The Kestrel At 33 Caton Place Sold For $76 Million

After purchasing The Kestrel, a development that has raised eyebrows around the neighborhood for its advertising practices, for $25 million last year, developer Sam Boymelgreen recently sold the 126-unit building at 33 Caton Place for $76 million, the Daily News reported.

While the final price was not as much as the $90 million Boymelgreen briefly listed the property for in August, it’s still considerably more than what he originally shelled out for the building that began renting properties in September. According to The Kestrel’s website, there are no more available apartments – which, when we looked at prices this fall, ranged in price from about $1,660 for a studio to $3,900 for a two bedroom. However, according to a listing from Halstead Property, there’s an open house this weekend for a Kestrel property – a three bedroom, two bathroom abode with two balconies for $5,331.

The Daily News reported that the buyer is “a private equity fund led by real estate investment firm Emmes Asset Management,” which is expected to keep the property a rental.

The news about the sale seems to back the real estate website YIMBY’s prediction that Kensington will emerge as one of the fastest gentrifying neighborhoods in the city this year, and David Robinov, the director of sales at Ackman-Ziff and who the Daily News said represented both the buyer and the seller in The Kestrel transaction, said this high profile deal could be a premonition of things to come in our area.

“The Kensington and Windsor Terrace neighborhoods have thus far been untested markets for investment,” Robinov told the Daily News. “Our team highlighted the scarcity of affordable rentals in more established neighborhoods to spur investor confidence that that there will be continued rent growth all across Brooklyn.”

What do you think of this recent sale? What does it, and The Kestrel in general, mean for the community?