A Queens-based seller of kitchen cabinets and marble surfaces has closed on the $3.5 million purchase of a former moving and storage facility in Old Bethpage, according to Brooklyn-based brokerage Kalmon Dolgin Affiliates.
New Star Kitchen of Flushing will relocate from its current facility to the one-story, 42,500-square-foot facility as a result of high costs in New York City, Linda Wong of Kalmon Dolgin said in an email. The property was previously used by Advance Relocation Molloy Bros. Moving & Storage, which relocated to Farmingdale, according to a release from the brokerage.
New Star, which leased its previous location, plans to use the facility, located at 195 Bethpage-Sweet Hollow Rd., as a warehouse for cabinets, marble and granite building materials.
Local brokers say that in the last few years, high rental prices in the city, brought on by the construction of high-rise luxury apartments and condos, have slowly pushed many industrial tenants out of the area.
To meet rising demand for housing, developers and investors can pay as much as $300 to $400 per square foot for an industrial site before converting it to high-end residential offerings. By comparison, Island industrial spaces sell for $100 a square foot or less.
Other borough-based companies that have relocated to Long Island in recent years include Atlas Direct Mail, which relocated from Long Island City to Westbury; Quaker Sugar Co. Inc., which moved from Williamsburg to Hicksville; and Ruby Has Fulfillment, which moved to Bay Shore from its previous College Point location.
Brokers Jason Miller and Jeff Schwartzberg of Woodbury-based Premier Commercial Real Estate, along with Kalmon Dolgin, represented the buyer. William Becker of Racanelli, Becker and Associates LLC represented the seller. The deal closed last month.