339339 -- 341 Broadway 341 Broadway

Document Sample
339339 -- 341 Broadway 341 Broadway Powered By Docstoc
					Mixed-
       -341 Broadway
339Use SRO Building
Mixed-Use SRO Building
                         339-341 Broadway
                                                                                          339-341 Broadway
                                                                                               Confidentiality
THIS IS A CONFIDENTIAL MEMORANDUM intended solely for your own limited use in considering
whether to pursue negotiations to acquire an interest in 339-341 Broadway, Williamsburg, Brooklyn,
New York 11211 ("The Property").

This Confidential Memorandum contains brief, selected information pertaining to the business and
affairs of the Owner, and has been prepared by Massey Knakal Realty Services ("Massey Knakal")
Although this Confidential Memorandum has been reviewed by representatives of the Owner, it does
not purport to be all inclusive or to contain all of the information which a prospective purchaser may
desire. Neither Massey Knakal nor any of their officers, employees or agents make any representation
or warranty, expressed or implied, as to the accuracy or completeness of this Confidential
Memorandum or any of its contents, and no legal liability is assumed or to be implied with respect
thereto.

By acknowledgement of your receipt of the Confidential Memorandum, you agree that the
memorandum and its contents are confidential, that you will hold and treat it in the strictest of
confidence, that you will not directly or indirectly, disclose or permit anyone else to disclose this
memorandum or its contents to any person, firm or entity without prior written authorization of Owner,
and that you will not use, or permit to be used, this memorandum or its contents in any fashion or
manner detrimental to the interest of Owner. Photocopying or other duplication is strictly prohibited.

Owner, Massey Knakal expressly reserve the right, at their sole discretion, to reject any or all
proposals or expressions of interest in the building, and to terminate discussions with any party at any
time with or without notice.

If you do not wish to pursue negotiations leading to this acquisition, kindly return this Confidential
Memorandum to Massey Knakal.

This Confidential Memorandum shall not be deemed a representation of the state of affairs of the
property or constitute an indication that there has been no change in the business of affairs or the
property since the date of preparation of this memorandum.
                                                                                                339-341 Broadway

                    Offering Memorandum

                    339-341 Broadway
A Mixed-Use 126 Room SRO Building For Sale
                     Asking Price: $2,500,000
                                     EXCLUSIVE AGENTS:


                       James Nelson                        Mark Lively
                         212.696.2500 x7710                718.238.8999 x6524
                     jnelson@masseyknakal.com          mlively@masseyknakal.com



         Brendan Maddigan                Mitchell Levine              Matt Nickerson
            718.238.8999 x6507             212.696.2500 x7761          212.696.2500 x7742
        bmaddigan@masseyknakal.com     mlevine@masseyknakal.com   mnickerson@masseyknakal.com



           Massey Knakal Realty Services            Massey Knakal Realty Services
             275 Madison Ave, Third Floor           205 Montague Street, Third floor
              New York, New York 10016                 Brooklyn, New York 11201
                   T: 212.696.2500                          T: 718.238.8999
                   F: 212.696.0333                          F: 718.238.6091
                                  339-341 Broadway
                                  Table of Contents


  Property Information
       Property Photograph
        Property Overview
       Income & Expenses
            Tax Map


Neighborhood Information
      Neighborhood Character
        Neighborhood Map
         Aerial Photograph
           Zoning Map
        Zoning Description
     Transportation Description


Due Diligence Information
          ECB Violations
          DOB Violations
          HPD Violations
     Certificate of Occupancy
  339-341 Broadway
Property Photograph
339-341 Broadway
                                                                                                                                                                                                                                                           339-341 Broadway
Williamsburg, Brooklyn, NY 11211
A Mixed-Use 126 Room SRO Building
 Property Information
 Address:                                    339 - 341 Broadway

 Location:                                   The subject property is located on the north side of Broadway between Keap Street and
                                             Rodney Street.
 Block:                                      2462
 Lot:                                        27

 Lot Size:                                   45' x 133.5'         Irregular (approx.)

 Building Information
 Building Size:                              45' x 100'           Irregular
 Stories:                                    3

 Gross Square Footage:                       13,500               (approx.)

 Zoning:                                     R6 with a C1-3 Overlay
 Residential FAR:                            3.00           With Quality Housing
                                             2.43           Wide Street
 Commercial FAR:                             2.00

 Lot Size:                                   5,865                sq. ft. (approx.)

 Total Buildable Sq. Ft.:                    17,595               sq. ft. (approx.)
 Minus Existing Structure:                   13,500               sq. ft. (approx.)
 Available Air Rights:                       4,095                sq. ft. (approx.)

