By Robert Khodadadian, Skyline Properties If you're considering converting your office property to residential use, the window to take advantage of one of New York City’s most valuable real estate incentives is closing fast. The 35-year real estate tax abatement under Program 467-m offers a major financial opportunity—but only if your project is approved by June 2026. To put it plainly: a delay could cost you millions. This long-term tax abatement was designed to encourage the conversion of underutilized commercial buildings into much-needed housing. For owners and investors, it can mean a significant boost in property value and long-term returns. But the opportunity comes with a strict timeline—and it’s already narrowing. The Real Timeline: Plan Backwards from June 2026 To qualify, you must hit several critical milestones before the deadline: ALTCO Filing (6–9 months):  Filing the Application for Tax Credit for Office-to-Residential Conversion is a complex process that can take up to nine months. Planning & Approval (3–4 months):  Finalizing architectural plans, ensuring zoning compliance, and obtaining permits also requires time and coordination. Sales Contracts (9–12 months before):  To fully realize the abatement’s benefits and maximize your property’s value, contracts should ideally be signed at least a year before the June 2026 deadline. In short: if you want to qualify, you need to begin planning  now —ideally no later than mid-2025. The Cost of Waiting Missing the deadline could reduce your abatement by five full years—a loss that can significantly impact your property’s valuation. Today’s buyers use Net Present Value (NPV) models that factor in long-term tax savings. Without those five years, your asset could be perceived as less attractive, leading to a lower sale price. To illustrate the financial impact, here’s a hypothetical breakdown of projected tax savings over time based on current market assumptions: As the figures suggest, missing out on the full 35-year abatement can result in millions of dollars in lost net present value. These unrealized savings directly affect your property’s appraised value—especially as buyers become more sophisticated in their financial modeling. In a recent deal we facilitated, a property that secured the full abatement sold for 20% more than a comparable building that missed the deadline. Timing made all the difference. How to Get Started Navigating an office-to-residential conversion in NYC requires careful planning and expert guidance. Here’s how to move forward strategically: Assess Your Property:  Work with experienced professionals to evaluate zoning, infrastructure, and overall financial viability. Engage ALTCO Specialists:  Experts in the filing process can streamline your application and help avoid costly delays. Create a Clear Timeline:  Develop a detailed roadmap with milestones to keep your project on track. Communicate with Stakeholders:  Keep architects, city agencies, legal advisors, and financial teams aligned throughout the process. Why This Matters Now NYC’s real estate market is evolving rapidly. Residential demand is rising up 15% year over year in many neighborhoods. Office-to-residential conversions are helping meet this need while offering property owners a smart, future-focused investment path. The 35-year tax abatement makes these projects significantly more attractive—but only if you act in time. Let’s Talk At Skyline Properties, we specialize in identifying and executing smart, timely investment strategies. If you’re considering an office-to-residential conversion, now is the time to align your team, solidify your plan, and move forward with confidence. Don’t let this opportunity pass. The June 2026 deadline is approaching—let’s make sure you’re ahead of it.

