MultiFamily Property at 575 2nd Avenue Listed by Marcus & Millichap

The New York Multifamily team at Marcus & Millichap is pleased to exclusively offer for sale 575 Second Avenue, a well-located mixed-use asset in the heart of Kips Bay. Situated on the west side of Second Avenue between East 31st and 32nd Street, the property consists of seven units across approximately 3,600 square feet. It sits on a 16.42’ x 100’ lot (Block: 912, Lot: 35) and is built 16’ x 49’. The zoning is C1-8A.

THE OPPORTUNITY

Opportunity: 575 Second Avenue, a mixed-use property, presents a compelling value-add opportunity in a high-demand rental market. The four-story building is comprised of six studio apartments positioned above a 1,300-square-foot retail space, and offers an additional 9,735 square feet of unused air rights.

• Residential Upside: Three of the six apartments are free market, with clear potential for rent growth. Of the three rent-stabilized units, one is currently vacant, and the other two are generating a high average rent of $2,450 per month.  All of the residential units are studio apartments.

• Tax Class Protected:  575 Second Avenue falls under the highly desirable tax class 2B status.  This means that by law, the taxes cannot increase more than 8% year-over-year or more than 30% over any given 5-year period.

• Retail Repositioning: The retail space, spanning roughly 1,300 square feet, was previously occupied by a convenience store and will now be delivered vacant, offering the ability to reposition at a higher rent for a variety of commercial uses.

• Location and Transportation: Located in a sought-after pocket of the Kips Bay neighborhood, 575 Second Avenue benefits from consistent natural rental demand. Positioned directly across the street from the AMC Kips Bay 15 and Fairway grocery store this highly trafficked corridor offers exceptional visibility and tenant appeal. Kips Bay continues to attract a steady mix of students, young professionals, and medical personnel due to its proximity to major institutions like NYU Langone and Baruch College. The neighborhood’s combination of residential charm and urban convenience makes it one of Manhattan’s most stable and dependable rental submarkets.