 Assessment (11/12) :                         $ 1,056,850
 Taxes (11/12):                               $   108,982

 Description:                                339-341 Braodway is a 126 single room occupancy mixed-use building located in
                                             southeast Williamsburg, Brooklyn. 86 of the units are rented out on a nightly or weekly
                                             basis. It is located within two blocks of the J,M,Z subway lines only four blocks from
                                             the G. It is also five blocks from the Williamsburg Bridge and the historic Peter Luger
                                             Steak House. 339-341 Broadway is currently run as the Glenwood Hostel which caters
                                             to tourists many of whom come from overseas.

                                                                                                     For More Information, Please Contact Exclusive Agents:

            James P. Nelson                                              Mark Lively            Brendan Maddigan                                                                                Mitchell Levine           Matt Nickerson
         (212) 696-2500 x7710                                       (718) 238-8999 x6524      (718) 238-8999 x6507                                                                          (212) 696-2500 x7761       (212) 696-2500 x7742
      jnelson@masseyknakal.com                                   mlively@masseyknakal.com bmaddigan@masseyknakal.com                                                                     mlevine@masseyknakal.com mnickerson@masseyknakal.com

The information contained herein has either been given to us by the owner of the property or obtained from sources that we deem reliable. We have no reason to doubt its accuracy but we do not guarantee it. All zoning, buildable footages and uses must be independently verified. Vacancy factors used
herein are an arbitrary percentage used only as an example. It does not necessarily relate to actual vacancy, if any. The value of this investment is dependent upon these estimates and assumptions made above, as well as the investment income, the tax bracket, and other factors which your tax advisor and/or
legal counsel should evaluate. THE PROSPECTIVE BUYER SHOULD CAREFULLY VERIFY EACH ITEM OF INCOME, AND ALL OTHER INFORMATION HEREIN.

                                          275 Madison Avenue • Third Floor • New York, NY 10016 • 212.696.2500 • Fax 212.696.0333
                                                                          www.masseyknakal.com
                                          THE BRONX                       BROOKLYN                       MANHATTAN                          NASSAU                  QUEENS                   STATEN ISLAND                            WESTCHESTER
  339-341 Broadway
                                                                                                                                                                                                                                                              339-341 Broadway
  Williamsburg, Brooklyn, NY 11211
  Mixed-Use 126 Room SRO
                                                                                                                                                                  REVENUE:
                                                                                              (1)                                                                 Potential Gross Annual Income                                                                                       $                     1,168,750
             Unit                          Status               Sq. ft.         P.P.S.F.                    Monthly Rent               Annual Rent
                                                                                                                                                                  Vacancy Loss (80% Occupancy of Transient Units)                                                                     $                       (156,950)
            Retail                         Vacant                1,300             $32.31                     $3,500                      $42,000                 Gross Annual Income                                                                                                 $                     1,011,800


            Retail                         Vacant                3,000             $26.00                     $6,500                      $78,000                 EXPENSES: (FROM OWNER)
                                                                                                                                                                  Real Estate Taxes (11/12)                                                                                           $                        108,982
40 Permanent Tenants                     Occupied                             $550 per room           (2)
                                                                                                              $22,000                     $264,000                Water/Sewer                                                                                                         $                          12,678
                                                                                                                                                                  Insurance                                                                                                           $                          22,344
86 Single Rooms                          Transient                            $25 per day       (3)
                                                                                                              $65,396                     $784,750                Gas                                                                                                                 $                          18,000
                                                                                                                                                                  Common Electric                                                                                                     $                          15,072

Total                                                                                                         $97,396                   $1,168,750                Payroll                                                                                                             $                        100,000
                                                                                                                                                                  Repairs & Maintenance ($350 per unit)                                                                               $                          44,150
 (1) P.P.S.F. = Price Per Square Foot
                                                                                                                                                                  Management (6%)                                                                                                     $                        151,770
 (2) Estimated
                                                                                                                                                                  Total:                                                                                                              $                        472,996
 (3) The reservations are taken online at $20 per day, while walk-ins are charged $30
   per day. Weekly rates are $150.
                                                                                                                                                                  Gross Annual Income:                                                                                                $                     1,011,800
                                                                                                                                                                  Less Expenses:                                                                                                      $                        472,996
                                                                                                                                                                  Net Operating Income:                                                                                               $                        538,804




                                                                                                                                                                                                          Asking Price:
                                                                                                                                                                                                           $2,500,000
                                                                                                             For More Information, Please Contact Exclusive Agents:

