GerritsenBeach.net

Massey Knakal Realty announced the second largest real estate deal in Sheepshead Bay history – an over $20 million purchase that will change the face of Sheepshead Bay.

A two-plus acre site that spans from Sheepshead Bay Road to Voorhies Avenue has been sold to a developer who reported plans on building a 100,000 square foot shopping center – which may nor may not include residential development.

The Brooklyn Eagle reported on Tuesday that 1600 Sheepshead Bay Rd. and 1501 Voorhies Avenue were sold to Acadia Realty Trust for $20,350,000. According to Massey Knakal Realty, who brokered the deal, and PropertyShark.com, the deal is the largest sale in Sheepshead Bay in the past 20 years and second largest sale in Sheepshead Bay history. The Voorhies Avenue lot was purchased from previous owners Donald Halpern and Scott Feiden, according to REBusinessOnline.com.

Acadia is a self-managed REIT (Real Estate Investment Trust) out of White Plains, NY that specializes in the acquisition and redevelopment of retail properties, and is currently building Canarsie Plaza at Avenue D and Remsen & Foster Ave., which boasts Home Depot as its main tenant.

So what plans are there for the combined 96,671 square feet of land? According to the Brooklyn Eagle, Acadia plans a mixed-use development of close to 100,000 square feet with national retail tenants, extensive parking, and a layout that, according to Massey Knakal broker Brian Hanson “will change the face of the Sheepshead Bay shopping area.” Existing one and two-story buildings, which currently house a CitiBank and leased businesses and residences, will be demolished. According to theRealDeal.net, the existing leases on the two existing buildings expire in December, and in 2010.

According to PropertyShark.com, the existing zoning district for both parcels of land is C4-2, which allows for a commercial use structure to be built with a Floor Area Ratio (FAR) of 3.4 square feet for every square foot of land – or a commercial complex of over 328,000 square feet. According to the NYC Zoning Handbook, a C4 Zoning District generally sees “department stores, theaters and other commercial uses that serve a larger area.”

But what if Acadia wishes to place residential development on their new acquisition? According to the NYC Zoning Handbook, residential development in a C4 Zoning District will follow the rules of the R6 General Residence Zoning District, which could translate into a floor area ratio of up to 2.43 square feet for every square foot of land – or residential development of just under 235,000 square feet, the height of which would reach as high as 11 stories, depending on a given plan.

The site does not come without its problems, as it is quite irregularly shaped, and according to Hanson has “a high water table”, which could present challenges to building upon it.

So it seems apparent that landscape of Sheepshead Bay is about to be changed forever.

I’m also including a link the Sheepshead Bay Civic forum if anyone wants to discuss the news further.