Development News Highlights - absre.com · square foot” — nearly double the Manhattan average according to a report. CPC’s determination of the price in October was reportedly

Development News HighlightsMANHATTAN - MID-2ND QUARTER 2018PLUS AN OUTER BOROUGH SNAPSHOT

Looking Ahead

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City to Takeover Sale of High-Line Transfer Corridor Air Rights

Following a determination by city planners back in October that only 10% of available air rights remain within the Special West Chelsea District, which includes the High-Line Transfer Corridor, the city has opted to take advantage of a zoning policy called the 90% rule reportedly created to “allow development to continue even after the supply of development rights dry up.” According to text within the 2005 West Chelsea rezoning, “After 90% of the High Line Transfer Corridor fl oor area is transferred to the receiving sites or is otherwise used, as an alternative to the High Line transfer, an increase in fl oor area would be permitted in exchange for contributions to an Affordable Housing Fund. The contribution amount per square foot would be determined by the City Planning Commission at the time that the fund is established.”

The Special West Chelsea District is roughly bound by 10th and 11th Avenues between West 16th and 30th Streets. Previously the City Planning Commission (CPC) had proposed “a rule change that would increase the price of air rights in the neighborhood to $500 per square foot” — nearly double the Manhattan average according to a report. CPC’s determination of the price in October was reportedly based upon the “median price for the (19) air rights sales that occurred in the district over the past 5-years” resulting in $504.48 per square foot. However more recently the previously proposed price was increased to $625 per square foot, an updated fi gure determined by the Department of City Planning (DCP) that reportedly represents a “price determined by a weighted average of past sales from the past 5-years;” and now instead of buying the available air rights based upon a price set by the market from one of the few remaining lots along the High Line, the city will create its own pool of air rights and sell them at the higher fi xed price which was approved by the city council on February 28.

Yet despite the increase, the revised price has sparked arguments from both area offi cials and some private property owners in the area which are among those that have a portion of the reportedly remaining 90,000 square feet of air rights that could potentially be sold, claiming it is signifi cantly lower than what some buyers have paid. Although it has been noted that some sales over the past 5-years have fetched prices at a below market rate of $100 to $200 per square foot, other sales have commanded prices as high as $1,130 per square foot. It was further pointed out that some developers have acquired “fl ipped air rights contracts” at a higher price than what the original contract vendee agreed to pay, however the city’s Automated City Register Information System (ACRIS) lists the contract’s original price, and not the price of the assigned contract since it is not subject to the New York City transfer tax, making it unclear what the actual sale price was by just looking at ACRIS; and thereby may result in an untrue weighted average of air rights sales.

Since the 2005 rezoning, property owners that want to develop in the neighborhood where the base FAR for most sites in the district is 5, could get a fl oor area ratio (FAR) “bonus of 2.5 if they purchase at least half of their air rights from specifi c lots along the High Line.” The other half of the bonus FAR to come from the inclusionary housing program requiring 10% to 20% of the project’s residential units being designated for affordable housing; or as an alternative an equivalent be constructed on a nearby site. Looking ahead all proceeds from the sales will now go to the West Chelsea Affordable Housing Fund which will be utilized by the New York City Department of Housing Preservation and Development (HPD) to develop and acquire low- and moderate-income housing.

Looking Ahead (cont’d)

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DOB Launches Interactive Sidewalk Shed Map

The real-time interactive map launched by the city’s Department of Building’s in April provides the exact location of all permitted sidewalk sheds throughout the (5) boroughs. As of April 17 there were 8,005 active sheds totaling 1,539,817 linear feet, or roughly 292 miles.

Borough# of Sheds

as of April 17, 2018Total

Linear FeetApprox.

