A&E Real Estate Buys Two Queens Mixed-Use Properties for $59M
Trust in apartment buildings is growing in the outskirts.
A&E Real Estate bought two mixed-use buildings in Jackson Heights this week for $ 58.75 million, about 11 percent below the asking price of $ 66.5 million, a spokesman for Marcus NY Multifamily Group said & Millichap who brokered the deal.
The sale suggests investors’ interest in a discounted multi-family market and confidence in the neighborhoods outside of Manhattan, said a source familiar with the matter.
The Queens, Georgian Hall and Ravenna Court buildings at 35-64 84th Street and 80-01 37th Avenue, respectively, have been family-owned since their development nearly a century ago and are administered by the Joseph Bruno Trust.
Together, the properties have 198 apartments and 23 commercial units. According to the Rent Guidelines Board, Georgian Hall contains rent-stabilized units.
Queens has fewer apartment buildings than the other boroughs, and properties are typically owned by multigenerational owners. As a result, prices have remained competitive with the rest of the city in the past.
The Jackson Heights portfolio discount reflects ongoing pandemic prices, said a source familiar with the deal.
Multi-family investments in the second quarter showed a recovering market, with activity extending into the boroughs beyond Manhattan. Highlights included a 15-building Bronx portfolio that changed hands in June for $ 122 million.
This week, Phoenix Realty Group, a New York-based multi-family investor, acquired an eight-building apartment complex in the South Bronx for $ 91 million, a quarter more than seller Spencer Equity paid in 2016.
Contact Suzannah Cavanaugh