Topline/Bottomline: What is a Caretaker's Unit?
A monthly update on what you should be aware of in the Brooklyn commercial real estate market, from upcoming legislative changes to owners' insights and recent trades.
I encountered a unique situation with a Gowanus building I recently put on the market. This M-zoned, 14,000 SF building was formerly an artist’s studio with a small portion of the third floor being used as a caretaker’s apartment (see picture above). This led me to research the legality of this unit and how other business owners might utilize such spaces.
What is a caretaker's unit?
A caretaker’s unit is a living or sleeping accommodation in an M-zoned building that does not exceed 1,200 SF. This use needs to be approved by the Department of Buildings (DOB).
Looking to get approval for a caretaker’s unit?
The DOB poses two main questions when determining the legality of an existing or potential caretaker’s unit:
Whether caretaker living or sleeping accommodations are typically found in connection with an owner’s particular use.
Whether the owner has demonstrated that the specific caretaker activities proposed render the living or sleeping accommodation “accessory use.”
The DOB defines “accessory use” as a use customarily found in connection with the principal use to which it is related.
Admittedly, this language can be confusing. For an example of what such rationale looks like in practice, consider an East Williamsburg painting shop that made news in 2018 for their caretaker’s unit approval request. The shop, which is open 24/7, successfully put forth the below argument to the Boards of Standards and Appeals:
“The proposed caretaker apartment would house an individual who would perform duties such as collecting and managing the collection of refuse, maintaining the sidewalk, bulkhead, shoreline, and the site and building in good condition, maintaining, and operating the mechanical and heating equipment; ensuring continuance of maintenance, security, and good repair; and maintain the Sign Painting Shop’s inventory.”
You can read the full article here: BSA Grants Appeal for Caretaker Apartment in Sign Painting Shop
It is helpful for business owners to be aware of such precedents. Is your business open 24 hours a day? Is your shop’s inventory expensive? Have caretaker units previously been approved for your use? If so, with the guidance of your land use attorney and/or architect, living in an M-zoned building may be possible!
*These are representative transactions and were not sold by MREIS.
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If you have an interest in selling or would just like to get a better understanding of the current market conditions please never hesitate to reach out.
Bobby Lawrence is an Associate Vice President at Matthews Real Estate Investment Services (MREIS) focusing on the sale of investment property in the Brownstone and Southwest Brooklyn markets. Opinions are his own and do not reflect those of MREIS.
Bobby Lawrence
Robert.lawrence@matthews.com
(908) 616-5799