Miles

Manhattan 3,752 621,037 118 miles

Brooklyn 2,318 423,171 80 miles

Queens 987 240,402 46 miles

Bronx 885 233,027 44 miles

Staten Island 63 22,180 4 miles

Looking Ahead

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A Ranking of Real Estate Holdings among New York City’s Universities

The reported fi ndings of an analysis of Department of City Planning and Department of Finance data for New York City properties owned by schools as of the end of February 2018 reveals that private universities in New York are continuing to maintain large physical footprints despite the swell of U.S. student debt to a reported approximately $1.4 trillion; and the increasing online migration of the college experience. Ongoing campus expansion of both within and beyond main locations among some of the larger universities has made the sector a prominent player in the land market, adding to competition for the city’s shrinking supply of buildable land; while having the advantage of a typically wider range of project fi nancing options over a private developer, such as the use of tax-exempt bonds due to non-profi t status, and the likelihood of private donations substantiated by the numerous facilities that go up with naming rights.

Frequently a welcomed change by the city’s real estate industry, since most university expansion projects provide more potential tenants and shoppers; and almost always have a positive impact on property values. In addition universities can serve as potential clients for developers, as in the cited example of the development of the New School’s 17-story, 367,378-square-foot facility at 65 Fifth Avenue (aka 63-67 Fifth Avenue) by the Durst Organization. Further fueling the push by educational institutions to upgrade and expand is the need to provide high-end facilities in order to compete with other top-fl ight schools. In addition investing in real estate for profi t has become more common as the mentality of universities continues to change, with more schools thinking about the greater role they play in the city according to the report.

On average, property holdings among the city’s biggest universities have reportedly increased by over 150% over the past 15-years. Among the top 10 ranked institutions Fordham owns the largest single asset, a 1.7 million-square-foot academic building at 441 East Fordham Road in the Bronx, followed by Columbia University and New York University whose largest properties are 1.5 million square foot each. However overall, Columbia University and New York University lead the way, both with major expansion projects underway.

181 Mercer Street Project which began pre-construction in early 2016 will upon full construction completion by New York University add an approximately 735,000-square-foot facility to its sprawling Greenwich Village campus. The estimated $1.285 million complex previously dubbed the Zipper Building is well underway on the pair of designated ‘superblocks,’ with a tentative completion in 2021. Performing arts space for the Tisch School of Arts will be created within a portion of the building that will host a 350-seat theater, as well as multiple studios practice rooms, study rooms and a café.

In addition a multi-level athletic facility that replaces the former Coles Sports Center will spread across the basement levels; and will feature an Olympic-sized pool, indoor track, varsity performance space, and multiple exercise rooms. Ground level retail space is expected to include a supermarket, with student residences on the upper fl oors. The entire 2-block project site is bound by Mercer Street and LaGuardia Place to the east and west, and West 3rd Street and West Houston Streets to the north and south.

Rank SchoolTotal Sq.

Ft.# of

Properties

1. Columbia University 14.88M 232

2. New York University 12.78M 110

3. Fordham University 3.25M 21

4. St. John’s University 2.67M 43

5. Cornell University 2.58M 16

6. Yeshiva University 2.56M 52

7. Rockefeller University 2.26M 25

8. Pratt Institute 1.75M 28

9. Manhattan College 1.26M 14

10. Barnard College 1.19M 8

181 Mercer Street - Rendering

New York City’s Universities (cont’d)

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Manhattanville Project which began construction in 2018 on the northern end of Manhattan between 129th and 133rd Streets will add a new 17-acre campus to the Columbia University’s existing Harlem campus about 10-blocks directly south between West 114th and 120th Streets; and deliver 15-new buildings upon full construction completion by 2030 at a projected cost of $6.8 billion according to 2016 reports. First to break ground was the

• Jerome L. Greene Science Center, 3229 Broadway (aka 605 West 129th Street), The 9-story, 450,000-square-foot facility that delivered in 2016 was the fi rst to break ground, followed by the

• Lenfest Center for the Arts which completed construction less than one year later. The 8-story, 60,000-square-foot multi-arts venue serves as a hub for the presentation and creation of art across multiple disciplines in conjunction with the Columbia University School of the Arts. Other developments underway include the

• University Forum and Academic Conference Center, a 3-story, 55,890-square-foot facility that will house a 430-seat auditorium as well as meeting rooms, faculty offi ces, and open gathering spaces. Construction of the academic center is expected to be completed this year; and the

• Columbia Business School, a 2-building development that will deliver the Ronald O. Perlman Center for Business Innovation and the Henry R. Kravis Building. Funding for both buildings was secured in the form of a $125 million and $100 million gift. Flexible classroom space, as well as dedicated space for recruiting, events, networking, and an alumni welcome center will be spread across both buildings.

