ com to request the DHCRs, a Pro Forma, or for any other Building SF 8,090 SF questions. Ownership would prefer to sell as a portfolio but will consider all offers. *Eight RS units total per the DHCR but two are vacant or owner-occupied Private Private Backyard Backyard FF FF Kitchen Kitchen Kitchen Kitchen 10' x 10' 10' x 10' 10' x 10' 10' x 10' Mech Room Living Living Living Living Room Room Room Room 15' x 10' 15' x 10' 15' x 10' 15' x 10' oset oset oset oset Cl Cl Cl Cl Dn Dn Bedroom Bedroom Bedroom Bedroom 12' x 10' 12' x 10' 12' x 10' 12' x 10' Up Up Up oset oset oset oset Cl Cl Cl Cl Bedroom Bedroom Bedroom Bedroom 14' x 11' 14' x 11' 14' x 11' 14' x 11' IN Floor 2-5 Basement First Floor Door 324-326-328 E 89th St Thick Wall New York NY 10128 Window 8 Bed | 4 Bath Compass is a licensed real estate and abides by Equal Housing Opportunity laws. All material presented herein is intended for informaional purposes only. Information is compiled from sources deemed reliable but is subject to errors, amission, changes in price, condition, sale, or withdraw without notice. No statement is made as to accuracy of any description. All measurements and square footage are approximate. Exact dimensions can be obtained by retaining the service of an architect or engineer. This is not intended to solicit property already listed. E 94TH ST 13 7 ASPHALT E 90TH ST GREEN CENTRAL PARK 8 12 1 11 10 6 14 E 85TH ST Upper East Side 4 CARL SHURZ PARK 3 E 84TH ST New York’s Upper East Side is one of New York’s most sought after residential neighborhoods, home to many of New York’s major FDR DR landmarks and some of the most exclusive retail experiences on the east coast. 2 9 Household income in Manhattan is over $68k annually, but the Upper East Side blows it out of the water, where the median is 15 almost 93% more at $137k annually. TH E 79 ST POINTS OF INTEREST • 1 Guggenheim • 5 Central Park • 9 Emack and Bolio’s •14 Fairway Market Museum Boat House •10 Best Buy •15 Luke’s Lobster •2 Metropolitan • 6 Carl Shurz Park Museum of Art • 11 Club Pilates • 7 New York •12 Governor’s Mansion •3 Central Park Sports Club 13 •4 Levain Bakery • 8 Whole Foods • Asphalt Green 5 ST AV E E 71 ST TH 5 AVE PARK MADISON AVE MADISON Current Financials Income Portfolio Price $25,000,000 Cap Rate 3.45% Price / SF $719.22 Property 327 E 89th St 324 E 89th St 326 E 89th St 328 E 89th St Total FM Income / Month $22,500.00 $15,000.00 $22,500.00 $25,000.00 $85,000.00 Properties Overview RS Legal Income / Month $2,204.07 $5,351.07 $1,538.41 0 $9,093.55 Property 327 E 89th St 324 E 89th St 326 E 89th St 328 E 89th St Total Annual Income $296,448.84 $244,212.84 $288,460.92 $300,000.00 $1,129,122.60 Size (SF) 8,090 8,890 8,890 8,890 34,760 FM Units 9 6 9 10 34 Expenses RS Units 1 4 3 0 6 Fuel $8,512.02 $12,032.47 $11,161.51 $8,316.87 $40,022.87 Total Units 10 10 10 10 40 Insurance $7,929.26 $8,663.41 $4,697.83 $4,582.26 $25,872.76 Management $3,000.00 $3,000.00 $3,000.00 $3,000.00 $12,000.00 Water / Sewer $1,716.39 $6,272.41 $4,477.43 $3,864.49 $16,330.72 Ta xe s $38,522.52 $38,009.44 $37,880.19 $40,199.16 $154,611.31 Misc. $6,272.46 $4,900.57 $2,182.11 $4,323.71 $17,678.85 Expense Ratio 22.25% 29.84% 21.98% 21.43% 23.60% Total Expenses $65,952.65 $72,878.30 $63,399.07 $64,286.49 $266,516.51 Net Operating Income $230,496.19 $171,334.54 $225,061.85 $235,713.51 $862,606.09 328 326 324 327 Total $23,645.00 Total $15,433.65 Total $17,858.60 Total $7,275.91 Occupancy Overview Income / Month $64,213.16 $2,500.00 $2,000.00 $2,350.00 $2,500.00 $2,050.00 $2,400.00 Vacant Vacant Annual Income $770,557.92 Total Rent Regulated Units 10 Occupied & Regulated Units 8 $2,400.00 $2,375.00 $1,573.67 Vacant $1,995.00 $2,500.00 $2,500.00 $2,500.00 *2E is presumed