500 Dekalb Ave
Brooklyn, NY 11205
Office Property For Sale

As exclusive agent for ownership, Besen & Associates is pleased to present information regarding the rare opportunity to purchase and reposition an existing 56,112± SF office building located at 500 Dekalb Avenue (the “Property”) in “Bed-Stuy”, Brooklyn. The Property offers flexible repositioning options for an investor as the building is flexibly zoned R7A/C2-4 with a residential and community facility FAR’s of 3.45/4.6, respectively. The current tenant, New York City Human Resources Administration (NYCHRA), has a lease which expires 12/31/2018 with an extension expiring 3/31/2020. The large floor plates on the upper floors can be reconfigured for multi-tenant and the ground floor wrap-around linear frontage of 219 feet can be converted to retail. The corner Property also presents a unique user opportunity. INVESTMENT HIGHLIGHTS RENTAL UPSIDE New York City Human Resources Administration (NYCHRA), a long-term tenant at the Property since 1994, is planning to vacate the entire building. The in-place rent of $18.75 psf is substantially below market and the Property offers an opportunity to reposition the tenancy and capture the significant upside potential. USER OPPORTUNITY Located in one of the Brooklyn’s most upcoming submarkets, the building is in good physical condition and has been well maintained by long-term ownership. The Property presents a unique opportunity as the prospective user/purchaser could potentially occupy the building for its own use. Educational institutions, not-for-profit organizations and established corporations are excellent potential purchasers or users seeking to secure a permanent foothold in Brooklyn. EXISTING USE One clear strategy is to maintain the property as an office building and capture the higher rents being achieved today and anticipated moving forward. There may also be the potential to remeasure the rentable space in the building to reflect an industry standard 25% loss factor, which would significantly increase the rentable floor area and income accordingly. REPOSITIONING OPPORTUNITY Zoned R7A/C2-4, the building lends itself to a multitude of potential uses including: commercial with retail, inclusionary housing with retail, or residential with community facility and retail. The Property is ideally suited for street-level retail with 160 feet of frontage along DeKalb Avenue and upper floors which can accommodate single or multiple uses (community facility, office, residential). GENTRIFYING NEIGHBORHOOD Bedford-Stuyvesant, known as “Bed-Stuy”, is nestled between Clinton Hill and Bushwick, just south of ultra-hip Williamsburg. Bed-Stuy boasts a close-knit community of long-time residents and an influx of newcomers looking for more affordable rents in an area with a friendly neighborhood appeal. The neighborhood is filled with historic brownstones and Victorian architecture. Many storefronts are being converted to new restaurants, bars and cafes. The neighborhood's leafy side streets and classic brownstones have made it a favorite amid Brooklyn's ongoing resurgence attracting a diverse group of people including many young artists with the Pratt Institute so close by.