Other smaller university expansions underway include:

Stavros Niarchos Foundation-David Rockefeller River Campus which will add 2-acres to Rockefeller University’s Upper East side campus. The estimated $500 million project is expected to be completed next year; and will add several buildings to the school’s existing campus, while extending it east over the FDR Drive between East 63rd and 68th Streets. The centerpiece of the project will reportedly be a 135,600-square-foot facility named the Marie-Josée and Henry R. Kravis Research Building as a result of a pledged $100 million by the eponymous foundation in 2015 to support the building’s creation.

New School had acquired the 5-story, 151,540-square-foot building last year for $153 million ($1,010 per square foot), planning to reposition it as a teaching and learning facility. The West Village block-through property located at 34-42 West 14th Street (aka 33-41 West 13th Street) between 5th and 6th Avenues will expand the school’s campus. In 2015, the New School completed construction of its 17-story, 367,378-square-foot University Center at 65 Fifth Avenue which spans the entire block-front of 5th Avenue between East 13th and 14th Streets. The new $353 million mixed-use development replaced a former department store and hosts a mix of student and academic space, as well as a 600-bed dormitory on the top 9-fl oors.

65 Fifth Avenue

Niarchos-Rockefeller River Campus - Rendering

Jerome L. Greene Science Center Lenfest Center for the ArtsAcademic Conference Center -

RenderingColumbia Business School - Rendering

Looking Ahead (cont’d)

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First-Ever Elevator Report Released by DOB

The report of a comprehensive 2017 study of the city’s over 84,000 elevator devices released by the city’s Department of Buildings (DOB) has been posted online as part of a recently launched interactive website that provides various tools for researching and analyzing the city’s elevators. The report combines data from the DOB as well as other city departments including the Department of Finance (DOF), the Department of City Planning (DCP), and the Department of Information Technologies and Telecommunications (DoITT) according details posted on the new portal. Information covers the various elevators throughout the city that are under the jurisdiction of the DOB. Elevator device categories include passenger, freight, escalators, dumbwaiters, personnel hoists, private elevators, sidewalk elevator, wheelchair lifts; and even permanent amusement rides, such as roller coasters.

Passenger elevators in New York City account for about 63,000 of the devices with statistics revealing that:

• According the National Elevator Industry, Inc. the average person living in a large city in America makes approximately (4) elevator trips per day, with passenger elevators in commercial and residential buildings similarly averaging (4) trips per day.

• There is one active passenger elevator for every 139 users.

• Passenger elevators make over 35 million passenger trips per day.

According to current regulations, elevators are required to be installed in buildings with more than (5) stories. Factors determining the number of elevators required include usable fl oor area, number of fl oors, and the height of each fl oor. The required elevator system is calculated based upon the size of the population to be served by the elevator device (elevator handling capacity), and the time a passenger spends waiting for an elevator (speed and distance traveled by the device).

In addition a historical background of the elevator, which has been present in New York City for over 160 years, is included in the report. By the mid-19th Century, iron frame construction techniques were introduced allowing for buildings to rise higher than (8) stories which spurred the growing need for a safe device to move people from fl oor to fl oor. Although elevators in various forms existed for centuries, the rope supported devices that were primarily used for moving freight or materials were not considered safe for passenger use. It was not until 1852 when Elisha Otis introduced his “design for a safety device to prevent elevator cabs from falling in the event of a device failure;” and about 5-years later the Otis Elevator Company installed the fi rst passenger elevator into the Eder V. Haugwout-owned department store at 490 Broadway. The installation cost approximately $300 for the elevator which traveled at about 40-feet per minute, in contrast to the fastest New York City passenger elevators in 2017 which operated at speeds of approximately 1,700-feet per minute.

