Southampton Office Building That Houses Hertz Sold

Located across from the Long Island Rail Road station, the Southampton office building that houses Hertz Car Rental has sold for $1.33 million.

Hildreth Real Estate Advisors, a New York City-based real estate owner-operator firm that focuses on lower and middle market properties, bought the 1,828-square-foot, one-story stucco building at 59 Maple Street that has two vacant offices in addition to the space leased by Hertz. According to Hildreth Real Estate Advisors, the building was built in 1965 and was owned for the past 40 years by Michael Cappelluzzo.

“With this longtime owner, this is a historic property,” said Hildreth Real Estate Advisors co-founder David Shorenstein in a statement. “Opportunities like this hardly come around, especially in Southampton. We were in the right place at the right time.”

Mr. Shorenstein said Mr. Cappelluzzo guaranteed Hertz’s rent for six months — meaning that if the tenant stops paying rent in that time, Mr. Shorenstein will make up the difference. Hertz has a lease through 2024.

Each office space in the building has its own entrance facing the train station. Hildreth Real Estate Advisors plans to renovate the building, and Sara Burack of Nest Seekers is the leasing broker for the two vacant offices.

“We have a very positive outlook on the Southampton office market — a town that offers a very desirable location for a lot of people — especially since COVID-19, with many more people moving out to Eastern Long Island,” said Michael Gronenthal, Hildreth Real Estate Advisors’ head of Long Island acquisitions. “Southampton rents represent a strong value proposition for tenants because despite its affluence, retail rents are still only $30 to $50 per square foot, which is in line with the rest of Long Island.”

Hildreth Real Estate Advisors also owns 60 Jobs Lane in Southampton, a two-story building purchased two years ago for $1 million.