557 Atlantic Ave
Brooklyn, NY 11217 Boerum Hill

• Unit Size: 7,745 SF
• Condo Use: Retail
• Price: $8,500,000 USD
• Sale Type: Investment
• Price/SF: $1,097.48 USD

Sale Notes

Jones Lang LaSalle (“JLL”) is pleased to offer for sale the fee simple interest in the ground floor medical condominium of 557 Atlantic Avenue (the "Property"), located in the Boerum Hill neighborhood of Brooklyn, New York. The 7,745 square foot, Class A medical space is 100% leased to the world renowned Memorial Sloan Kettering Infusion Center (“MSK”). The current lease term, which expires on November 30, 2029, features contractual 3% annual rent escalations and represents the second of three 5-year lease extension options. As the world's oldest and largest private cancer center, Memorial Sloan Kettering is consistently rated as one of the top two cancer hospitals in the nation. MSK currently includes 500 in-patient beds, employs approximately 1,500 physicians, more than 4,000 nurses, and sees 26,000 in-patient stays and more than 1 million outpatient visits annually. The tenant’s investment-grade credit rating of 'AA' (Fitch) offers exceptional security. MSK has shown a long-term commitment to this location, having operated at the Property since 2009 and invested over $3.5 million in its initial build-out. This significant capital investment and the center's strategic importance suggest a high likelihood of long-term occupancy, ensuring stable cash flow for an investor.
The Brooklyn Infusion Center was strategically established to serve the 15% of MSK’s patients who reside in Brooklyn. The Property’s location on Atlantic Avenue is less than 500 feet from the Atlantic Avenue-Barclays Center terminal, one of New York City’s largest transit hubs. This provides unparalleled access for patients and staff via the 2/3/4/5/B/D/N/Q/R trains and the LIRR. Adding to the investment's appeal, the Property benefits from an ICIP tax abatement that expires in 2032, providing a projected net present value of tax savings in excess of $268,000 (at a 6.0% discount rate).