New York City continues to be a proving ground for building and elevator innovations. Over the years as the city expanded and buildings rose higher, elevator devices have evolved to meet the challenges of the city’s rapidly changing built environment. Some notable emerging technologies include:

• 2005 – First “curved” escalator was installed in Bloomberg Tower, 731 Lexington Avenue; and is believed to be the only curved escalator in North America;

• 2018 – First TWIN elevator device in New York City is installed at Hudson Yards. The system has (2) cars that operate independently in one shaft providing the most effi cient use of available space; uses less energy; and allows for a 40% increase in passenger trips.

• 2020 – First “Jump Lift” installation in New York City will be located at the under construction One Vanderbilt tower. The Jump-Lift is a self-climbing system that is installed as soon the fi rst levels of completed fl oors are emerging, allowing for shaft construction and elevator installations to continue at higher fl oors while the elevator is operating in the same shaft at lower levels.

Sources: http://www1.nyc.gov/assets/buildings/html/elevator_report_2017.html

Development Exploration

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Midtown’s Park Avenue Meridians Re-Envisioned

An architectural competition “Beyond the Centerline” was launched last November by developer Fisher Brothers, seeking ideas offering a re-adaptive use for the median space along Park Avenue that “could be used to better engage with the public.” Spanning the blocks from East 46th through East 57th Streets, the medians that are located in the center of the iconic Manhattan avenue have reportedly “not been signifi cantly altered in a century.” Although decisions to execute any alterations to the median areas are the responsibility of the city government, it is believed by some that the medians which are underutilized and unconstrained by zoning codes could be repurposed for heightened public use. Respondents’ concepts included an aquarium, mini-golf courses, elevated walkways, as well as an artifi cial slice of a mountain according to reports. Winners selected in mid-March included:

• Park Park – The concept created by architectural fi rm Maison would utilize the median area to “bring several cultural attractions into the center of the street on raised concrete platforms.” Starting from East 46th Street the various concepts imagined were a skate park, recreated forest, basketball court, bridge, art gallery, gardens, a spiral staircase, and a raised stage for concerts and other events.

• Park River – The concept created by Local Architects features an “artifi cial river looping around the sides of Park Avenue.” Accessible to the public, the waterway would focus on recreational uses such as kayaking in the summer and ice skating in the winter.

Sources: http://www.fbdesigncom.com/

Park Park - 22Forest22 - Rendering

Park Park - Basket Ball - Rendering

Park Park - Gallery Garden - RenderingPark Park - Concert Space - Rendering

Park Park - Stack - Rendering

Park River - Ice Skating- Rendering

Park River - Waterfalls - Rendering

Park River - Rendering

New York Building Congress: Survey

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Building a World Class Tourism & Cultural Sector

The survey released in February by NYBC, in collaboration with the New York Building Foundation, brings the culture and tourism industry to center stage, recognizing the industry as a signifi cant contributor to New York City’s economy and future. In recent years the surge in tourism has fueled an increasing volume of construction and expansion of the city’s museums, performing arts centers, and other cultural facilities; as well as an “exponential increase in hotel development“ which has helped establish new hotel markets in Brooklyn and Queens, where few existed 10-years ago. However challenges such as capital funding constraints could potentially hinder the continued thriving of the tourism and cultural sector. The survey takes a closer look at the economic impact and some of the obstacles, and presents suggested recommendations to help ensure that New York City remains a ”top global destination for years to come.”

Tourism has become New York’s 6th largest industry, the sector establishing itself as a “critical revenue and employment generator.” According to data compiled by NYC & Company, the city’s offi cial marketing organization, a total of 62.8 million tourists visited the city in 2017 accounting for $45 billion in direct spending, which supported over 385,000 jobs. A total of 13.1 million were foreign travelers, accounting for one-third of all foreign visitors to the U.S.; and 75% cited the city’s cultural attractions as their primary draw according to a 2017 report. The Javits Center leads the way as a main draw, hosting over 2.1 million attendees and generating $1.9 billion in economic activity for New York City.

Tourism and Culture Projects over $5 million directly related to tourism and culture were analyzed, including signature parks and retail centers that are major destination for visitors from outside New York.

