Brooklyn developer Alfred B. Thompson is selling two of his legacy properties in Brooklyn.
Thompson’s New Start Development has retained Alpha Realty to market the mixed-use apartment buildings with a $46 million asking price.
“The seller built these properties and continues to believe in New York real estate. However, he is looking to reposition his portfolio,” said Lev Mavashev, the principal of Alpha Realty who is leading the marketing effort.
The properties are 792 Sterling Place in Crown Heights and 1079 Fulton Street in Clinton Hill (pictured top). The pair is being offered as package for $46 million, but can be sold individually, said Mavashev. Both assets are priced above a five percent cap rate.
792 Sterling Place, built in 2009, consists of 82 apartments and is 61,550 SFs/f. The elevator building has 58 parking spots, a laundry room and fitness room. The property is fully rent stabilized with a 421a tax abatement in place through 2034.
1079 Fulton Street is a seven-story elevator building with 30 apartments across 26,000 s/f. Built by Thompson in 2005, the property is currently fully occupied on a master lease by a non-profit organization that has been operating from the location since 2006. The lease is expiring in September 2021 when the property can be delivered vacant.
“The properties offer tremendous opportunity for the right investor,” said Mavashev, noting that the 421a tax abatement on the Fulton Street property has expired and all of the apartments will revert to free market status.
He added, “792 Sterling is located in a prime neighborhood, just a short walk away from Prospect Park and the Brooklyn Botanical Garden, with strong rental demand.”