172 E 112th St, New York, NY 10029

Property Description

20-Unit Mixed-Use Investment OpportunityAsking Price: $3,240,000 Current Actual NOI: $252,229.96 Current Cap Rate: 7.78% Pro Forma NOI: $282,229.96 Pro Forma Cap Rate: 8.71% Price Per Unit: $162,000PROPERTY COMPOSITIONResidential: 18 Rent-Stabilized ApartmentsOccupied Residential: 17 Apartments Currently Vacant Residential: 1 Apartment - 2DCommercial: 2 Ground-Floor Retail StoresTotal Units: 20PROPERTY DESCRIPTIONDouglas Elliman has been retained on an exclusive basis to arrange the sale of 172 East 112th Street, a 20-unit mixed use investment property located in East Harlem, Manhattan. The property consists of 18 rent-stabilized residential apartments and two ground-floor retail stores. Seventeen residential apartments are currently occupied, while Apartment 2D is currently vacant. Apartment 2D is currently undergoing renovation, with ownership anticipating completion in approximately one month and projecting a rent of approximately $2,500 per month upon completion. Both ground-floor commercial spaces are fully occupied under long-term leases, providing an established commercial income stream. At the asking price of $3,240,000, the property offers a 7.78% capitalization rate based on current actual NOI of$252,229.96, with no income attributed to the currently vacant Apartment 2D.INVESTMENT HIGHLIGHTS7.78% CAP RATE ON CURRENT ACTUAL INCOMEThe property generates approximately $430,450 in current annual gross operating revenue and $252,230 incurrent NOI, providing a 7.78% capitalization rate at the asking price. The current NOI includes $0 income from Apartment 2D, providing additional potential upside. ONE CURRENTLY VACANT APARTMENT PROVIDES ADDITIONAL UPSIDE Apartment 2D is currently undergoing renovation, with ownership projecting a rent of approximately $2,500 per month upon completion. Based on ownership's projected rents, the property has a pro forma NOI of approximately $282,230, representing an 8.71% pro forma capitalization rate at the asking price. LONG-TERM COMMERCIAL INCOME Unit 1C - West Store: $2,800/month through July 6, 2031. Ownership's rent roll indicates an increase of $70 per month each year. Unit 1D - East Store: $1,800/month through December 30, 2041.FINANCIAL SUMMARYCurrent Actual Gross Operating Revenue: $430,449.96Operating Expenses: $178,220.00Current Actual NOI: $252,229.96Current Cap Rate: 7.78%Pro Forma Gross Operating Revenue: $460,449.96Operating Expenses: $178,220.00Pro Forma NOI: $282,229.96Pro Forma Cap Rate: 8.71%Pro Forma Assumptions Apartment 2D: $2,500/month projected Total Additional Projected Income: $30,000/yearYEARLY OPERATING EXPENSESReal Estate Taxes: $83,485.00Insurance: $17,207.00Con Edison - Gas, Heat & Electricity: $28,260.00Water: $27,752.00Superintendent: $13,800.00Exterminator: $1,716.00Repairs & Maintenance: $6,000.00TOTAL OPERATING EXPENSES: $178,220.0