601 Ocean Parkway

Massey Knakal Realty Services has been retained on an exclusive basis to arrange for the sale of 601 Ocean Parkway, a newly constructed elevator apartment building located in Midwood on one of Brooklyn’s major corridors. The building, known as The Caroline, was designed by the celebrated Karl Fischer and was completed in 2008. While the building is currently operating as a rental, it is a legal condominium building with each unit having a separate tax lot. Therefore, the units could eventually be sold as condominiums. 601 Ocean Parkway totals approximately 45,120 gross square feet and contains 44 units spread across eight floors. The unit mix consists of one (1) studio, thirteen (13) one-bedrooms, twenty-one (21) one-bedrooms with offices, and nine (9) two-bedrooms. The large, light-filled units contain exquisite condo finishes such as stainless steel appliances, built-in speakers, ample closets, and hardwood floors. Additionally, many units feature private balconies or terraces. The building features an abundance of common space, including a lounge with a film screening area, pool table, and kitchenette/bar and a communal outdoor terrace with a grill, dining area, and lounge chairs. Other features include a gym with professional quality cardio equipment, televisions, and full bathrooms, as well as a laundry facility. Additionally, the building contains a parking garage with 14 spaces, which provides additional revenue. The building currently benefits from a 15 year 421a tax abatement, which expires in June of 2025. As a result, during the life of the abatement, all units are subject to rent regulation guidelines. Additionally, potential purchasers have the option to assume the loan of $10.8 million at a fixed 3.25% for the next four years. The financing then resets for years 6-10 and is non-recourse with a thirty year amortization. This optional financing is assumable at a below market rate and the debt level offers upfront leverage for potential purchasers. 601 Ocean Parkway is located in Midwood, a Brooklyn neighborhood highly sought-after for its simultaneous blend of residential tranquility and close proximity to numerous shops and restaurants. The property benefits from tremendous light and air due to its location on Ocean Parkway, a wide boulevard with a walking/biking path on either side. Additionally, the property is easily accessible from all corners of New York City through the bus system or the B & Q lines at Newkirk Avenue and the F line at either the Ditmas Avenue or 18th Avenue stations, all of which are just a short walk away. This offering presents an excellent opportunity for an investor to purchase a high-quality, newly-constructed asset with robust in-place cash flow and the potential to increase revenue.