Investing in commercial property can be a lucrative venture, but it comes with its challenges. Understanding the key factors that influence commercial property investments is crucial for both novice and seasoned investors. This blog post will explore essential considerations that can significantly impact your success in the commercial real estate market. Understanding Commercial Property Types Commercial property is diverse and categorized into several types, each with its unique features and considerations. The main types of commercial properties include office buildings, retail spaces, industrial properties, multifamily complexes, and mixed-use developments. Office Buildings : These properties are typically used for high-density work environments. Factors such as location, parking availability, and proximity to amenities can significantly affect rental rates and tenant retention. Retail Spaces : Retail locations depend on foot traffic and visibility. Investors should analyze the local market dynamics, such as competition and consumer behavior, to make informed decisions. Industrial Properties : Warehouses and manufacturing spaces have unique requirements and logistical considerations. Being aware of transportation access and zoning regulations can provide a competitive edge. Multifamily Complexes : Investing in apartments or condominiums can generate steady rental income. Potential investors should assess neighborhood demographics and economic indicators to gauge demand. Mixed-Use Developments : These blend commercial and residential components, making them highly versatile but also complex. The success of these investments often hinges on effective property management. A modern mixed-use development combining retail and residential spaces. Location Is Key for Commercial Property The location of any commercial property can determine its success. A property situated in a high-traffic area with excellent visibility typically commands higher rents and attracts better tenants. Accessibility : Consider proximity to major highways, public transport, and essential services. Properties with great accessibility tend to have lower vacancy rates. Growth Potential : Emerging neighborhoods can offer opportunities for significant appreciation in property value. Keeping an eye on local development plans can give you an insight into future growth. Market Trends : Research local market trends. Are businesses thriving? Is there an influx of residents? Understanding these dynamics will inform your investment decisions. A bustling commercial zone in a growing metropolitan area. Is Commercial Real Estate a Good Career? One question that often arises when discussing investments in commercial property is whether it is a viable career choice. The answer largely depends on your skills and interests. Opportunity for Growth : Commercial property professionals enjoy abundant opportunities for career advancement. The demand for skilled operators in this field is strong, fueled by the desire of companies to expand their footprint. Financial Rewards : Careers in commercial real estate can be financially rewarding. Successful agents and investors often reap considerable commissions and returns on investments, although there is a risk involved. Networking Benefits : The commercial real estate industry relies heavily on relationships. Building a robust professional network can open doors and provide valuable insights into market trends. Financial Analysis of Commercial Properties Conducting a thorough financial analysis is a non-negotiable step before making any investment. Here are several financial metrics to consider: Net Operating Income (NOI) : This figure is critical in assessing the profitability of a property. It's calculated by subtracting operating expenses from gross income. A higher NOI often reflects a healthier investment. Capitalization Rate : The cap rate provides insight into a property’s potential return on investment. It is calculated by dividing the NOI by the property’s purchase price. Cash Flow Projections : Forecasting future cash flows helps in determining the viability of an investment. Assess scenarios under varying vacancy rates, rent increases, and changing operating expenses. A financial analysis workspace complete with documents and a calculator. Property Management Considerations Effective property management can significantly affect the success of your investment. A well-managed property can yield higher returns and retain tenants longer. Maintenance and Upkeep : Regular maintenance keeps properties in top condition, reducing tenant turnover. A proactive management strategy extends property lifespans. Tenant Relations : Fostering good relationships with tenants can lead to lower vacancy rates. Ensure open communication and prompt responses to tenant concerns. Leasing Strategy : A solid leasing strategy not only fills vacancies but also maximizes your investment’s revenue potential. It’s essential to understand market rates and the advantages of longer versus shorter lease terms. Understanding the Risks Involved Every investment carries risks, and commercial properties are no exception. Awareness of potential risks can better prepare investors to mitigate them. Market Fluctuations : Economic downturns can impact property values and rental rates. Diversifying your portfolio can reduce risk exposure in volatile markets. Zoning Changes : Changes in local zoning laws can affect property use and marketability. Always stay informed about local legislation that may impact your investment. Tenant Risk : A weak tenant base can lead to prolonged vacancies and lost revenue. Performing thorough background checks and creating strong agreements can help minimize this risk. Future Trends in Commercial Property Investment Staying informed about upcoming trends is vital for making strategic investment moves. Here are some trends to watch: Sustainability : The push towards eco-friendly practices is influencing commercial properties. Green buildings can attract environmentally conscious tenants and lower utility costs. Remote Work Dynamics : The rise of remote work is reshaping the demand for office spaces. Investors should analyze shifts in demand and tailor their strategies accordingly. Technological Advancements : Innovations in property management and construction technologies are streamlining operations and enhancing tenant satisfaction. Stay updated to capitalize on these enhancements. Final Thoughts on Commercial Property Investments Investing in commercial property offers various opportunities for growth and financial reward. Understanding the essential factors—from property types and location to financial analysis and risks—can empower you to make informed decisions. By carefully navigating the complexities of the commercial property market, you can unlock significant potential in your investment endeavors. Whether you’re a rookie investor or a seasoned pro, staying informed and prepared will be your greatest asset in the world of commercial property investment.

