Monday, August 15, 2011

Climbing the SRO Hurdle: 544 Pacific Street

The more you walk around Brooklyn in the neighborhoods surrounding the stadium, you get a sense of the "the calm before the storm". When that stadium tries to pack 20,000 people after work into what is already a 24/7 packed intersection, where the 3 main thoroughfares in Brooklyn all collide, we can't imagine the sight.

While many theories abound, the real repercussions of the stadium have yet to be figured out. To be sure, however, real estate agents & investors have certainly taken notice, and have started swooping-up otherwise-neglected properties at "something big is coming here soon" prices. That was probably the motivation for re-listing 544 Pacific Street. This tall, 18' x 45' stoopless brownstone is being advertised as "just blocks away from Atlantic Yards project." Which, it is. And it's a decent location otherwise. But the real hold up is the SRO status. The DOB still has 544 Pacific as an SRO, even though Property Shark will tell you it's "Over Six Families Without Stores". The listing will tell you:

"1 two bed apt & 11 room rooming house with 1 bathroom per fl., presently laid out as one two bedroom apt. with large backyard & 11 furnished rooms w/3 shared baths"

...a little repetitive, but you get the idea. We know 544 Pacific as an SRO listed for $1.15M a few years ago in semi-shabby shape. The rental numbers were pro-forma & the tenancy situation was gridlock, so it wasn't feasible. Supposedly it's "Newly Renovated" now and renting for $120K/year. If that's true, it should be selling for MUCH more than $1.299M - especially for this area. But that number sounds too familiar.

The location could go either way. While being close to 4th Avenue is hectic and this isn't a very residential-feeling block, the location is SO strategic it's hard to disparage. We're going to go ahead and generously call this listing Park Slope because that's what it's closest too. This isn't really Boerum Hill either, as it's classified on Zillow.

Pro's: lots of house at a seemingly-low price, close to Atlantic Terminal & the apex of great neighborhoods like Park Slope, Prospect Heights, and Fort Greene

Con's: not very residential block, close to Atlantic Terminal & the traffic and the stadium

Ideally: Depending on the tenancy here, there's LOTS of directions this property could go. Contact us for more info...

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