Whole Foods arrival bolsters rising rents in Gowanus

New York /
Dec.December 05, 2013 02:45 PM

The industrial neighborhood lining the notoriously noxious Gowanus Canal is well on its way to becoming the next Dumbo — an ascension hurried along by the arrival of Whole Foods.

As interest from tenants and property buyers surges, rents are on the rise and posh new commercial outfits such as the Pines restaurant at 284 Third Avenue, which serves a $32 venison sirloin, are setting up shop.

“I’m getting calls from tenants moving out of Dumbo due to $50 per-square-foot rents,” Bob Klein, a broker with Brooklyn-based commercial brokerage Kalmon Dolgin Affiliates, told the Brooklyn Eagle.

Not that the nabe isn’t well on its way to catching up. Commercial space in Gowanus was as cheap as $6 per square foot only 15 years ago, Klein said, and is now in the low $20s for “creative tenants” and as much as $35 per square foot for retail spaces.

Mukeshkumar Patel, Whose Globiwest Firm Operates Hotel Le Bleu On Fourth Avenue, purchased a site that is currently home to little more than weeds at 399 Third Avenue for $1.95 million last year and plans to erect a six-story, 58-room hotel on the site. An LLC associated with Gorilla Coffee shelled out $1.15 million for a building at 498 President Street last year. In comparison, the soon-to-be site of a four-unit residential building at 465 Carroll Street was purchased by the Franzese Group for $700,000 in 2008, according to city records cited by the Brooklyn Eagle. [Brooklyn Eagle]Julie Strickland


Related Articles

arrow_forward_ios
 356 Fulton Street in Brooklyn and Feil Organization CEO Jeffrey Feil (Google Maps)
Biggest project filings: Developers propose 1,500 apartments in Gowanus
Biggest project filings: Developers propose 1,500 apartments in Gowanus
Interactive Map of Projects Planned Under Gowanus Rezoning
Here they come: Map shows projects planned in rezoned Gowanus
Here they come: Map shows projects planned in rezoned Gowanus
City Council greenlights Gowanus, Blood Center rezonings
City Council greenlights Gowanus, Blood Center rezonings
City Council greenlights Gowanus, Blood Center rezonings
From left: Council member Brad Lander, Mayor Bill de Blasio and Council member Stephen Levin (Getty)
Gowanus rezoning agreement paves way for 8K new homes
Gowanus rezoning agreement paves way for 8K new homes
$5.5M condo with massive great room tops Brooklyn luxury contracts
$5.5M condo with massive great room tops Brooklyn luxury contracts
$5.5M condo with massive great room tops Brooklyn luxury contracts
374 Fourth Ave in Gowanus, Brooklyn (Google Maps, iStock)
Quinlan plans 197-unit project for Gowanus
Quinlan plans 197-unit project for Gowanus
A sketch of the proposed view from North 3rd Street and the current view (New York City Planning, Google Maps)
City Planning gives Gowanus rezoning the go-ahead
City Planning gives Gowanus rezoning the go-ahead
(Illustration by Kevin Rebong for The Real Deal/Photos via City Council, iStock, Getty)
Racial impact study sees Gowanus rezoning reducing segregation
Racial impact study sees Gowanus rezoning reducing segregation
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...