The Time to Act is Now and here is why... The 35-year real estate tax abatement provides a rare chance for property owners and investors in New York City. By understanding the important timeline, the risks of delay, and the actionable steps to kick-start your project, you can maximize your return on investment. I emphasize the need to act quickly. Engaging experts, solidifying your plans, and sticking to deadlines are essential to benefiting from this substantial tax incentive. I’ve included a breakdown of potential tax savings for your perusal. As you weigh your options, consider how this program can significantly boost your property’s value. Let’s work together to ensure you meet the June 2026 deadline and capitalize on the fantastic opportunities that the NYC real estate market has to offer. By taking decisive action now, you position yourself for success in the NYC real estate landscape. Don’t delay—time is money, and the benefits of acting quickly are evident. Navigating the complexities of real estate investment can be overwhelming, especially in a fast-paced market like New York City. But here’s an opportunity you should not overlook: the 35-year real estate tax abatement. This incentive can considerably raise the value of your office-to-residential conversion projects. If you are considering this transition, it’s crucial to act soon to secure these tax savings. Understanding the 35-Year Real Estate Tax Abatement The 35-year real estate tax abatement aims to transform under-utilized commercial properties into much-needed housing. This program not only supports New York City’s goal of increasing residential availability but also enhances the financial viability of conversion projects for property owners and investors alike. To enjoy the full benefits, your projects must receive approval by June 2026. This means you need to plan carefully and act swiftly to maximize your potential return on investment. The Project Timeline: Key Considerations Understanding the timeline for a successful office-to-residential conversion is crucial. Here are the main stages you should follow: ALTCO Filing (6-9 months) : The Application for the Tax Credit of Office to Residential Conversion (ALTCO) is essential for your project. This often complex process can take between six to nine months to complete. It is wise to start this as early as possible. Planning Phase (3-4 months) : After your ALTCO filing, you will need an additional three to four months to finalize architectural plans, ensure compliance, and obtain necessary approvals. This period is crucial for a successful conversion. To fully leverage your tax benefits, aim to have sales contracts signed at least nine to twelve months before the June 2026 deadline . Early planning positions you for success. The Cost of Waiting: Potential Financial Loss Time is of the essence. Delaying your conversion could mean losing out on up to five years of tax savings, which can equate to millions of dollars in potential lost value. For instance, if your property could have appreciated in value by 30% over five years due to increased housing demand, a delay could significantly impact your investment's worth. Most buyers today use Net Present Value (NPV) calculations to determine the financial attractiveness of a property. Any reduction in future tax savings can lead to lower property valuations. As the clock ticks, delaying action increases financial risk. A contemporary residential building showcasing successful conversions. A Strategic Approach: Implementation Steps To ensure you do not miss out on this tax abatement, consider these practical, strategic steps: Conduct an Initial Property Assessment : Work with real estate experts to evaluate your property. Identify potential challenges, such as zoning laws and building codes, which could affect your conversion plan. Engage Specialists Early : Collaborate with professionals who specialize in ALTCO filings and office-to-residential conversions. Their expertise can smooth out the filing and planning processes. Establish a Clear Action Plan : Draft a comprehensive roadmap that outlines each step of your conversion process. Include milestones and deadlines to keep your project on track. Maintain Open Communication : Foster communication with all stakeholders—city officials, architects, and construction teams. A collaborative approach will help you overcome challenges and stay aligned with your timelines. Navigating the Market Landscape The NYC real estate market is intensely competitive. Office-to-residential conversions come with unique challenges, particularly as zoning regulations evolve and market demands shift. However, they also provide incredible potential, with recent data showing that demand for urban residential units has increased by approximately 15% year over year. By taking advantage of the tax abatement, you can significantly enhance your property’s appeal. This strategy not only boosts your sale price but also ensures your investment offers solid returns as the market continues to evolve. Case Study: A Successful Conversion Let’s look at a recent example in New York City. An office building owner acted quickly, initiating the ALTCO filing nine months before the deadline. They effectively navigated planning phases and sought advice from the right professionals. As a result, when they sold the property, its value surged by about 20%  compared to a similar property that did not benefit from the tax abatement. This case shows the tangible financial benefits of timely action. Start Preparing for a Lucrative Future The future of NYC commercial real estate is filled with opportunity for those willing to act. With the 35-year real estate tax abatement deadline approaching, I urge you to begin planning your office-to-residential conversion now. Every moment spent waiting could lead to lost revenue. By acting today, you maximize your potential sale price and the overall profitability of your investment.

