Nevins Realty sold the property for $143 per buildable sf to the same company who is currently building a 300-room hotel in Times Square and another hotel near JFK airport, simply because "the price was right," the source notes. This will be the developer's first presence in Brooklyn.
The property is located in Downtown Brooklyn on Schermerhorn between Nevins and Bond Streets, in close proximity to the transportation hub Atlantic Terminal and several colleges including Long Island University and Brooklyn Law School. The as-of-right buildable square footage is approximately 83,000 sf.
Tyler Hospitality is headed by Krishna Mehta and his son, Sanjeev Mehta, the source explains. The company was attracted to the site mainly because of the location. Although the source was unsure of the cost of construction, they did note that the hotel is expected to include a restaurant, lounge, parking, meeting rooms and other amenities such as a swimming pool and fitness center.
The Holiday Inn is being designed by Gene Kaufman of Gene Kaufman Architects. "As of now, there are very few existing hotels in Brooklyn," notes Massey Knakal managing director Brian Leary, who exclusively represented the seller. "Currently, there are approximately 1,250 existing hotel rooms in Brooklyn."
Leary adds that the Downtown Brooklyn Partnership has published statistics reflecting a total of approximately 3,000 rooms to come online in the next five years. "Existing hotel studies in the borough reflect low vacancy levels," he explains. "This, coupled with the increase in residential, office and retail development in the borough, has given confidence to hotel developers that the market can absorb many more rooms." Massey Knakal Realty Services was the sole broker in this transaction.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
