Clarendon Gardens, a seven-building post-war apartment complex in East Flatbush, has been sold for $32.5 million, Commercial Observer has learned.
The property was purchased by Morris Weinberg, who bought the complex under the name Clarendon Gardens LLC, from real estate investment firm KMG Partners. The firm bought the complex in 2007 for $19.5 million.
Rambleside Real Estate Capital, along with Pembrook Capital Management, recapitalized the deal in August 2013 with $22 million in financing. Besen & Associates listed the property in April 2014 for $35 million. Besen’s Amit Doshi, along with colleague Shallini Mehra, brokered the deal, which closed today.
“There are not too many properties of this size and scale on the market in the heart of gentrifying Brooklyn,” said Mr. Doshi. “The rents are low. The properties are well-maintained with tremendous upside potential. And the buyers are seasoned professionals who actually have properties in this neighborhood.”
Built in 1952, Clarendon Gardens sits at 5407-5413 Kings Highway at Avenue D in Brooklyn; it has 224 rent-stabilized apartments across 195,000 square feet, according to The Real Deal. A source close to the deal noted that the property sold for roughly 10 times the rent roll.
Other parties involved in the transaction could not be reached for comment after business hours.