The recent acquisition of 60,000 square feet of retail space on Williamsburg’s waterfront signals that investors continue to show interest in the area’s burgeoning commercial real estate market. An investment firm out of Washington, D.C., acquired the retail condo, which is located at the foot of The Edge, a large condominium complex that towers over the East River.
Already in the retail space are a number of tenants, including a preschool, a drugstore, a gym, a liquor store and a bicycle shop. The purchasing firm, Madison Marquette, reportedly paid more than $40 million for the property.
Douglaston Development, the builder of The Edge, was also the seller, and the firm is currently in the midst of building a 40-story tower to be attached to the complex. The new tower is expected to have 575 rental units.
The first tower is a 30-story structure with 580 condos.
Madison Marquette’s acquisition signals that major institutional buyers are now in the market for Williamsburg properties, and buyers and owners in the area will undoubtedly take note.
Not far from The Edge, on the site of the old Domino Sugar refinery, Two Trees Management has plans of building a large mixed-use complex with retail, office and residential spaces.
With any such construction project or real estate transaction, parties on either side of a deal will need to take the necessary legal steps to institute protections. The more complex and sophisticated a real estate transaction, the greater will be the need for a legal team with a deep knowledge of the law and a dedication to detail.
Source: Crain’s New York Business, “D.C. firm buys retail of Billyburg complex,” Daniel Geiger, Jan. 6, 2014