Explore Skyline Real Estate, your trusted partner in New York's commercial property market. Connect for tailored property solutions. Skyline Properties NYREJ Company of the Month Skyline Properties – Brokering outside the box: Off-market deals, ground leases and customized canvassing Feil buys Chelsea office for $72MM The Feil Organization is buying an office building in Chelsea that is home to several art galleries for about $72 million, according to sources familiar with the deal. The property is located at 530 West 25th Street between 10th and 11th avenues and spans 95,000 square feet across seven stories. The Feil Organization partnered on the purchase with Peter Armstrong of Rigby Asset Management. Khodadadian, unveils 2015 plan Skyline Properties CEO, Robert Khodadadian, unveils the commercial brokerage firm's 2015 game plan New York Real Estate Journal Skyline Properties NYREJ Company of the Month Skyline Properties – Brokering outside the box: Off-market deals, ground leases and customized canvassing 1/59 Skyline Properties To play, press and hold the enter key. To stop, release the enter key. Kaufman Organization Closes on $35M Haymarket Building Ground Lease The Kaufman Organization closed on a newly formed ground lease at The Haymarket Building in Manhattan’s NoMad, valued at $34.5 million, Commercial Observer has learned. Skyline Properties NYREJ Company of the Month Skyline Properties – Brokering outside the box: Off-market deals, ground leases and customized canvassing Bayside shopping center goes for $32M to lead mid-market sales Alfredo Li, through the entity Mandarin Realty NY LLC, sold a shopping center at 61-01 Springfield Avenue in Bayside, Queens, for $32 million to Main 15-Lee Springfield LLC, which is connected to Flushing-based multifamily and office building investor Hye Chun Lee. Feil buys Chelsea office for $72MM The Feil Organization is buying an office building in Chelsea that is home to several art galleries for about $72 million, according to sources familiar with the deal. The property is located at 530 West 25th Street between 10th and 11th avenues and spans 95,000 square feet across seven stories. The Feil Organization partnered on the purchase with Peter Armstrong of Rigby Asset Management. Wildflower, the company behind Robert De Niro’s Wildflower Studios in Queens.. industrial site in Hunts Point from a Long Island company. The sites were last purchased for about $2.3 million in 2003, according to property records. The lots total 55,000 square feet and allow for 110,000 square feet of buildable space. Kaufman inking ground lease Sister act: Kaufman inking ground lease for NoMad office building The Real Deal Skyline Properties Robert Khodadadian Daniel Shirazi Lee family pays $32M for retail in Oakland Gardens Ui Kun Lee of the Lee family based in Manhattan through the entity Main 15-Lee Springfield LLC paid $32 million to Alfredo Li through the entity Mandarin Realty NY LLC for the retail strip mall (K1) at 61-01 Springfield Boulevard in Oakland Gardens, Queens. Analyzing quarter 1: 2024 sales for New York City As we dive into the first quarter of 2024, the latest sales transac-tions provide a clear picture of the current real estate market in New York City. Khodadadian and Shirazi of Skyline Properties handle $10.85 million Jul 6, 2021 — Khodadadian and Shirazi of Skyline Properties handle $10.85 million. July 06, 2021 - Front Section. NYREJ. Thanks for Reading! Kaufman Org closes on $35M ground lease deal The Kaufman Organization continues to expand in Midtown South after closing on a $34.5 million ground lease at the Haymarket Building. The organization signed a 99-year ground lease with MFM Properties for the 12-story office building at 135 West 29th Street, the Commercial Observer reported. Ground Lease Resurgence Resurgence of the Ground Lease: Q&A With Skyline Properties CEO Robert Khodadadian - The Commercial Observer Acadia Closes $50M Buy SoHo Acadia Closes $50M Buy of Soho Retail Co-ops Commercial Observer Robert Khodadadian Skyline Properties Why ground lease and why now? The New York Real Estate Journal caught up with Robert Khodadadian, Skyline Properties’ founder, and CEO, for an overview on why the current market conditions have led to the recent resurgence of ground leasing in the city. Asset Class Breakdown-2024 Opportunities In the bustling streets of Manhattan, where every corner tells a tale of commerce, as a investment sales broker in