                 James P. Nelson                                            Mark Lively            Brendan Maddigan            Mitchell Levine           Matt Nickerson
              (212) 696-2500 x7710                                     (718) 238-8999 x6524      (718) 238-8999 x6507      (212) 696-2500 x7761       (212) 696-2500 x7742
           jnelson@masseyknakal.com                                 mlively@masseyknakal.com bmaddigan@masseyknakal.com mlevine@masseyknakal.com mnickerson@masseyknakal.com

 The information contained herein has either been given to us by the owner of the property or obtained from sources that we deem reliable. We have no reason to doubt its accuracy but we do not guarantee it. All zoning, buildable footages and uses must be independently verified. Vacancy factors used
 herein are an arbitrary percentage used only as an example. It does not necessarily relate to actual vacancy, if any. The value of this investment is dependent upon these estimates and assumptions made above, as well as the investment income, the tax bracket, and other factors which your tax advisor and/or
 legal counsel should evaluate. THE PROSPECTIVE BUYER SHOULD CAREFULLY VERIFY EACH ITEM OF INCOME, AND ALL OTHER INFORMATION HEREIN.




                                            275 Madison Avenue • Third Floor • New York, NY 10016 • 212.696.2500 • Fax 212.696.0333
     The information contained herein has either been given to us by the owner of the property or obtained from sources that we deem reliable. We have no reason to doubt its accuracy but we do not guarantee it. All zoning, buildable footages and uses must be independently verified. Vacancy factors used
                                                                            www.masseyknakal.com
     herein are an arbitrary percentage used only as an example. It does not necessarily relate to actual vacancy, if any. The value of this investment is dependent upon these estimates and assumptions made above, as well as the investment income, the tax bracket, and other factors which your tax advisor and/or
     legal counsel should evaluate. THE PROSPECTIVE BUYER SHOULD CAREFULLY VERIFY EACH ITEM OF INCOME, AND ALL OTHER INFORMATION HEREIN.
                                            THE BRONX                       BROOKLYN                         MANHATTAN                        NASSAU                   QUEENS                  STATEN ISLAND                             WESTCHESTER
  339-341 Broadway
Interior Photographs
                                                                 339-341 Broadway
                                                              Tax Map and Location
339-341 Broadway
Tax Block: 2462
Lots: 27
Location: Located on the North Side of Broadway between Rodney Street and
Keap Street.
                                                               339-341 Broadway
                                                       Neighborhood Character
Williamsburg

In 1792, Richard M. Woodhull purchased land in Bushwick with hopes that the area
would emerge as a suburb of New York. Shortly after establishing a horse ferry to
Manhattan, in 1800 he named the area Williamsburg. Woodhull’s ventures failed but in
the early part of the century the Wallabout and Newtown turnpike was built which made
commuting easier and interest in the area grew tremendously. In 1827, Williamsburg
was declared as a village but by the early 1850s, the village was incorporated into the
city of Brooklyn. Towards the latter half of the century, Williamsburg had many banks
and was a financial hub rivaling Wall Street.

The Williamsburg Bridge was constructed in 1903 and with it the landscape of the
neighborhood changed immensely. Many people moved from the Lower East side of
Manhattan and immigrants from Eastern Europe began to settle as well. In the 1910s,
Williamsburg was the most densely populated area of New York City. By the 1950s and
1960s, Williamsburg gained a large Puerto Rican population, with a majority Hasidic
population in the southwest corner, Italians to the West, and Poles in the North near
Greenpoint.

Throughout the last few decades, the Williamsburg community has seen a vast
transformation. The Northside has been one of New York’s most rapidly changing
neighborhoods. This area was formerly a large manufacturing hub for New York City
and many of these large warehouses have since been converted into spacious, high-
ceiling loft apartments.

The epicenter of the Northside community is the Bedford Avenue L train station (located
on the corner of Bedford Avenue and N 7th Street) due to its proximity to Manhattan; it is
only one stop away. There are a plethora of unique shops, art galleries, bars,
restaurants, and other retail spaces throughout the surrounding area.

There has been an influx of young artists, musicians, performers, and other creative
spirits that have flocked to this region throughout the past couple of decades. The music
scene has really taken off in Williamsburg as there are more than a dozen small venues
where countless alternative and avant rock bands have the chance to test their sounds.
                                                                339-341 Broadway
                                                        Neighborhood Character

In May of 2005, the City council adopted new zoning designations throughout
Williamsburg. A large majority of industrially zoned land was rezoned for residential
use, changing the landscape of the area tremendously. Many new residential buildings
have been developed since the rezoning, and there are many more to come including
the Williamsburg EDGE residential and retail project located on the waterfront between
North 5th Street and North 7th Street. The rezoning also made way for a twenty-eight
acre city park on the waterfront.