Principal Components of Tourism and Cultural Infrastructure

1. Cultural and leisure attractions such as museums and performing arts centers, arenas and stadiums, and parks and green spaces;

2. Convention and exhibition facilities, a category where the city is unique among other cities of its size for having only one convention center, though some of the larger hotels play an auxiliary role;

3. Lodging, of which New York City has one of the largest and most diversifi ed hotel markets in the U.S., delivering more new hotel rooms than any market in North America in the latest hotel construction boom;

4. Transportation infrastructure is key in bringing in both business and leisure travelers, with New York’s (3) regional airports and intercity passenger rail playing a vital role, along with Pennsylvania Station — the busiest transportation hub in North America.

Sources: https://www.buildingcongress.com/uploads/NYBC_Tourism_Cultural_Report.pdf

Tourism / Culture Projects # of ProjectsConstruction

CostEconomic

OutputTotal

WagesWorker Years

Recent and current projects slated for completion before 2020

168 $9.4B $12.9B $5.9B 62,000

Projects in the Pipeline 155 $7.1B $9.7B $4.5B 47,000

Tourism -related Transportation Infrastructure Projects

Estimated Capital Spending

Economic Output

Total Wages

Worker Years

Current/Recent Investment $25.5B $35B $16.1B 170,000

Planned Transportation Projects in Total $32.3B $44.3B $20.3B 215,000

Including direct, indirect, and induced multiplier effects

New York Building Congress (cont’d)

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Capital Funding in support of cultural facility construction is partially provided by the U.S. government; however New York receives less national support for the sector compared to its global peers. Funding provided by the city in support of arts and culture is greater than that spent by any other state or local jurisdiction in the U.S. The New York City Department of Cultural Affairs (DCLA) is the largest cultural funder in the nation, with a total capital budget of $822 million for the period of 2015-2018; and an operating budget of $177 million in FY 2017. In 2017 DCAL provided $330 million in capital and operational funding to arts and cultural organizations in the (5) boroughs; and will increase spending by 9% in the current fi scal year.

CreateNYC is a comprehensive cultural plan unveiled in July 2017 by the de Blasio administration which proposes strategies to expand access to the arts and encourage institutional growth beyond organizations operating on city-owned property. Increased capital funding to be allocated to the sector will give priority to underserved communities, particularly in the outer boroughs, while sustaining commitment to many of the large established institutions.

Tourism and Culture-related Construction Trends

1. New museum construction has surged, with several large construction and expansion projects among all classes ranging from large legacy institutions to smaller locally-focused museums. Focusing on the visitor experience, museums are adding new technology into project plans to encourage a more engaging experience for visitors. Notable projects include the September 11th Museum in Lower Manhattan with a project cost of $610 million; the Whitney Museum at 99 Gansevoort Street in the Meatpacking district at a cost of $422 million; the current large-scale expansion of MoMA’s campus at 11 West 53rd Street, which will add a combined total of roughly 68,500 square feet of new space; and the American Museum of Natural History’s new 6-story, 235,000-square-foot Gilder Center which began preparatory work in May.

2. Capital investment helps fuel increased museum attendance as exemplifi ed by the Whitney Museum which saw a tripling of the number of visitors — from 340,000 to over one million in the year following the 2015 opening of its new Meatpacking district facility; the Queens Museum saw annual attendance double from 100,000 to 200,000 since its 2013 renovation; and The Metropolitan Museum of Art experienced a 5% increase in attendance in 2016 after the renovation of the Breuer Building.

3. Private funding is critical since most of the large cultural projects are dependent upon it despite public support, which can be signifi cant and often times required to fi ll funding gaps. However due to availability and timing of city and state grants being unpredictable it often results in signifi cant project delays, and inevitably adds to project costs.

4. New iconic parks and attractions have changed the city’s landscape. There are 24 projects in the pipeline with a combined total cost of $2.2 billion. Overall the largest recently completed or currently under construction parks and special attractions have a combined cost of $954 million — New York Staten Island Wheel ($590 million, but has experienced signifi cant delays), Vessel at Hudson Yards ($200 million), FDR Four Freedoms Memorial Park on Roosevelt Island ($53 million), Luna Park, Coney Island ($40 million), as well as:

• High Line Park – The 1.45-mile elevated park sees 8 million visitors annually, and is an important factor in the Far West Side’s overall renewal, which is visible in the creation of new retail in West Chelsea, major corporate investment, and a boom in residential development.