Manhattan for almost 20 years I've observed a landscape marked by uncertainty yet teeming with potential. I would like to share insights into the ever-evolving trends and opportunities as they vary across asset classes. Q2 2024 CRE market snapshot shows signs of rebound In the second quarter of 2024, the commercial real estate (CRE) market displayed encouraging signs of recovery. Kaufman Organization inks $35M 99-year ground lease in Midtown South The commercial building, at 135 W. 29th St., stands 12 stories tall and spans 82,000 square feet. It is about 70% occupied, with roughly 25,000 square feet of space available for lease, according to the Kaufman Organization. The company plans to renovate and reposition the building, which it acquired from MFM Properties. Queens, NY Skyline Properties sells 6101 Springfield Blvd. in Oakland Gardens to the Lee Family for Earlier this year Skyline Properties also completed the following off-market transactions: an affordable housing property located at 246 West 116 th St. for $6.3 million and a mixed-use property located at 165-167 Eldridge St. for $19.275 million. New York City Real Estate Recovery In my role, I've witnessed firsthand the resilience of New York City's real estate landscape. Despite a 5.4% population decline from April 2020 to July 2022.. Khodadadian Executive of Month Executive of the Month Robert Khodadadian of Skyline Properties: An Entrepreneur Evolving with Changing Markets, Providing Optimal Results Concerning Ground Leases Question of the Month: Concerning ground leases: How should landlords handle picking the ground tenant for their property? New York Real Estate Journal Skyline Properties, Daniel Shirazi Are FMV rent resets deal killers? One of the biggest “deal killers” during ground lease negotiations circles around the issue of whether or not to include a rent reset in the ground lease. In general, rent resets are used to protect the landlord (lessor) from inflation which in turn can increase future ground rent paid by the ground tenant (lessee). As a consequence, the lessee is reluctant to accept a rent reset whereby “killing the deal.” However, crafting language to protect both the landlord and tenant can help keep the deal The impact of rent regulation For landlords, the playbook had long been simple and lucrative: buy run-down buildings that are, in New York lingo, rent-stabilized, fix them up, pass along the expense to tenants by raising rents (allowed under the regulations), cash out, and repeat. Once rents approached $2,800 a month, owners could charge what the market would bear, turning the apartments into potential gold mines. Real Estate Alerts 2022 Ranking Real Estate Alerts Top Multifamily Brokers - Skyline Properties New York Times Investment Sales This six-story apartment building in the Clinton Hill neighborhood was built in 1939. It has seven one-bedroom units, eight two-bedrooms, 21 three-bedrooms and four four-bedrooms, as well as 16 parking spaces. The building last changed hands in 2012. NYREJ’s 35th Anniversary: Robert Khodadadian, Skyline Properties Most memorable “15 minutes of fame” in NYREJ: Definitely July 28, 2014 being nominated as NYREJ’s “Executive of the Month” and dedicating it to my father who had just recently passed away. “Executive of the Month Robert Khodadadian of Skyline Properties: An entrepreneur evolving with changing markets, providing optimal results” NYREJ Ones to Watch Fall 2022 NYREJ Ones to Watch Fall 2022: Stephen Alcala, Skyline Properties Kaufman Expands Midtown Portfolio Kaufman Expands Midtown Manhattan Portfolio Commercial Property Executive Skyline Properties Robert Khodadadian Daniel Shirazi St. Mark’s portfolio under contract Four-building St. Mark’s Place multifamily portfolio under contract for $44M The Real Deal Robert Khodadadian Skyline Properties Tenant inks 99-year ground lease Tenant inks 99-year ground lease for Bargain World spot The Real Deal Skyline Properties Robert Khodadadian Considering a ground lease? Consider these questions when vetting prospective ground tenants - by Robert Khodadadian NYREJ Year in Review 2018 Year in Review 2018: Robert Khodadadian, Skyline Properties - Since inception Skyline Properties has prided itself on strictly off-market deals and our ability to efficiently and effectively customize canvass for our clients. For Skyline, 2018 was the year that we honed the customized canvassing tools we have developed which enabled us to close