1641 York Ave 7 Unit Apartment Building $5,500,000 ($785,714/Unit) 5.70% Cap Rate New York, NY 10028

THE OFFERING
The New York Multifamily team at Marcus & Millichap is pleased to exclusively offer for sale 1641 York Avenue, located in the Yorkville neighborhood of the Upper East Side. Located on the West side of York Avenue between East 87th Street and East 86th Street, 7-unit mixed-use property is comprised of approximately 6,250 square feet. This property sits on a 20’ x 75’ lot (Block: 1566 and Lot: 126) and is built 20’ x 75’. The property is zoned R10A & C1-5.

THE OPPORTUNITY

• Building Overview: This 5-story mixed-use building features 20 feet of avenue frontage on York Avenue and contains 6 residential apartments and one ground-floor retail unit. The unit mix consists of 2 one-bedroom apartments, 2 two-bedroom apartments, and 2 three-bedroom apartments. The retail is currently occupied by Bagel Bob’s, a neighborhood staple.

• Strong In-Place Retail: Bagel Bob’s occupies the ground floor retail space. Their lease started in October of 2015 and is set to expire in September of 2029. Additionally, their legal rent is $17,294 per month, but ownership has since discounted this due to COVID, allowing them to pay $15,200 per month. Per their lease, they have a real estate tax reimbursement obligation that requires them to pay 40% of the tax increases over the 2014/2015 base year, which has since been paused in the wake of COVID. They are currently paying their own utility usage, helping minimize operating costs for ownership.
100% Free Market with Rent Growth: All six residential units are Free Market, giving potential buyers future flexibility with an ability to reposition as they see fit. Due to the free market status of all apartments, a buyer can feel comfortable knowing that they do not need take on burdensome management of rent regulated apartments or are exposed to regulatory risk. With average rents below market, there is an immediate opportunity for any potential purchaser to upgrade and renovate all apartments to unlock significant rent growth.

• Tax Class Protected: 1641 York Avenue falls under the highly coveted protected tax class: 2B. By law, taxes cannot increase more than 8% year-over-year or 30% over any given 5-year period. This acts as a great hedge against future rising taxes.

• Desirable Location: 1641 York Avenue sits just steps from the serene East River Esplanade, offering scenic waterfront walks and bike paths. The neighborhood blends quiet residential charm with easy access to some of Manhattan’s most beloved attractions, including Carl Schurz Park and the world-renowned Museum Mile along Fifth Avenue. Nearby, residents can enjoy acclaimed dining options such as Jones Wood Foundry, Uva, and J.G. Melon, alongside cozy cafés and upscale boutiques. Convenient transportation options include the Q train at 86th Street and multiple bus routes along York and First Avenues, ensuring seamless connectivity to the rest of the city.