Real Estate Weekly | December 5, 2018
GFI Realty Services announced the $26.7 million sale of a two-building, multifamily portfolio in Prospect Park South.
Located at 111 Woodruff Avenue and 11 Crooke Avenue, the portfolio features a mix of 89 studio, one-, two- and three-bedroom apartments.
A GFI team headed by senior director Erik Yankelovich represented both the buyer, Greenroad Capital, and the seller.
In addition to the 89 residential units, nearly 20 percent of which are vacant, the portfolio features 30 parking spots and 20,000 s/f of air rights. The buyer intends to implement significant capital improvements in the vacant units before leasing them out.
“The property had been in the seller’s family for about 40 years, and by timing the market perfectly and finding a strong buyer, we were able to help him close this incredible deal,” said Yankelovich.
“With the recent revitalization of this section of Brooklyn, we had numerous discussions with the seller about selling the property over the last 10-plus years. By waiting out the market and creating a substantial amount of vacancy, he was able to increase the upside of these assets and enable us to arrange this transaction with a very strong in-place cap rate of approximately four percent.”
The properties are located within two blocks of each other, and are both within a two-minute walk of Prospect Park.
“At 89 residential units, this is one of the larger portfolios to come to market in Prospect Park South in recent years, and that enabled us to generate a number of very strong bids for the seller,” said Yankelovich.