Commercial Klutch: February Edition

Here’s the latest missive from the Deep Throat of the Brooklyn commercial real estate world… Hot corner catching fire in a good way. Major intersection of Fulton & Flatbush & Nevins is hopping, with 395 Flatbush Extension/Verizon leasing up its spaces, the new Five Guys in place and now the rumored coming of a lovely TD Bank branch to tawdry 4 Flatbush (pictured). Across Nevins, 30 Flatbush/Con Ed’s big retail corner is under construction, with an unknown tenant pending. Area leaders have long worked to improve the look of Flatbush Avenue and Adams Street – the two Brooklyn entry corridors from the bridges to DTB – with capital projects, an effort which is bearing fruit as above and at 345 Adams at Willoughby and the adjacent famous burger and shake place.

Retail madness has returned, with multiple offers on prime spaces in DTB and nearby ‘hoods. Taking prices are reaching 2007 numbers, and competition is intense. With Manhattan carpetbaggers like MOSCOT, the fancy optical on Court Street in Cobble Hill, multiple restaurants seeking spaces and local growth like the reloc of real estate big Elliman taking the old Chinese take-out space at Court and Degraw, we are in a new phase. Down in Dumbo, Two Trees has done six leases this winter and demand for spaces under 2000 sf far exceeds the limited supply.

Loft work spaces seeing price increases as well, both in Gowanus and Sunset Park. The new building in Dumbo/Vinegar hill – 231 Front – is asking as much or more than prime buildings between the Bridges. Restoration Plaza, the full block community asset at Fulton & New York Avenue, is ramping up its office leasing, hiring CBRE and marketing large spaces professionally. Close to completing its major plaza rebuild as well.