successful transactions for our clients, which in turn created an organic expansion of our Investment Sales Team. Real Estate Weekly Who's News Skyline Properties announced the hiring of three new executives. Real Estate Weekly Who's News Is the ground lease a COVID-19 savior? The declining retail market coupled with the COVID-19 pandemic has left many real estate investors in limbo. Buyers are uncertain what the future may bring and are thus not inclined to buy in this market. Khodadadian Strikes Out On His Own Robert Khodadadian Strikes Out On His Own Again The Real Deal Skyline Properties NYREJ discuss their 30th Anniversary What year did you discover the NYREJ and how has been a benefit to you and/or your business? I was first made aware of NYREJ when their publishing director, Kristine Wolf reached out to me in 2013 to congratulate me on opening Skyline and to inform me that she was on our new company website and noticed a typo on the word “syndication.” $wells Take Bowery $wells Take Bowery New York Post Robert Khodadadian Skyline Properties handle $3.2MM Robert Khodadadian and Daniel Shirazi of Skyline represented both the seller, 711 Brighton, LLC and purchaser, 711 BBA LLC on this off-market transaction. Skyline’s customized canvassing tool enables buyers to focus on purchasing assets that meet their acquisition criteria as opposed to waiting for them to become available on the open market and thereby bypassing the time consuming process of bidding on properties that are marketed. Ground Leases 101 Ground leases 101: Creativity is required New York Real Estate Journal Skyline Properties Daniel Shirazi Prime Soho Mixed Use Retail Play 72-76 Greene Street Sells for $41.5 M Globe St. Robert Khodadadian NYREJ Broker Spotlight - Daniel Shirazi Esq. Skyline Properties Issues Statement Skyline Properties Issues Mission Statement Real Estate Weekly Skyline Properties Robert Khodadadian Acadia snaps up 210 Bowery Acadia snaps up 210 Bowery The Real Deal Robert Khodadadian Nonprofit Sells Midtown Properties Nonprofit Sells Midtown Properties to Moin, John K. Rapp for $18M The Real Deal Skyline Properties Robert Khodadadian Khodadadian Brokers $2.5 M Sale Robert Khodadadian Brokers $2.5 Million Sale New York Real Estate Journal Rainmaker Aiming to be His Own.. Rainmaker Robert Khodadadian Aiming to be His Own Headline Act Real Estate Weekly Skyline Hires Daniel Shirazi Esq. Skyline Properties has hired Daniel Shirazi to spearhead the firms expansion. 521-523 E 12th St. Sell for $10M Two Five-Story Walk-Ups at 521-523 E 12th St. Sell for $10M New York Real Estate Journal Robert Khodadadian Shirazi joins Skyline Properties Shirazi joins Skyline Properties as senior director of sales New York Real Estate Journal Daniel Shirazi ML7 buys commercial space in Tribeca ML7 buys commercial space at Tribeca condo building for $18M The Real Deal Robert Khodadadian Skyline Properties Hidrock Realty to Build a 150,000SF Hidrock Realty to Build a 150,000SF, 33-Story Building New York Real Estate Journal Robert Khodadadian Blaichman Pays $25M for site CB Developers to pay $25M for site next to Murray Hill project The Real Deal Moinian to buy Sutton Place rentals Moin Development to buy Sutton Place rentals for $19M Sam Chang’s Whitehouse Hotel in Cont Sam Chang’s Whitehouse Hotel in Contract for $12M Commercial Observer Skyline Properties Robert Khodadadian Acadia eyeing Soho retail co-op Acadia eyeing Soho retail co-op for $50M The Real Deal Skyline Properties Robert Khodadadian Sam Chang to sell East Village hotel Sam Chang, McSam investor to sell East Village hostel Harlem Building 99-year Ground Lease Former Bargain World Building in Harlem Picked Up in 99-Year Ground Lease Commercial Observer Skyline Properties Robert Khodadadian Khodadadian reintroduces Skyline Robert Khodadadian reintroduces Skyline Properties: Focuses on the sale of off-market properties in the N.Y.C. metro area New York Real Estate Journal Khodadadian reinvigorates Skyline Robert Khodadadian reinvigorates Skyline to seize on the uptick in commercial sales; To create off market opportunities to provide sellers discretion The New York Real Estate Journal Skyline Complete $120M in 1st year Robert Khodadadian's Skyline Properties completes $120 million in first year New York Real Estate Journal NYREJ Young & Established Robert Khodadadian makes the list for NYREJ's Young and Established RE Weekly 2018 Rising Star Daniel Shirazi of Skyline Properties award Real Estate Weekly's 2018 Rising Star Khodadadian, unveils 2015 plan Skyline Properties CEO, Robert Khodadadian, unveils the commercial brokerage firm's 2015 game plan New York Real Estate Journal

