East Flatbush on Precipice of Transformation

Castellan Real Estate Partners is a commercial real estate firm based in New York City. Headed by co-founder, John Salib, Castellan Real Estate Partners sold two buildings in the East Flatbush neighborhood a few years ago, which facilitated more development in the area.

The two buildings, comprised of 92 rent-stabilized apartments, were sold for close to $19.3 million, one selling for $13.8 million and the other for $5.5 million. These transactions and a serendipitous closure of the L train brought attention to the neighborhood.

Prior to redevelopment, East Flatbush was characterized as a middle class, family-friendly neighborhood in NYC. The area is attractive for its nightlife, restaurants, and bars, providing residents a somewhat safe environment within the urban landscape. However, public transportation became the clincher that put the neighborhood on the radar.

The L train connected Williamsburg to Manhattan, and when it shut down for more than a year for repairs, traffic was diverted to this neighborhood, creating more interest. After the L train re-opened, the area still retained its popularity.

The reception has been mixed. With interest, property prices increased, and some residents benefited significantly when they sold their homes at a premium price. However, for those who remain, they face issues that come when a neighborhood is gentrified.

As of 2019, the City Council has proposed a few plans for the area that could impact East Flatbush significantly. It should be interesting to see how this vibrant community transitions in the next few years.