The Hamptons commercial real estate market showed continued strength with three separate investment sales in East Hampton and Sag Harbor Villages, collectively amounting to approximately $15.6 million. These deals, finalized in September 2025, were orchestrated by the Hamptons Commercial Real Estate Team at Compass, spearheaded by brokers Hal Zwick and Jeffrey Sztorc, who emphasized the need for creative negotiation and deep market knowledge to match buyers and sellers effectively.
The most talked-about transaction centered on the mixed-use building at 36 Newtown Lane in the heart of East Hampton Village, which sold for $6.45 million. This roughly 4,800-square-foot property on a 0.10-acre lot has been home to Sam's Bar and Restaurant since 1947, when it first opened as a family-run spot offering casual, affordable dining in an area increasingly dominated by upscale options. The iconic neon sign and unpretentious vibe have made it a local favorite for generations, providing a rare pocket of everyday accessibility amid the village's luxury boutiques and high-end eateries.
Beyond the restaurant, the building includes a separate 400-square-foot retail unit currently occupied by The Little East boutique, plus two residential apartments on the upper level. The configuration delivers steady rental income from multiple sources, contributing to a reported 6.4 percent capitalization rate on the sale. The longtime family owner, operating through Samnrose Realty LLC (linked to Tom Johnson, grandson of the original proprietors), transferred the asset to buyer Robert Zecher of Vault Development Partners and partners including Ben Rinzler. Vault has an established presence in the area, with holdings like the Mill complex in Water Mill and 107 Newtown Lane (home to Hampton Chutney).
Current restaurant operator Graham Quinn maintains a two-year lease that carries over to the new owners, ensuring continuity for now. No immediate alterations to operations have been announced, though community members have voiced concerns online and in local discussions about the long-term fate of the spot, especially given the wave of changes sweeping village businesses. For many, Sam's represents one of the last holdouts of old-school East Hampton character.
The other two properties in the package further illustrate investor appetite for well-leased, village-center assets:
At 32 Park Place in East Hampton Village, a compact 1,600-square-foot multi-tenant retail building on a small 0.06-acre parcel fetched $3.25 million, reflecting a 6.7 percent cap rate. Fully occupied and positioned near the main public parking area, it offers reliable income with strong visibility in the business district. Zwick and Sztorc collaborated with Compass colleague James Petrie to handle both sides of this deal, which went to buyer Levine Investment Partnership.
In Sag Harbor Village, the mixed-use property at 117 Main Street closed for $5.9 million. This versatile building features multiple ground-floor retail tenants, upstairs residential apartments, and the bonus of private outdoor space, something rare in the historic Main Street corridor. Compass represented the seller, while Barry McGovern of Hedgerow handled the buyer side.
These closings highlight the enduring appeal of income-generating commercial real estate in the Hamptons' core villages, where prime locations, stable tenants, and mixed-use potential continue to draw sophisticated capital even as broader economic conditions fluctuate. The Sam's property sale, in particular, stands out for its community resonance, sparking conversations about balancing preservation of local institutions with evolving ownership dynamics in one of the region's most desirable markets.
