Brooklyn, NY – The Domain Companies has purchased 553 Sackett Street in Gowanus, Brooklyn, an 8,500sf property acquired for $5.8M from ATS Realty, Inc. Along with Domain’s acquisition of 545 Sackett Street and 420 Carroll Street, the sites represent three of the few sizable redevelopment parcels in Gowanus to sell in recent years.
Located in between Nevins Street and 3rd Avenue, the property is currently zoned M1-2, and is set to be rezoned to allow for a mixed-use, multifamily property with 100ft of Sackett Street frontage. All three sites are part of the area covered by the “Bridging Gowanus” community planning and land use initiative, a strategy led by local Councilmember Brad Lander to jumpstart the residential rezoning process. In June 2018, the Department of City Planning released “Gowanus: A Framework for a Sustainable, Inclusive Mixed-Use Neighborhood,” the next step in the rezoning effort outlining goals and strategies for moving forward.
“We’re thrilled to grow alongside Gowanus and contribute to its dynamic, dedicated community,” says Matt Schwartz, The Domain Companies co-CEO. “We take pride in creating mixed-use projects that further strengthen and support the surrounding neighborhood, and we know we can do that in Gowanus.”
Domain has worked in several rezoned neighborhoods throughout New York and has developed a successful track record in creating affordable housing and remediating brownfield sites. Most recently, Domain developed Eleven33 in Greenpoint, Brooklyn, which announced $68M in refinancing in January 2018. The LEED Gold-certified, mixed-income development participated in the New York State Brownfield Cleanup Program and received the 2015 Big Apple Brownfield Award for Green Building.
Financing for the acquisitions was provided by Fundamental Advisors LP and arranged by Christopher Peck and Peter Rotchford at HFF.
“We are excited to expand upon our community redevelopment initiatives as well as our partnership with a first-class developer like The Domain Companies,” says Laurence Gottlieb, Fundamental Advisors LP chairman and CEO. “Our continued efforts to revitalize and enhance the Gowanus community are a source of pride for Fundamental.”
The Gowanus area has been increasingly drawing a considerable amount of retail and entertainment attention. Whole Foods’ 52,000sf supermarket opened in the spring of 2013 and is one of the most active Whole Foods in the country. Much of Gowanus is currently zoned for commercial use only, which has helped spur creative repositioning of former warehouse and manufacturing buildings. The best-known examples are Dinosaur BBQ, Royal Palms Shuffle Board Club, Ample Hills Creamery, Brooklyn Boulders, and The Bell House. Just a few blocks from the R train stop at Union Street, and a 15-minute walk to the F and G trains at Carroll Street, the location is easily accessible for commuters.