Jones Lang LaSalle (“JLL”) has been retained on an exclusive basis to arrange the sale of Atlantic Gardens (“The Properties”), nine consecutive tax class protected mixed-use properties in Boerum Hill, Brooklyn. Located at 525-541 Atlantic Avenue, the buildings include ~13,000 RSF of ground floor retail, 18 free market and 6 rent stabilized units comprised of 1 studio, 11 one-bedroom units, 8 two-bedroom units and 4 three-bedroom units. There is an assumable $15,000,000 CMBS loan in place with 7 years IO remaining at 4.79%.
ROBUST MULTIFAMILY FUNDAMENTALS
As the pandemic receded, Boerum Hill achieved 19% rent growth year over year and stabilized to 2% vacancy in 2022 as a result of the mark to market, growing demand and limited supply. The massive increase in absorption will continue to place upward pressure on rents and diminish lease-up costs as inventory continues to decline.
The Properties are located one block away from the Atlantic Avenue-Barclay Center station, one of New York’s most transited subway stations with over 14 million passengers annually. It is served by nine subway lines 2 3 4 5 B D N Q R and the LIRR. This incredible subway connectivity provides quick and direct access to every major employment center in New York. Residents can get to DUMBO in 15 minutes, the Financial District in 20 minutes and Midtown in under 30 minutes.
MATURING RETAIL MARKET
The Downtown Brooklyn retail market has gained the attention of major national brands. Today’s consumer brands understand that they need to be near their customer base to cater to their ever-changing preferences. The demographics in Downtown Brooklyn reflect an affluent, educated population with a significant disposable income stream. Brands like Trader Joe’s, Equinox, Target, Whole Foods, and Soulcycle are all within a ten minute walk from Atlantic Gardens.