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
City Planning Commissioner Chair Marisa Lago (Getty, Dept. of City Planning)
Gowanus rezoning gets green light
Gowanus rezoning gets green light
Judge Katherine Levine (Getty)
Gowanus rezoning may move forward as soon as Monday
Gowanus rezoning may move forward as soon as Monday
Judge Katherine Levine and Mayor Bill de Blasio (Levine via Facebook; Getty)
De Blasio admin at crossroads with Gowanus rezoning suit
De Blasio admin at crossroads with Gowanus rezoning suit
City attorneys say an executive order signed by Mayor Bill de Blasio should spell the end of a lawsuit holding up the Gowanus rezoning (Getty/Illustration by Kevin Rebong for The Real Deal)
De Blasio wades into Gowanus rezoning, seeks dismissal of lawsuit
De Blasio wades into Gowanus rezoning, seeks dismissal of lawsuit
Rendering of 300 Huntington Street (Monadnock Development, iStock)
No parking? No problem for Monadnock project in Gowanus
No parking? No problem for Monadnock project in Gowanus
Judge Katherine Levine and Gowanus (Getty, iStock/Illustration by Alexis Manrodt for The Real Deal)
Gowanus rezoning inches ahead
Gowanus rezoning inches ahead
 Judge Katherine Levine (Levine via Facebook; Getty)
Judge partially lifts restraining order on Gowanus rezoning application
Judge partially lifts restraining order on Gowanus rezoning application
Director of the New York City Department of City Planning and Chair of the City Planning Commission Marisa Lago. (NYC gov, Getty)
Gowanus rezoning on hold — for now
Gowanus rezoning on hold — for now
arrow_forward_ios

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

Loading...