Skyline Properties is Commercial Real Estate Brokerage firm based in Manhattan, New York Strictly focused on off-market transactions. ground lease, commercial broker Are FMV rent resets deal killers? One of the biggest “deal killers” during ground lease negotiations circles around the issue of whether or not to include a rent reset in the ground lease. In general, rent resets are used to protect the landlord (lessor) from inflation which in turn can increase future ground rent paid by the ground tenant (lessee). As a consequence, the lessee is reluctant to accept a rent reset whereby “killing the deal.” However, crafting language to protect both the landlord and tenant can help keep the deal Why ground lease and why now? The New York Real Estate Journal caught up with Robert Khodadadian, Skyline Properties’ founder, and CEO, for an overview on why the current market conditions have led to the recent resurgence of ground leasing in the city. Kaufman inking ground lease Sister act: Kaufman inking ground lease for NoMad office building The Real Deal Skyline Properties Robert Khodadadian Daniel Shirazi St. Mark’s portfolio under contract Four-building St. Mark’s Place multifamily portfolio under contract for $44M The Real Deal Robert Khodadadian Skyline Properties Skyline triples its NYC footprint with its move to the 31st floor in SL Green’s “Daily News Building” to accommodate more space for the firms growing investment sales team Tenant inks 99-year ground lease Tenant inks 99-year ground lease for Bargain World spot The Real Deal Skyline Properties Robert Khodadadian Show More Skyline Properties is Commercial Real Estate Brokerage firm based in Manhattan. Our primary focus is seeking out Off-Market transactions designed to provide sellers with complete discretion and buyers with a valuable asset. Skyline Properties handles many different property types, including office buildings, elevator apartment buildings, walkup apartment buildings, mixed-use buildings, development sites, industrial properties, retail, and ground leases. FEATURED TRANSACTIONS 530 West 25th Street, New York, NY 10001 The Feil Organization is buying an office building in Chelsea that is home to several art galleries for about $72 million, according to sources familiar with the deal. 530 West 25th Street between 10th and 11th avenues and spans 95,000 square feet across seven stories. 236 Fifth Avenue, New York, NY 10001 99-Year Ground Lease NYC Real Estate - The Real Deal Skyline Properties 131-135 Prince Street, New York, NY 10012 Acadia Closes $50M Buy of Soho Retail Co-ops- The Commercial Observer Skyline Properties Algin Package 40-40 79th Street, Queens, NY 11373, 56-11 94th Street, Queens, NY 11373 & 34-44 77th Street, Queens, NY 11372. Longtime owner Algin Management sold three multifamily properties for about $107,000 per unit, a source said. The buyer is Benedict Realty Group, a real estate investment and property management firm based in Great Neck. 135 West 29th Street, New York, NY 10001 The Kaufman Organization closed on a newly formed ground lease at The Haymarket Building in Manhattan’s NoMad, valued at $34.5 million, Commercial Observer has learned. 6101 Springfield Blvd., Queens, NY 11364 82,000 Square Feet Prime Retail property Including a 100 car parking lot with national tenants; United States Postal Office, Walgreens, Chase Bank, UPS, Red Mango and Subway. Show More contact us CONTACT US SKYLINE PROPERTIES 220 East 42nd Street, Suite 3102 New York, New York 10017 Phone: 212.537.9239 Fax: 212.257.7028 info@skylineprp.com PRESS Quantum Pacific Snaps Up BGO’s 101 Greenwich Street for ‘More Than $100M’ Hot on the heels of its acquisition of 767 Third Avenue in November, the London-based investor scooped up Bentall GreenOak’s 26-story 101 Greenwich Street for a price “in excess of $100 million,” sources told Commercial Observer. Benedict pays $47M for Queens rental portfolio A Queens portfolio of mostly rent-stabilized units has traded for $46.5 million in an off-market deal. Skyline Properties NYREJ Company of the Month Skyline Properties – Brokering outside the box: Off-market deals, ground leases and customized canvassing Feil buys Chelsea office for $72MM The Feil Organization is buying an office building