to be RS and MTM $1,950.00 $2,350.00 $1,995.00 $907.49 $1,103.35 $2,500.00 Vacant $2,275.91 $1,995.00 $2,500.00 $907.49 $2,400.00 $1,000.00 $1,436.98 Vacant Owner $2,800.00 $2,775.00 $2,800.00 Vacant $1,693.52 $1,179.75 Owner Owner E Rent Regulated Units W W E Pro Forma PROPERTY Expenses Size (SF) 34,760 Year 2022 2023 2024 2025 2026 2027 Price $25,000,000.00 Income (3%) $2,259,400.00 $2,327,182.00 $2,396,997.46 $2,468,907.38 $2,542,974.61 $2,619,263.84 Annual Expenses $266,516.51 Expenses (2%) $266,516.51 $271,846.84 $277,283.78 $282,829.45 $288,486.04 $294,255.76 Rent / SF $65.00 Finance $751,464.00 $751,464.00 $751,464.00 $751,464.00 $751,464.00 $751,464.00 Annual Rent $2,259,400.00 NOI $1,992,883.49 Purchase $9,124,920.00 CAP 7.43% Sale Proceeds (5 Cap) $26,551,057.58 FINANCE Annual Net -$7,883,500.51 $1,303,871.16 $1,368,249.68 $1,434,613.93 $1,503,024.56 $28,124,601.66 Rate 4.00% Total Net -$7,883,500.51 -$6,579,629.35 -$5,211,379.67 -$3,776,765.74 -$2,273,741.17 $25,850,860.49 Mortgage Years 10 Buyout (6 Units) $100,000.00 Renovations / SF $50.00 Terminal Sale Cap Sale Price Closing Costs + Loan Sale Proceeds Price / SF Renovation Cost $1,738,000.00 4 $58,125,202.03 $20,239,730.05 $37,885,471.98 $1,672.19 Percent Down 30% 4.5 $51,666,846.25 $20,078,271.16 $31,588,575.09 $1,486.39 Down Payment $8,051,400.00 5 $46,500,161.62 $19,949,104.04 $26,551,057.58 $1,337.75 Mortgage Amount $18,786,600.00 5.5 $42,272,874.20 $19,843,421.86 $22,429,452.35 $1,216.14 Mortgage IPMT $62,622.00 6 $38,750,134.68 $19,755,353.37 $18,994,781.32 $1,114.79 Total IPMT / Month $84,831.71 6.5 $35,769,355.09 $19,680,833.88 $16,088,521.22 $1,029.04 Closing Costs (4%) $1,073,520.00 Total Cash Down $9,124,920.00 IRR 40% Cash Return (Month) $103,451.62 Equity Multiple 3.83x CoC Return 13.60% NPV (5% DR) $18,201,429.66 Condo / Single Family Conversion PROPERTY RESALE Net Sellable SF 34,760 Net Sellable SF 34,760 Purchase Price $25,000,000 Holding Period 18 Months Renovation Cost / SF $100.00 Selling Price / SF $1,600 Renovation Cost $3,476,000.00 Sellout $55,616,000 Buyout Cost $300,000.00 Closing Costs + Broker Fees (7%) $3,893,120.00 Annual Expenses $266,515.51 Holding Costs $5,902,065.18 Sale Proceeds $45,820,814.82 FINANCE Net Proceeds $23,551,549.64 Loan 4.50% Cash Positive $13,891,797.64 Mortgage Years 5 IRR 56.14% Origination (1%) $163,672.00 Equity Multiple 3.44x Percent Down 30.00% NPV (5% DR) $11,144,950.27 Down Payment $8,632,800.00 Mortgage Amount $16,367,200.00 Mortgage IPMT $61,377.00 Total IPMT / Month $327,892.51 Closing Costs (3%) $863,280.00 Total Cash Down $9,659,752.00 E 94TH ST SALE COMPARABLES 3 Single Family ASPHALT GREEN E 90TH ST ON-MARKET 1 2 3 4 2 E 85TH ST CARL SHURZ PARK E 84TH ST 6 4 160 East 81st Street 522 East 87th Street 178 East 94th Street 519 East 84th Street 8,400 SF (40’ Wide) 4,100 SF (18.25’ Wide) 9,819 SF (37’ Wide) 4,000 SF (19.5’ Wide) 8 FDR DR $26M ($3,714 / SF) $8.65M ($2,109 / SF) $14.95M ($1,527 / SF) $7.7M ($1,925 / SF) CLOSED 1 7 5 6 7 8 E 79TH ST 134 East 74th Street 505 East 84th Street 164 East 81st Street 209 East 83rd Street 5 9,050 SF (38’ Wide) 5,000 SF (19’ Wide) 4,160 SF (20’ Wide) 5,000 SF (20’ Wide) $25.25M ($2,790 / SF) $7.85M ($1,539 / SF) $8.875M ($2,103 / SF) $12.95M ($2,590 / SF) E 71ST ST AV E TH 5 MADISON AVE MADISON AVE PARK E 94TH ST SALE COMPARABLES COMPARABLES 2 3 Multi-Family Rentals ASPHALT GREEN TH E 90 ST 6 RENTED 1 2 3 1 2 3 4 4 2 E 85TH ST 4 CARL SHURZ PARK nd E 84TH ST3 312 East 83rd Street 309 East 92 Street 313 East 92nd Street 222 East 83rd Street 437 East 87th Street 157 East 84th Street 205 East 85th Street $10,183,250 $9,300,000 $8,400,000 6,300 SF 4,500 SF 4,400 SF 3,306 SF 1 5 1 FDR DR $1,213 / SF $1,081 / SF $984 / SF $40,000 / Mo.