BKREA Brings Rare Vacant Development Site at 123 Second Avenue NYC to Market in the East Village

Fully demolished 2,500 SF lot between East 7th Street and St. Marks Place offers up to 12,525 SF of buildable area as of right, for a mixed-use project one block from NoHo and Greenwich Village

New York, NY, United States, October 7, 2026 -- BKREA announced 123 Second Avenue is now available. The rare development site is located on the west side of Second Avenue between East 7th Street and St. Marks Place. With the prior structure already demolished, the property offers a buyer a clean slate in the heart of the East Village in one of Manhattan's most culturally storied and highest-priced downtown neighborhoods.

The 25-by-100-foot lot totals approximately 2,500 square feet and is zoned R7A/C1-5, permitting residential, retail, office, community facility and hotel uses as of right. Zoning allows 4.0 FAR for residential use (10,000 ZFA), rising to 5.01 FAR (12,525 ZFA) under the Universal Affordability Preference (UAP).

The site also carries 2.0 FAR for commercial use and 4.0 FAR for community facility use. That flexibility supports a true mixed-use execution, such as ground-floor retail beneath a boutique condominium or rental building.

Because the property sits in a former Inclusionary Housing Designated Area, a developer may purchase off-site certificates within the community board or a half-mile radius, allowing for a fully market-rate project (subject to architect review). With demolition already complete, a buyer can move directly into design and approvals, saving both time and cost.

"The development market in New York City is as strong as we've seen it, and well located sites that are already vacant and demolished are incredibly hard to find," said Genessy Jaramillo, Managing Director at BKREA. "With the record pricing we've seen in the East Village recently, we don't expect this opportunity to be on the table for long."

The site sits within the East Village/Lower East Side Historic District, on the western edge of the neighborhood where it meets NoHo and Greenwich Village. Nearby new development condominiums have recorded sold prices of up to $2,858 per square foot at 41 Great Jones Street and $2,013 per square foot at Treetop Condominium, while active asking prices reach $3,304 per square foot at 43 Bleecker Street and $2,458 per square foot at 220e9. All four are within about a 10 minute walk of 123 Second Avenue.

"This stretch of Second Avenue at the crossroads of the East Village and NoHo continues to be a desirable neighborhood for new development, and the condo pricing around it shows it," said Ryan Candel, Senior Vice President, Transactions at BKREA.

The surrounding blocks are anchored by institutions such as McSorley's Old Ale House, Webster Hall, La MaMa Experimental Theatre Club and Tompkins Square Park, alongside NYU, The New School and Cooper Triangle. St. Marks Place and Second Avenue serve as primary corridors for dining, nightlife and live music.

Transit access is exceptional. The Astor Place 6 station is roughly a two-minute walk, 8 St–NYU (R/W) about five minutes, and 14 St–Union Square (4/5/6/L/N/Q/R/W) about eight minutes. The site is also served by the M1, M2, M3, M8, M14A-SBS, M14D-SBS, M15 and M15-SBS bus routes.



About the company: BKREA is a New York City commercial real estate investment sales and advisory firm led by Bob Knakal. Exclusively representing sellers, the firm combines decades of transaction experience, proprietary market research, and artificial intelligence to help property owners maximize value. Services include property sales, valuations, zoning analysis, and strategic consulting.

Contact Info:
Name: Genessy Jaramillo
Email: Send Email
Organization: BKREA
Address: 135 West 36th Street NY NY 10018
Phone: 212-888-8850
Website: https://bkrea.com

Release ID: 89205460

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