in Chelsea that is home to several art galleries for about $72 million, according to sources familiar with the deal. The property is located at 530 West 25th Street between 10th and 11th avenues and spans 95,000 square feet across seven stories. The Feil Organization partnered on the purchase with Peter Armstrong of Rigby Asset Management. Queens, NY Skyline Properties sells 6101 Springfield Blvd. in Oakland Gardens to the Lee Family for Earlier this year Skyline Properties also completed the following off-market transactions: an affordable housing property located at 246 West 116 th St. for $6.3 million and a mixed-use property located at 165-167 Eldridge St. for $19.275 million. Ground Lease Resurgence Resurgence of the Ground Lease: Q&A With Skyline Properties CEO Robert Khodadadian - The Commercial Observer Show More

View Skyline Properties' recent sales transactions, featuring top properties like 236 5th Avenue - Kaufman Organization, 131 Prince Street - Acadia Realty Trust and many more! #REInvestments #SkylineProperties FEATURED TRANSACTIONS 530 West 25th Street, New York, NY 10001 The Feil Organization is buying an office building in Chelsea that is home to several art galleries for about $72 million, according to sources familiar with the deal. 530 West 25th Street between 10th and 11th avenues and spans 95,000 square feet across seven stories. 236 Fifth Avenue, New York, NY 10001 99-Year Ground Lease NYC Real Estate - The Real Deal Skyline Properties 133-135 Prince Street, New York, NY 10012 Acadia Closes $50M Buy of Soho Retail Co-ops- The Commercial Observer Skyline Properties 711 Madison Avenue, New York, NY 10065 Sitt Purchases Mixed use with retail tenant Roberto Cavali on Madison Avenue Benedict pays $47M for Queens rental portfolio Longtime owner Algin Management sold three multifamily properties for about $107,000 per unit, a source said. The buyer is Benedict Realty Group, a real estate investment and property management firm based in Great Neck. 28-34 St. Marks Place, New York, NY 10003 Four-building St. Mark’s Place multifamily portfolio under contract for $44M 72 Greene Street, New York, NY 10012 72-76 Greene St. for $42 million, which equates to $1,186 per square foot, to Chicago-based L3 Capital with partner ASB Capital Management 135 West 29th Street, New York, NY 10001 The Kaufman Organization closed on a newly formed ground lease at The Haymarket Building in Manhattan’s NoMad, valued at $34.5 million, Commercial Observer has learned. 6101 Springfield Blvd., Queens, NY 11364 82,000 Square Feet Prime Retail property Including a 100 car parking lot with national tenants; United States Postal Office, Walgreens, Chase Bank, UPS, Red Mango and Subway. 133 Greenwich Street, New York, NY 10006 Hidrock Realty to build a 150,000 s/f, 33-story building 587-591 Third Avenue, New York, NY 10016 CB Developers to pay $25M for site next to Murray Hill project 4-14 West 125th Street, New York, NY10027 Tenant inks 99-year ground lease for Bargain World spot 79 Clifton Place, Brooklyn, NY 11238 NYC Real Estate Sale Brooklyn Multi-family 165-167 Eldridge Street, New York, NY 10002 FREO U.S. Management Acquires Mixed-Use Property On Lower East Side For $19.25M 72 Reade Street, New York, NY 10007 ML7 buys commercial space at Tribeca condo building for $18M NJ landlord to convert second-floor offices to residential 1055-1057 2nd Avenue, New York, NY 10022 Moin Development to buy Sutton Place rentals for $19M 2012 Broadway, New York, NY 10023 NYC Real Estate Commercial Sale 338 Bowery, New York, NY 10012 Sam Chang, McSam investor to sell East Village hostel 353 West 48th Street, New York, NY 10036 NYC Real Estate Commercial Sale 353 West 48th Street, New York, NY 1340 Lafayette Ave, Bronx, NY 10474 Wildflower Ltd., a frequent lessor to Amazon and the company behind Robert De Niro's Wildflower Studios project in Queens, has purchased an industrial site in the South Bronx for about $11 million. 521-523 East 12th Street, New York, NY 10009 Package of Mixed Use Buildings located in the East Village 210 bowery, New York, NY 10012 Acadia Realty Trust has snatched up four-story 210 Bowery for $7.5 million. The purchase price sounds puny until you realize it set a record for the street of $815 per square foot. 246-250 West 116th Street, New York, NY 10026 40,000 square foot new construction affordable housing. 216-218 East 36th Street, New York, NY 10016 NYC Real Estate Multi-family sale Show More