In February of 2008, the city released plans to reopen the McCarren Park Pool after it
has been closed for 24 years. Expected to open in 2011, this $50 million project will
feature a restaurant, recreation center, and space for an ice rink during the winter. The
pool is planned to have space for 1,400 swimmers and there will also be a kiddie pool,
locker rooms, and a “beach and lounge area.”

As the gentrified center of Williamsburg, originally home to many polish immigrants,
continues to blossom, the ethnic communities in the area remain attached. For years
there has been a large Hasidic community in the southwestern sector of Williamsburg
and it has not been affected much by the recent invasion of the Northside. The large
centralized Puerto Rican community in East Williamsburg also remains intact.

In addition to Bedford Avenue, the primary commercial artery of Northside Williamsburg,
the neighboring blocks of Wythe Avenue, Berry Street, and Driggs Avenue between N
9th Street and Metropolitan Avenue demand sizeable retail rents of up to $50 per
square foot. Bedford Avenue has reached retail rents in excess of $100 per square
foot. Other retail corridors in the area include Graham Avenue, Grand Street,
Broadway, and Lee Avenue.

At this time, the market for income producing properties has remained competitive.
Investment properties in Williamsburg typically have capitalization rates in the range of
6-8%. Gross rent multiples for these properties are ranging from approximately 10-12.
Condo sellouts in the area range from $500-$800 per square foot.
                                                                                                               339-341 Broadway
                                                                                                                    McCarren Park

McCarren       Park,    the    largest    public    park      in   the
Williamsburg/Greenpoint area, is a constant attraction to
Greenpoint natives and tourists alike. It was renamed from
Greenpoint Park after the death of New York State politician
Patrick Henry McCarren. Ever since its establishment between
1903 and 1905, the park’s beauty has been matched only by its
utility: from the beginning city officials spared no expense to
supply the park with state-of-the-art athletic facilities, including a
¼-mile track, a field that was adapted for use as an ice rink in
winter, tennis courts, a platform for dancing, play equipment for
small children, and fields for baseball, football, and soccer.




                                                                         It is a park frequently being revamped and improved,
                                                                         making it the social and recreational hub of Greenpoint.
                                                                         Events are often held here, including the Annual
                                                                         Mulchfest, in which Mayor Bloomberg encouraged New
                                                                         Yorkers to recycle their previous year’s Christmas trees
                                                                         for a healthier environment. McCarren Park’s full potential
                                                                         has not been realized yet as nearby residents clamor for
                                                                         more funds to be spent on improving the park’s
                                                                         conditions.
                                                                                             339-341 Broadway
                                                                                                     Restaurants



                                             Peter Luger Steak House was quoted by Zagat as the “utopia
                                             of steakdom” and also voted for a 22nd consecutive year their
                                             best steak house. This family franchise has a long history of
                                             exceptional service.  Peter Luger’s has been serving prime
                                             steaks since 1887.
(Peter Luger Steak House , 178 Broadway)




                                            Along with Diner and Miss Williamsburg, Relish completes the
                                            neighborhood trio of revived diner eateries. Big, bright windows
                                            along the booths offer a panoramic view of Wythe Avenue and
                                            its stable of motorcycles. The music ranges from blues and
                                            R&B to rock and electronica; come nighttime, the deco stainless
                                            steel blazes with sexy red gleams. The diner car that holds
                                            Relish was renovated by a local writer/designer who brought
                                            about the diner in the year 2000.
      (Relish, 225 Wythe Avenue)




                                           Working within the confines of an existing Kullman dining car from
                                           the 1920’s, Diner (co-owned by Andrew Tarlow and Mark Firth) is
                                           one of Williamsburg’s most well know restaurants. Renowned
                                           dishes such as the cheeseburgers and moules-frites (hand-cut and
                                           served with mayo), the roast chicken and mesclun salad keep the
                                           “hipsters” coming back for more.
         (Diner , 85 Broadway)
                                                                                                               339-341 Broadway
                                                                                                                                    Nightlife

Where else besides Williamsburg would                                                        City Search calls Iona the best bar in New
you find such an ingenious fusion of two                                                     York. The friendly, sassy bartenders make
ideas as the Barcade? This lounge                                                            this a very easy going pub, without a cold,
features not only 25 beers and ales on tap                                                   detached vibe. People go here to relax and
from all around the country, but arcade                                                      choose from the selection of beers on tap
machines for classic games such as                                                           or the fine wines. The soothing music is
Donkey Kong, Pac-Man, Centipede, and                                                         not too loud, leaving a comfortable
Frogger. The Barcade was constructed out                                                     atmosphere for intimate conversations.
of an old garage and is the busiest during                                                   The worn mahogany table, creaky floors
Happy Hour, from 5-7 PM, where the locals                                                    and lack of cheap gimmicks represent the
can be found drinking UFOs while shooting                                                    main feature of Iona that has attracted so
that last alien or sinking that 8 ball on the                                                many: classic.
pool table.
                                                         (Barcade, 388 Union Avenue)


