Real Estate Weekly excerpt
Acadia Realty Trust is nearing completion of a $3.7 million capital
improvements campaign at five properties the firm acquired in Sheepshead
Bay, Brooklyn in 2012 for $18.5 million.
The properties — located at 3780-3858 Nostrand Avenue — total more than 70,500 s/f and feature both office and retail space.
Acadia renovated the façade, storefronts, vacant office suites,
lobbies, elevators and bathrooms, and installed new signage. Additional
improvements are underway to re-open the below grade garage to better
service tenants and customers.
“The Sheepshead Bay retail and office market — especially in the
Nostrand Avenue area — has been under the radar for some time, but has
recently piqued the interest of potential tenants thanks to responsible
redevelopment and better management,ˮ said Chris Conlon, executive
vice-president and chief operating officer of Acadia Realty Trust.
“The Nostrand Avenue Portfolio presented us with an opportunity to
bring a unique product to the Brooklyn market, one not comparable to any
properties in the region.ˮ
According to Conlon, the neighborhood was hit hard by Hurricane
Sandy, but has “bounced back” in such a way that “Nostrand Avenue is
becoming one of the premier retail corridors, generating interest from
local companies and national retailers.”
The Nostrand Avenue Portfolio currently has 11 office and retail spaces available, ranging from 724 to 5,670 s/f.
Acadia Realty Trust’s Brian Bacharach is the project manager overseeing
the capital improvements campaign at the Nostrand Avenue portfolio and
Trent Dickey, also in-house at Acadia, is overseeing the leasing and
marketing efforts for the portfolio’s retail spaces.
Current retail asking rents are approximately $40 psf. Recent leases
include a local dance studio and two lease renewals — a nail salon and
physical therapist. Additionally, the Acadia team has three leases out
to national tenants.