• Governor’s Island – The former U.S. Coast Guard base that has been undergoing a repositioning and redevelopment attracted 585,000 people in 2016, an increase of 70% from 2012 following the opening of the $71 million Hills attraction, a collection of (4) separate man-made hills that rise 70-feet above sea level created out of leftover debris form old buildings on the island, giving visitors a panoramic view of New York Harbor; and include art exhibits and hiking paths.

5. Brooklyn Cultural District has grown over the past decade to become one of the nation’s premier arts hubs. Centered on the Fort Greene neighborhood, surrounding the Brooklyn Academy of Music (BAM), the district currently serves as the home of over 60 non-profi t performing visual and media arts organizations including BAM, the Theater for a new Audience, the Mark Morris Dance Group, Urban Glass and BRIC Arts. Affi rmative zoning policies and $100 million in capital investments by the city were critical to the success of the cultural district. According to a 2014 study by the Downtown Brooklyn Partnership, arts and culture brought $310 million to the Brooklyn Cultural District.


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Tourism and Culture-related Construction Trends (cont’d)

6. Jacob K. Javits Center renovation and 1.2 million-square-foot expansion will improve its ability to attract premier national conventions and conferences. Upon construction completion the estimated $1.55 billion project will increase current exhibition space by 90,000 square feet, bringing the total to 500,000 square feet. In addition a 45,000 square-foot meeting space and 55,000 square feet of ballroom space will be created; as well as a new green roof terrace that can accommodate 1,500 people according to reports.

According to a press release by ESDC in early 2017 the project is expected to create 4,000 full-time jobs, 2,000 part-time jobs and 3,100 construction jobs; generate $393 million in new economic activity a year; and generate 200,000 additional hotel room nights a year. However, New York City will still remain behind domestic competitor markets including Chicago, Las Vegas and Houston, prompting some industry experts to raise the possibility of adding a second facility, with Sunnyside Yards and Willets Point in Queens being mentioned as complimentary sites.

7. Capital spending remains focused on Manhattan with more than half of the New York City cultural capital budget allocated to projects in the borough most years. While there has been a growing interest by visitors in seeing New York City beyond Manhattan, it continues to be the main tourist draw; and outer borough projects are seen as supplemental.

8. Hotel development has increased the number of guestrooms across the city by 32% since 2010, reaching 115,500-keys spread across 630 hotel properties. Manhattan accounts for 80% of the keys; however outer borough development has increased signifi cantly over the past decade with an almost 200% increase in the number of guestrooms in Brooklyn, 86% in the Bronx, and 75% in Queens, versus an only 50% increase in Manhattan. Data released in a 2017 NYC Hotel Market Analysis by the Department of City Planning showed a projected hotel pipeline of 276 hotel projects comprising 38,000-keys in construction and pre-construction — a one-third increase over current supply, with 50% located in Manhattan; 27% in Queens, primarily in Long Island City and Jamaica; and 18% in Brooklyn, primarily in Williamsburg and Downtown Brooklyn.

9. Cancelation or delay of several prominent cultural projects due to uncertain funding sources, concerns about escalating costs, and re-examination of institutional priorities. Notable cancellations include the New York Philharmonic’s decision not to move forward on its planned $500 million renovation to Geffen Hall at Lincoln Center; and decisions last year to put on hold a planned $600 million expansion by the Metropolitan Museum of Art.

Jacob K. Javits Center - Rendering


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Challenges:

While the city’s culture and tourism industry and the capital infrastructure that supports it are healthy and dynamic, there are challenges on the horizon.

• Lack of access to the city’s cultural and leisure attractions serves as a deterrent for drawing a larger visitor base beyond Manhattan.

• Many cultural projects are dependent upon large private gifts and public grants that can be slow and unpredictable.

• Capital projects at museums and cultural facilities being canceled or delayed due to operating defi cits.

• Unprecedented growth in hotel development has put downward pressure on room rates and revenue.