                                                One of Williamsburg’s hidden gems,
                                                Boogaloo is bar with a 60’s, sci-fi look
                                                that creates an atmosphere like no other
                                                in Brooklyn. The bar shimmers with
                                                colored lights, adding to the music
                                                playing by the nightly DJs. The vast
                                                range of music includes hip-hop, reggae,
                                                techno, and funk. With low archways and
                                                a back room for private parties, the
                                                Boogaloo is a high class playground that
                                                almost feels like an exclusive club due to
                                                its hidden nature. This bar is a place
                                                where the locals lounge, soak in the
         (Boogaloo, 185 Marcy Avenue)           modern speakeasy ambience.                               (Iona, 180 Grand Street)
                   339-341 Broadway
                   Neighborhood Map
339-341 Broadway
                   339-341 Broadway
                   Aerial Photograph

339-341 Broadway
                                                                         339-341 Broadway
                                                           Zoning Information: Williamsburg

New York City’s zoning regulates permitted uses of
the property; the size of the building allowed in
relation to the size of the lot (“floor to area ratio”);
required open space on the lot, the number of
dwelling units permitted; the distance between the
building and the street; the distance between the
building and the lot line; and the amount of parking
required. The commercial district structure has eight
different classifications, which affect all commercial
activity, from local shops to large office centers.

339-341 Broadway is zoned R6 (C2-3 Overlay)




                    339-341 Broadway
    339-341 Broadway
Zoning Information: R6
  339-341 Broadway
Zoning-C2-3 Overlay
                                                                                                339-341 Broadway
                                                                                         Transportation Information
339-341 Broadway has access to major transportation modes. It is a short commute
to Union Square on the L train, where tenants can be in Manhattan within 15 to 20
minutes. The Brooklyn crosstown local mass transit subway line stops nearby at
Nassau Avenue and provides quick access through the heart of Brooklyn with out
transfer. It runs north into Queens as well. There are many transfers available off of
the G train that will bring you virtually anywhere in the five boroughs. The area is
also serviced by the MTA buses B24, B43 and B48.

By car, there is easy access to Manhattan via the Williamsburg and Queensboro
Bridge. The Williamsburg Bridge connects downtown Manhattan to Brooklyn by
ways of the Brooklyn-Queens Expressway (BQE) which is accessible a few blocks
away. The BQE leads throughout Brooklyn and Queens and to most major
thoroughfares such as the Long Island Expressway, Grand Central Parkway,
Prospect Expressway, and the Belt Parkway.

The three major metropolitan airports, LaGuardia (10-15 minutes drive), John F.
Kennedy (15-20 minutes drive), and Newark (25-30 minutes drive) are located in the
immediate Metropolitan area.

The caliber of quick access from 339-341 Broadway to local and regional business         339-341 Broadway
destinations is unusual and definitely enhances the attractiveness of the property.


Boundaries:
Williamsburg: from North 11th Street to the north, Queens County Line to the east,
Flushing Avenue to the south and the East River to the west.

Subway:
IND Crosstown G: Metropolitan Ave., Broadway, Flushing Ave. BMT Jamaica J:
Marcy Ave., Hewes St., Lorimer St., Flushing Ave. BMT Jamaica M: Marcy Ave.,
Hewes St., Lorimer St., Flushing Ave. BMT Jamaica Z: Marcy Ave. IND L:
Bedford Ave., Lorimer St., Graham Ave., Grand St., Montrose Ave., Morgan Ave.

Bus:
B43: Graham Ave. B61: Driggs Ave./Bedford Ave. B24: Metropolitan Ave./Kent
Ave. B54: Grand St. B59: Grand St. B13: Bushwick Ave. B60: Meserole
St./Johnson Ave. B48: Lorimer St. B57: Flushing Ave. B46: Broadway. B44: Lee
Ave./Bedford Ave.
                   339-341 Broadway
DOB, ECB Violations - As of 9/29/2011
             339-341 Broadway
HPD Violations - As of 9/29/2011
             339-341 Broadway
HPD Violations - As of 9/29/2011
      339-341 Broadway
Certificate of Occupancy

				
DOCUMENT INFO
Shared By:
Categories:
Tags:
Stats:
views:4
posted:2/9/2012
language:
pages:24