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Warehouse

311 Scholes Street

311 Scholes Street, Brooklyn, NY 11206

Listing Price: $5,000,000

Cap Rate
5.33%
Gross SF
7,475
Price/Gross SF
$668.90
Lot Size
0.17 acres
Year Built
1920
Rentable SF
7,475

Investment Overview

Marcus & Millichap has been retained on an exclusive basis to arrange the sale of 311 Scholes Street, a warehouse building located between Bogart & Waterbury Street in the Williamsburg neighborhood of Brooklyn, NY. It is built 75 ft x 100 ft on a 75 ft x 99.67 ft, M1-1 zoned lot. The building features one 10 ft x 12 ft garage door and a 15 ft ceiling height. It is fully leased through 2028 with 4% rent escalations annually. The subject property is strategically located within a 6-minute walk from the Montrose Avenue subway station, serviced by the L line. It is also within a 14-minute drive to the BQE, providing for ease of access to Manhattan, Queens, and throughout Brooklyn. Investors have the unique opportunity to purchase a cash flowing warehouse in the rapidly developing Williamsburg neighborhood where commercial rents remain strong.

Investment Highlights

  • Healthy Heart Foods Inc. is a rapidly growing local Catering business with revenues projected to exceed $10M
  • Tenant has just signed a 7 year renewal after an original 5 year term
  • 4% year over year rent increases offer strong inflation hedge
  • NN Lease with no landlord responsibilities except external roof and structural repairs
  • Lease subject to corporate and personal guarantees by the tenant and its principals
  • Tenant has been operating at the location since 2011 and expanded to next door for an additional 6,500 sq ft in 2021 (height of the pandemic)
  • Tenant pays all real estate taxes and benefits from a CEP tax abatement reducing their tax burden by approximately 50%
  • Tenant has made significant capital improvements to the space, including the addition of state of the art cold storage facilities

Exclusively Listed By

Warehouse

311 Scholes Street

Listing Price: $5,000,000

Cap Rate
5.33%
Gross SF
7,475
Price/Gross SF
$668.90
Lot Size
0.17 acres
Year Built
1920
Rentable SF
7,475

Investment Highlights

  • Healthy Heart Foods Inc. is a rapidly growing local Catering business with revenues projected to exceed $10M
  • Tenant has just signed a 7 year renewal after an original 5 year term
  • 4% year over year rent increases offer strong inflation hedge
  • NN Lease with no landlord responsibilities except external roof and structural repairs
  • Lease subject to corporate and personal guarantees by the tenant and its principals
  • Tenant has been operating at the location since 2011 and expanded to next door for an additional 6,500 sq ft in 2021 (height of the pandemic)
  • Tenant pays all real estate taxes and benefits from a CEP tax abatement reducing their tax burden by approximately 50%
  • Tenant has made significant capital improvements to the space, including the addition of state of the art cold storage facilities

Investment Overview

Marcus & Millichap has been retained on an exclusive basis to arrange the sale of 311 Scholes Street, a warehouse building located between Bogart & Waterbury Street in the Williamsburg neighborhood of Brooklyn, NY. It is built 75 ft x 100 ft on a 75 ft x 99.67 ft, M1-1 zoned lot. The building features one 10 ft x 12 ft garage door and a 15 ft ceiling height. It is fully leased through 2028 with 4% rent escalations annually. The subject property is strategically located within a 6-minute walk from the Montrose Avenue subway station, serviced by the L line. It is also within a 14-minute drive to the BQE, providing for ease of access to Manhattan, Queens, and throughout Brooklyn. Investors have the unique opportunity to purchase a cash flowing warehouse in the rapidly developing Williamsburg neighborhood where commercial rents remain strong.

Exclusively Listed By

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