BERKO & ASSOCIATESConfidential Memorandum
For the purposes of this memorandum, Confidential Material shall mean all non-public information, including but not limited to financialstatements, lease agreements, rent rolls, plans, forecasts or procedures in which Recipient or Recipient’s customers may have an interest andabout which Recipient may obtain knowledge and/or access to as a result of its relationship with Berko & Associates.
Recipient agrees to keep such Confidential Material strictly confidential and not to directly or indirectly reveal, report, publish, disclose ortransfer any of the Confidential Material to any person or entity, or utilize any of the said Confidential Material for any purpose except for suchlimited purposes as are expressly authorized by Berko & Associates. Notwithstanding the foregoing, the said Confidential Material may bedisclosed by Recipient to Recipient’s customer, as expressly authorized by Berko & Associates, provided however, that such customer shall beinformed of the confidential nature of such information and shall be directed to treat the Confidential Material with strict confidence.
This comprises the full and complete understanding between the parties hereto with respect to the subject matter hereof and may not bechanged orally. This is governed by the laws of the State of New York. If any obligation of, or grant of rights by Recipient is found invalid orunenforceable pursuant to judicial decree or decision, any such provision, obligation or grant of rights shall be deemed and construed toextend only to the minimum extent permitted by law and the remainder of this shall remain valid and enforceable according to its terms.
Recipient understands and acknowledges that Berko & Associates makes no representation or warranty as to the accuracy or completeness ofthe Confidential Material. Berko & Associates shall not have any liability to Recipient or its customer(s) as a result of the use by Recipient orcustomer(s) of the Confidential Material.
Berko & Associates shall have no legal commitment or obligation to Recipient or its customer(s) regarding any possible transaction involvingthe Property unless and until a written agreement on terms and conditions acceptable to Berko & Associates has been fully executed anddelivered by Berko & Associates.
Recipient understands and shall fully explain to its customer(s) that any discussions with respect to any possible transaction involving theProperty are subject to change of price, prior sale, financing, withdrawal or termination without notice.
Recipient understands and agrees that as a result of the unique nature of the Confidential Material that Berko & Associates will sufferirreparable harm in the event of a failure to comply with any of the obligations of this Agreement and that monetary damages alone will beinadequate to compensate for such breach. Accordingly, Recipient agrees that Berko & Associates will, in addition to any other remediesavailable to it in law or equity, be entitled to injunctive relief to enforce the terms of this Agreement without requirement of posting bond orother security.
Confidentiality Disclaimer
Asking Price: $3,250,000
Exclusive ListingFlatbush Vacant Mixed-Use Building
1428 Flatbush Avenue, Brooklyn, NY 11210
Summary
Berko & Associates is selectively marketing 1428 Flatbush Avenue inthe Flatbush neighborhood of Brooklyn, NY
The subject property is a 3-story mixed-use building consisting of 4residential units and two retail stores. The property will be deliveredcompletely vacant. The residential units contain two two-bedroomunits and two three-bedroom units. The property is built 5,851 SF on a3,000 SF lot.
Upside:The property will be delivered completely vacant, providing anincoming investor the opportunity to fully rent out all spaces at marketrate. The two-bedroom units can achieve $2,000 per month, three-bedroom units can achieve $2,350 and the retail units can achieve $50per square foot.
Location:The property is located on Flatbush Avenue, between Farragut andGlenwood Roads, just two blocks from the 2,5 train station. The asset islocated in a thriving Flatbush area, with great retail traffic alongFlatbush Avenue including the Flatbush Junction. It is in close proximityto Brooklyn College and the King’s Theatre.
Block & Lot: 5249-42 Lot SF: 30’ x 100’ (3,000 SF) FAR as Built: 1.95 Assessment: $51,642
Zoning: R7A-C2-4 Building SF: 30’ x 65’ (5,851 SF) Max FAR: 4.00 2016-17 Tax: $6,653
Flatbush Mixed-Use
Projected Financial Highlights
Flatbush Mixed-Use
Profit & Loss
Gross Residential Income $104,400
Gross Retail Income $97,500
Vacancy Factor 5% ($10,095)
Effective Operating Income $191,805
Estimated Annual Expenses
Real Estate Tax $6,653
Water & Sewer $4,500
Fuel Paid by Tenants
Electric $1,200
Insurance $4,388
Repairs & Maintenance $2,400
Payroll $3,600
Management 3% $5,754
Total Estimated Expenses $28,495
$163,310
5.02%
Net Operating Income
Cap Rate
Projected Rent Roll
Flatbush Mixed-Use
Retail Comps (Asking Prices)
Address SF Rent/Mo Rent/Yr Rent/SF Source
1860 Flatbush Avenue 7,000 $37,917 $455,000 $65.00 Loopnet
1650 Flatbush Avenue 1,457 $8,508 $102,092 $70.07 Loopnet
1300 Flatbush Avenue 1,300 $7,001 $84,006 $64.62 Loopnet
Average 3,252 $17,808 $213,699 $66.56
Unit Type SF Rent/Mo Rent/Yr Rent/SF LXP Status
Retail Store 975 $4,063 $48,750 $50.00 Vacant -
Retail Store 975 $4,063 $48,750 $50.00 Vacant -
2L 2-bed 750 $2,000 $24,000 $32.00 Vacant FM
2R 3-bed 750 $2,350 $28,200 $37.60 Vacant FM
3L 2-bed 750 $2,000 $24,000 $32.00 Vacant FM
3R 3-bed 750 $2,350 $28,200 $37.60 Vacant FM
Total 4950 $16,825 $201,900 $39.87
Rental Comps (Units in Walkup Buildings)
Flatbush Mixed-Use
Address Type Rent/Mo Rent/Yr Source
217 Martense Street 2-bed $2,000 $24,000 Streeteasy
1424 Flatbush Avenue 2-bed $2,000 $24,000 Streeteasy
327 Martense Street 2-bed $2,000 $24,000 Streeteasy
51 East 31st Street 3-bed $2,350 $28,200 Streeteasy
2537 Bedford Avenue 3-bed $2,350 $28,200 Streeteasy
1537 Nostrand Avenue 3-bed $2,400 $28,800 Streeteasy
Average 2-bed $2,000 $24,000
Average 3-bed $2,367 $28,400
Retail Map
Flatbush Mixed-Use
Location
Flatbush Mixed-Use
Flatbush Vacant Mixed-Use Building
1428 Flatbush Avenue
Brooklyn, NY 11210
Lenny Borshch
Office: 212-687-0777 x130
Cell: 917-907-3131