building at 96 Schermerhorn Street

Why's the maintenance in this building so high... is it a land lease?

Victoria, how do you expect people to take you seriously with the amount of typos you have in your listing. I guess 6 grade education doesn't go far these days.

The maintenance, though high, is actually about par for Brooklyn Heights/Downtown Brooklyn co-ops - compare it to 111 Hicks, 150 Joralemon, etc.. The building is very well maintained, has two elevators, air-conditioned windowed laundry room, full time doorman, shared roof deck. They also just finished a large-scale facade project - most of the owners have fully paid that one-time assessment. There's no billiard room or swimming pool, but it is a full-service building. You pay for that.

there seems to be a high turnover in this co-op; are owners unhappy?

What makes you think it's a high turnover? 14 units have changed hands in the last three years. There are 105 units in the building. During that same time period, 22 units have changed hands at 40 Clinton Street (out of 153), and 17 have sold at 150 Joralemon (out of 89). That said, I think the turnover relates to the neighborhood and the size of the apartments. While 96 Schermerhorn has generally oversized apartments, studios and one-bedrooms predominate. Many people move because they have children and need another room.
Tina
(Brooklyn broker)

Am I misinterpreting the "Activity for this Building" which shows 12 listings for 2010, 12 for 2009, and 12 for 2008? Please explain. You commented that turnover relates to the neighborhood; how does this neighborhood affect 96 Schermerhorn?

westside - I wasn't referring to listing activity in the building, but actual closed sales. At any rate, 12 listings represent about 12% of the available units - not a very high percentage. Last year, 150 Joralemon had 10 listings - a slightly higher percentage.

I'm not sure I understand what you mean about neighborhood. 150 Joralemon is three blocks from 96 Schermerhorn. Buyers in this market tend to look at all available listings in comparable co-ops in the area, and are less concerned about the Court Street dividing line. It really depends on what the buyers criteria - there is a co-op building for nearIy every taste in the downtown/bh area. I have found that clients will be deciding between 150 Joralemon (low ppsf, but high maintenance and no doorman), 40 Clinton (lower ceilings and post-war design, convenient location), 75 Livingston (cheap), 100 Remsen (great location but land lease), 111 Hicks (sky-high maint w/killer views), 115 Willow (fab but pricey), and 96 Schermerhorn (my favorite, but I'm partial).

I appreciate your taking the time to explain comparable co-ops and what each has to offer--thank you.

Is there a large mortgage on this property Tina24 that contributes to the maintenance?

My problem is that those co-ops are the comparables. I would never buy in 111 Hicks or 150 Joralemon ( conversions that never really made a lot of sense and insane maintenance bills), 40 clinton or 75 livingston (crap location, crap apartments), or 100 remsen (land lease). I like 115 willow but that is just a whole different type of building. The nice kind! There are lots in the area!

I'd have a hard time buying something when I know I' d have a hard time selling it. But maybe that is where you can find a deal.

The maintenance at 96 Schermerhorn is about 50% deductible, so yes - there is an underlying mortgage. But much of the maintenance seems to go to, well, maintenance. The building has two refurbished elevators, a full time doorman, an air-conditioned laundry room. There is no flip tax in the building, so the revenue is limited.
abcdefg - have you seen anything in 96 Schermerhorn? The original conversion (it was a law school) was pretty bare-bones, with formica counters and glue-down parquet floors, but the spaces feel incredibly gracious and lofty due to the high ceilings. And some of the renovations have been spectacular.

abcdefg - I agree with you; I always think in terms of resale value when I consider buying a property; you commented that there are other nice buildings in the vicinity--would you recommend some?

Tina, I have seen some units and they are fine. Nothing terrible. But windowless kitchens, baths, etc. I guess I just prefer the pre-war stuff that was meant to be apartments with hallways and windows!

Westside, there are a lot of pre-war co-op buildings in the area. off the top of my head places like 115 Willow: 128 Willow, 20 Pierrepont/65 Montague, 62 Pierrepont, 129 Columbia Heights, 184 Columbia Heights.. along henry street, montague, remsen.. there are a lot!

abcdefg--many thanks, I am trying to get bh pre-war building "educated"!

westside - I would recommend setting aside a sunday to visit a bunch of open houses in BH. It's a small enough neighborhood that you can cover a lot of ground on foot (easier than Park Slope), and you'll get a good sense of what's out there.

Several buildings in the area have a tax abatement such as 110 Livingston Street. This keeps the maintenance artificially low. When these tax abatement comes off you are going to see a significant increase in the maintenance. Ninety Six Schermerhorn is being fully taxed as their tax abatement expired many years ago.