NEW YORK CITY—Serving as a harbinger of things to come, a new construction rental property in the Bushwick section of Brooklyn has sold for $58 million. The property, known as Colony 1209, is a five-story, Class A, mid-rise rental building that consists of 127 luxury rental units and 64 parking spaces. GlobeSt.com was unable to obtain the identities of the buyer or the broker(s) in the sale.
The seller was Read Property Group, according to Crain's New York Business. Two years ago, the firm bought the then undeveloped site in a foreclosure auction. The previous owner had fallen into financial difficulty only after it had won necessary approvals for a plan to build condos at the site. Read Property made the apartments rental units and went ahead with the existing blueprints.
Property records show Read spent $6 million on a deed and $21 million on a mortgage in 2012, and construction was completed late last year. Read flipped the property before a single unit was leased, Crain's reports.
Located between Bushwick and Evergreen avenues, the residential building is just a few blocks from the Bushwick Collective on Jefferson street, Wyckoff avenue and Troutman street, an area known for its murals and graffiti art created by local artists.
The area is gaining popularity, which could prompt a number of sales to be transacted in the near future, David Maundrell, founder and president of aptsandlofts.com—who is marketing the property—tells GlobeSt.com.
“Bushwick is actually a very large neighborhood that has begun to transform into one of the most desired NYC areas which to live for the young, creative, hip and trendy set,” he says. “The steady improvement of the L train and the more recent upgrades and changes to the routes of the J and M subway lines have made Bushwick very convenient to Manhattan. Plus, the amount of art gallery openings, nightlife and entertainment destinations as well as top ranked restaurants and cafes opening is quite staggering. There doesn't seem to be any end to the new venues and business's now setting up shop in the neighborhood.
“We are consulting on over 2000 new apartments in the general area,” he continues, “so you will start to see more properties like Colony 1209 come to market in the next two years.”
Amenities at Colony 1209 include a landscaped interior courtyard, furnished common roof deck with outdoor chess set and Manhattan views, a lobby art gallery, resident gaming lounge and wet bar, screening room, communal work space and state-of-the-art fitness center. The building also features a doorman attended lobby, bike storage, laundry room, onsite parking and individual storage cages.
Rents for the units begin at $1,800 for a studio, $2,000 for a one-bedroom and $2,900 for a two-bedroom.
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Rayna Katz
Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.
