A White Plains-based commercial real estate brokerage and advisory firm that has an established track record handling properties in Westchester, Connecticut and other metro-New York areas recently has been developing business further north in the Hudson Valley.
The Oak & Avery Group in April arranged three transactions involving retail and multifamily residential properties totaling $9,375,000 in Ulster County. Oak & Avery”™s President Anthony Watkins and Vice President David Algarin represented both the buyers and sellers in the transactions.
The three transactions were:
Sale of the Brookside Apartments 19-unit residential complex at 210 Vineyard Ave. in Highland, N.Y. It was purchased by New York City-based 210 V LLC for $2,725,000 from Regal Management Group Inc.
Sale of a 32-unit multifamily portfolio consisting of property at 276 Fosler Road and 1399 Route 44 55, also in Highland. Those buildings were purchased for $2,650,000 from Fosler Road Rentals Inc. by Rockland County”™s Royal Management.
Sale of the 63,000-square-foot shopping center Saugerties Plaza at 3139 Route 9W in Saugerties. The shopping center was purchased for $4,000,000 by Westchester-based B Realty Management from Kreuscher Acres Inc.
“We are Westchester-based and we”™ve always been busy in the Bronx and Westchester County primarily; that”™s where most of our transactions have taken place,” Watkins told the Business Journals. “I would say the Hudson Valley, Dutchess, Orange, Ulster County, has been relatively new. We”™ve been active there in the last 18 months to two years or so.”
Watkins said that along with a continued focus on Westchester and nearby areas, some of their clients have been showing a growing interest in properties that are further north, especially multifamily residential properties that are not affected by the kind of rent stabilization laws that attach to properties in New York City. He pointed out that a plus for residential real estate to the north has come from growing numbers of people seeking more affordable rents.
“At a certain point it was more of an upstate house that you”™d go to in the warmer months. Now we”™re seeing permanent interest for year-round living,” Watkins said. “As the area grows and people can work remotely, they are choosing more of a rural life with not such competitive rents as you”™re seeing in the boroughs.”
Watkins said that multifamily is the most desirable asset class in Ulster right now.
“Everyone needs a roof over their heads and we”™re seeing the most rent growth specific to that asset class. There also is increased interest in other asset classes right now because with increased population comes a benefit to retail and industrial. We sold the shopping center to a Westchester-based owner-operator and part of the reason they decided to get in the car and buy a deal 90 miles north was they were aware of this uptick in interest among people wanting to be there, live there, so they were going with the trend.”
Watkins said that while the level of economic activity in Ulster hasn”™t reached where it is in New York City or Westchester, there has been some really attractive economic stimulation recently.
“They”™re building TechCity in Kingston, for example, so there”™s anticipation that it will continue to develop, economically speaking,” Watkins said. TechCity is the new name for a former IBM campus that is being redeveloped.
“Ulster would be in its early stages compared with Westchester and has a long way to go before it can offer the economy, the jobs, that a place like Westchester can,” Watkins said. “That also comes from the mere fact that Westchester is densely populated and Ulster is still ”˜the country,.”™”
Watkins said that he has had several conversations with developers who have told him they can”™t build fast enough.
“In Ulster County right now, we have three more properties that we”™re selling, two of which are under contract,” Watkins said. “We”™re even working further north, pushing into Columbia County. There”™s interest even further north as well. We also have some properties in Dutchess County that are under contract.”
Watkins said that even though Oak & Avery has been widening the geographic area in which it is active, it still is able to operate efficiently from its White Plains headquarters.
“Our mainstay is here in Westchester. We know who the active buyers are, we know who to go to. We”™re pretty efficient in streamlining the process; we”™re not wasting time.”
