JLL has been retained on an exclusive basis to arrange for the sale of 234-236 East 88th Street (the “Property”), two contiguous, 25’ wide, walk-up buildings located on the south side of East 88th Street between 2nd and 3rd Avenues. Featuring strong in-place cash flow and quality base building conditions, the Property will provide purchasers with multiple pathways to add value. Future revenue growth will be driven via light upgrades to the apartments and common areas, the creation of tenant amenities, and rising rents that are continuing to push north from downtown Manhattan and Brooklyn. Spanning approximately 17,110 gross square feet, the buildings contain 34 total apartments of which 28 are Free Market (82%) and 6 are Rent Stabilized (18%). The Free Market apartment rents are averaging $3,203/month, while the Rent Stabilized apartments are averaging $1,354/ month. Finishes range across the Free Market units with more recently renovated units containing stainless steel appliances, new cabinets and washer/dryers (6 units have in-unit W/D). Although the Free Market apartments have been renovated over the years to a good base condition, the finishes could be cosmetically improved upon in order to drive future rent growth. The rear yard of 234 has been divided to provide private outdoor space for the tenants in apartments C and D, while 236 has an unfinished backyard that is accessed via the basement. The backyard of 236 could be repositioned to provide common outdoor space for the building, and both basements contain vacant space that could be converted to tenant storage, a common gym or combined with one of the ground floor Free Market units to create duplexes. Each building contains its own gas-fired boiler, and the apartments are individually metered for gas and electric. The Property is well-suited to benefit from the sustained trend of rental growth NYC has experienced over the past few years. This explosive growth is expected to continue due to significant housing supply constraints and a steady influx of young professionals and recent graduates seeking apartments. While all NYC neighborhoods have benefitted from rising rents, average 1-bedroom rents ($3,097/month) in the Upper East Side (UES) are significantly trailing both the city-wide average of $3,937 and those of the core neighborhoods of Manhattan and Brooklyn (which range as high as $6,197 and $5,325)*. This discount in average neighborhood rents ranks the UES as the third cheapest Manhattan submarket behind only Hell’s Kitchen and Harlem. This lag should be a significant driver of local rent growth as tenants seek relief from higher rents to the south. Strong and continued rent growth should also be reenforced by Upper East Side vacancy rates, which are extremely tight at 2.1% compared to the city-wide 2.6% average. This lack of availability is partly due to luxury, ground-up condominium developments diminishing rental stock in the neighborhood. New condo developments have removed approximately 570 rental units from circulation over the past 5 years. As developers focus on condominium product, pressure will continue to build on rental supply. Without any material new supply in the pipeline, scarcity will continue to place upward pressure on rents. Strong underlying market fundamentals are further supported by the Property’s unit mix and proximity to the Q 4 5 6 trains, which will attract young professionals seeking convenient access to Manhattan’s major employment hubs. In 2023 New York City saw an influx of recent college graduates moving to the city to fulfill employment opportunities. 272,252 (or 10.1%) of national college graduates moved to New York last year, the most of any city in the country and more than double the nearest competitor. New arrivals will be attracted to the Upper East Side due to its relatively affordable rents, safety, transportation options and familiarity to older generations. 234-236 East 88th Street represents an excellent opportunity for an investor to acquire a well located, low maintenance property with both short- and long-term value add opportunities. The property will be sold on an as-is, where-is basis