KEP Elizabeth, LLC
New York, New York
Edward Kalikow & Waterbridge Capital
Chase – $11,750,000
Acquisition of 3 adjacent multi-family buildings with a total of 30 units in the Little Italy section of Downtown Manhattan. Property is located on Elizabeth Street between Grand Street and Broome Street.
AD Real Estate buys Kalikow’s Nolita buildings for $26M
Kalikow and Waterbridge bought properties in 2011 for $12.6M
Multifamily investor AD Real Estate bought a trio of walk-ups in Nolita today for $26 million after making an aggressive offer to sellers Kalikow Group and its partner, Joel Schreiber’s Waterbridge Capital, which paid about half that price when they bought the buildings three years ago, The Real Deal has learned.
The Great Neck-based firm closed on the five-story buildings at 113-117 Elizabeth Street this afternoon in the off-market transaction.
“It is truly significant how fast this area is changing,” said Khashy Eyn, whose firm Platinum Properties was involved in the deal. “Nolita is rapidly edging south towards Little Italy.”
Platinum’s Cash Bernard referred AD Real Estate to Town Residential’s Joe Messina and Stephen Ferrara, who represented the buyer on the deal. Town broker Alex Heydt represented the seller.
Kalikow and Waterbridege bought the buildings, which hold 30 rental units, in 2011 for $12.6 million, marking Kalikow’s first New York City deal in about two decades. Greg Kalikow, a vice president at the firm, said the company increased the NOI on the rent roll about 30 to 35 percent over the past few years.
“Our original plan was to hold onto the asset for the cash flow,” he said. “However, [AD Real Estate] came in and made us an aggressive offer to the point where our investors and ourselves were comfortable divesting with the asset.”
Correction: An earlier version of this article incorrectly stated Platinum Properties broker Cash Bernard’s role in the deal. Bernard referred buyer AD Real Estate to Town Residential. He did not represent the buyer in the deal.
Kalikow Group returns to New York market
NEW YORK CITY – The Kalikow Group, a Long Island-based real estate developer and manager, has made its first Manhattan acquisition in almost 20 years. The firm and its joint venture partner Waterbridge Capital has closed on a 30-unit, three-building portfolio at 113-117 Elizabeth St. in Little Italy for $12.6 million, a deal that signals the company’s return to the New York market.
“Over the past 20 years, we made our mark and had our success outside of Manhattan because we believed that the real estate was being too aggressively bid up,” Greg Kalikow, vice president of Kalikow Group, tells GlobeSt.com. “Now is a good time for us to get back considering that product is so scarce.”
Kalikow has primarily focused on providing financing for developments in Southern markets such as North Carolina, Texas and Florida. “We used it as a vehicle to springboard into opportunities around the country and partner up with joint venture partners who had the real estate, but not the equity to put in,” he says. “We have provided over $100 million of equity for apartment developments, mixed-use developments and lot development for national home builders.”
But as the multifamily market continues to grow stronger throughout Lower Manhattan, the Kalikows are coming home. The JV plans to renovate the five-story buildings, improve the units and eventually bring the apartment rents to market value. “We see a lot of upside in doing so,” Kalikow says. “When you purchase real estate of this nature, you assess where you can increase revenue and provide TLC to the property.” He adds that each three-bedroom, 800-square-foot unit will receive kitchen and bathroom upgrades. “We believe there is tremendous room for that.”
Kalikow says the buildings will be an attractive alternative to pricier neighborhoods in downtown neighborhoods like TriBeCa and Battery Park City that may not be attainable for young urban professionals. “What you have is the younger generation in their 20s and 30s that want to live in a downtown area, but they don’t have the income or the means to live by themselves and pay $3,000 rent for a one-bedroom, or probably even more,” he says. “To split rent three ways and pay $1,300 a month, have a legitimate bedroom and use that as an opportunity to have that downtown Manhattan address, that is something they would be more enticed by.”
The apartments, located near the Grand St. subway station, will be managed by Kaled Management, the operations arm of Kalikow that manages more than 6,500 apartments in Manhattan, Brooklyn and Queens. On the transaction, Waterbridge which was represented internally by David Kessler, tied up the sale off-market and brought in Kalikow, which was represented internally by Aaron Siegel, as its partner.
Kalikow, Waterbridge, Acquire Little Italy Multifamily
By Jacqueline Hlavenka
NEW YORK CITY – The Kalikow Group, a Long Island-based real estate developer and manager, has made its first Manhattan acquisition in almost 20 years. The firm and its joint venture partner Waterbridge Capital has closed on a 30-unit, three-building portfolio at 113-117 Elizabeth St. in Little Italy for $12.6 million, a deal that signals the company’s return to the New York market.
“Over the past 20 years, we made our mark and had our success outside of Manhattan because we believed that the real estate was being too aggressively bid up,” Greg Kalikow, vice president of Kalikow Group, tells GlobeSt.com. “Now is a good time for us to get back considering that product is so scarce.”
Kalikow has primarily focused on providing financing for developments in Southern markets such as North Carolina, Texas and Florida. “We used it as a vehicle to springboard into opportunities around the country and partner up with joint venture partners who had the real estate, but not the equity to put in,” he says. “We have provided over $100 million of equity for apartment developments, mixed-use developments and lot development for national home builders.”
But as the multifamily market continues to grow stronger throughout Lower Manhattan, the Kalikows are coming home. The JV plans to renovate the five-story buildings, improve the units and eventually bring the apartment rents to market value. “We see a lot of upside in doing so,” Kalikow says. “When you purchase real estate of this nature, you assess where you can increase revenue and provide TLC to the property.” He adds that each three-bedroom, 800-square-foot unit will receive kitchen and bathroom upgrades. “We believe there is tremendous room for that.”
Kalikow says the buildings will be an attractive alternative to pricier neighborhoods in downtown neighborhoods like TriBeCa and Battery Park City that may not be attainable for young urban professionals. “What you have is the younger generation in their 20s and 30s that want to live in a downtown area, but they don’t have the income or the means to live by themselves and pay $3,000 rent for a one-bedroom, or probably even more,” he says. “To split rent three ways and pay $1,300 a month, have a legitimate bedroom and use that as an opportunity to have that downtown Manhattan address, that is something they would be more enticed by.”
The apartments, located near the Grand St. subway station, will be managed by Kaled Management, the operations arm of Kalikow that manages more than 6,500 apartments in Manhattan, Brooklyn and Queens. On the transaction, Waterbridge which was represented internally by David Kessler, tied up the sale off-market and brought in Kalikow, which was represented internally by Aaron Siegel, as its partner.
Little Italy Multifamily Properties Acquired for $12.6M
The Kalikow Group and its joint venture partner Waterbridge Capital have closed on 30 units in three adjoining five-story buildings located at 113-117 Elizabeth Street for $12.6 million.
The deal marks Kalikow’s first acquisition in New York City in 20 years.
Located in the Little Italy section of Manhattan, the property is near public transportation and consists of 800-square-foot, three-bedroom units. Rents at the property are currently below the fair market value, according to the buyer.
Waterbridge, which was represented internally by David Kessler, tied up the sale off-market and brought in Kalikow, which was represented internally by Aaron Siegel, as its partner.
The property will be managed by Kaled Management, the operations arm of The Kalikow Group that manages more than 6,500 apartments in the New York metropolitan area.
