Low-Rise Strip of Delancey Stores for Sale

Posted on: September 27th, 2012 at 6:09 am by

As the mammoth Seward Park Urban Renewal Area (“SPURA”) walks baby steps toward eventual development, the carpet-baggers are already in tow, waiting to capitalize on the imminent gold rush. Seemingly a first, Massey Knakal nonchalantly drops this nugget of a selling point into its newest listing for the one-story strip of 156-164 Delancey Street.

It might be time to start thinking of burial grounds for this old-school storefront, still a tight enclave of neighborhood mom-and-pops now in the shadow of a Sam Chang Holiday Inn. Brokers are pushing the parcel as a “strong development opportunity” due to its upside potential in commercial rents (i.e. future rent hikes) and the 11,990 square-feet of developable air rights there for the taking. Asking price seems like a steal at $3.95 million.

The property experiences 109 feet of frontage in a high traffic location directly adjacent to the Manhattan entrance of the Williamsburg Bridge. The building is currently configured with 6 commercial units, 5 of which are occupied. The building receives additional income from billboard advertising on the roof. The 5 tenants have leases expiring between 2016 to 2021.

With a projection on the one vacant store, the fross annual income is $300,723. The expenses are estimated to be $89,631. The NOI (fully rented) is $202,071 per year. The majority of the stores have good upside potential in rent. The Seward Park Urban Renewal Area coupled with the building’s approximately 11,990 square feet of air rights presents 156-164 Delancey Street as a strong development opportunity.

The low-rise nature of the Lower East Side is on its way out, as those air rights are just too valuable these days.

Recent Stories

orchard-hell-retail
Orchard Hell Building Retail Units Sell For $21M

Ever since the branded sidewalk bridge arrived in October, the commercial retail in the base of the 23-story Orchard Hell Building has been dormant. Cushman & Wakefield is still pimping the properties – separate from the Hotel Indigo upstairs – for possible flagship usage. But now, a wrinkle in the story… The Real Deal reported […]

farmhouse-ludlow
‘Farmhouse Restaurant’ Replaces Sebastian LC on Ludlow Street

Our suspicions about the Sebastian LC closure late last year were at least partially confirmed this week. Yes, the corner restaurant is back open, but not with the same moniker. Management is forsaking the French fare for the more generic American style cuisine. Farmhouse Restaurant announced itself a couple days ago with a new sign […]

whynot-orchard
Whynot Cafe on Orchard Street Fails, Looks to Become ‘Sushi Wa’

Whynot, because it couldn’t. Whynot Cafe failed to gain traction due in large part to its inability to secure a full liquor license. Their two bids met stiff resistance from the community including the LES Dwellers. And now it’s on last legs. Rumblings of its closure had circulated for the last week, but their PR […]

goa-taco-extension
Goa-Taco Extends Its Residency on Delancey Another Month; Scouting Permanent Location

Fans of Goa-Taco on Delancey Street will be happy to hear this. The tiny lunch counter alongside Grey Lady just reupped its tenancy for an additional month, and will continue to serve Paratha tacos here through the end of March. “The response has been really positive with us being in the area,” owner Duvaldi Marneweck […]

essex-market-demolition-1
Plywood Fence Arrives at Essex Market Buildings for Demolition Ahead of Essex Crossing

It begins… The first plywood fence of the Essex Crossing mega-project just arrived, with the rear parking lot of 115 Delancey Street now cordoned off. Demolition of the one-story warehouse building is slated to commence early next week – likely Monday – and kick off more than a decade of dust and (additional) noise in […]