• Insuffi cient meeting space in the city, particularly in the outer boroughs.

Recommendations:

• Pursue a second convention/exhibition center outside Manhattan

• Work with the hotel industry to build more meeting space in strategic locations in all (5) boroughs.

• Creation of a Cultural Institutions Development Task Force to help plan a 5-borough planning and investment strategy with the goal of building an interwoven, systematically-funded citywide cultural network.

• City should explore other opportunities in each of the outer boroughs to create new cultural destinations using the Brooklyn Cultural District as a model; and consider additional zoning bonuses for arts and performing spaces.

• Expand the CreateNYC plan to give it a stronger focus on capital funding, specifi cally through city-owned destination parks, museums and other cultural attractions.

• Transform the city’s transportation network to ensure seamless mobility — adding a new station of the #7-line, extending the #1-line to Governor’s Island and Red Hook, the BQX (Brooklyn-Queens) Streetcar proposed by Mayor de Blasio should be built to create access to important emerging cultural districts.

• Complete the transformation of LaGuardia, JFK, and Newark Airports so they are able to accommodate the vastly increasing number of travels arriving in New York.

• Improve access to cultural attractions in the outer boroughs – add additional NYC Ferry routes serving Coney Island and points in Staten Island beyond St. Georges, including Snug Harbor and South Shore.

• Complete Amtrak’s Gateway Program tunnels, which in addition to being a lynch-pin to the city’s economic well-being, provide essential access for regional visitors to New York City’s cultural assets.


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Project Cost Funding Source

Lodging

JFK TWA Flight Center Hotel $265M Private

Marriott Moxy Hotel Times Square $205M Private

Virgin Hotel $165M Private

Convention Centers Javits Center $1.2B Public

Culture and Leisure

ArenasUSTA National Tennis Center $607M Private

Museums

MOMA Expansion and Renovation $494M Private/Public

Parks

Statue of Liberty Museum $70M Public

ONE Brooklyn Marina $38M Private

Brooklyn Bridge Pier 3 $26M Private/Public

Riverside South Park $17M Public

Performing Arts

BAM Harvey Theater $25M Private/Public

MCC Theater $18M Private/Public

Downtown Brooklyn Cultural Unit $16M Private/Public

Hudson Yards Culture Shed $435M Private/Public

Retail Centers

Oculus $1.4B Private/Public

$250M Private

South Street Seaport Pier 17 $200M Private

Special Attractions

Vessel at Hudson Yards $200M Private

NY Wheel Base Terminal Building $68M Private

Project Cost Funding Source

Lodging

Toyoko Inn New York Hotel $220M Private

1568 Broadway $180M Private

35 W 28th Street $120M Private

Culture and Leisure

Museums

Richard Gilder Center for Science $340M Private/Public

Studio Museum in Harlem $122M Private/Public

New Museum $85M Private

Frick Collection $160M Private

Parks

Brooklyn Strand Greenway $163M Private/Public

East Midtown Waterfront $100M PublicEsplanade

QueensWay Elevated Park $100M Private/Public

Performing Arts

Perelman WTC Performing Arts $363M Private/Public Complex

Dance Theater of Harlem $11M Private/Public

Retail Centers

Empire Outlets Staten Island $355M Private

Special Attractions

New York Wheel $590M Private

Resorts World Casino $400M Private

The New York Building Congress identifi ed 155 planned Culture/ Leisure, and Lodging Projects in the construction pipeline. The total construction cost of these projects is $7.1 billion.

Top Recent and Current Projects Top Planned Projects


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Recent and Current Culture/Tourism Economic Impacts by Project Category Top Planned Projects

Worker Years

Lodging

Convention Centers

Culture and Leisure

Arenas

Museums

Parks

Performing Arts

Retail Centers

Special Attractions

Total

$3,679 M

$1,200 M

$4,507 M

$607 M

$619 M

$96 M

$98 M

$2,107 M

$980 M

$9,385 M

$5,045 M

$1,646 M

$6,180 M

$832 M

$849 M

$131 M

$135 M

$2,890 M

$1,344 M

$12,871 M

17,812

5,810

21,820

2,937

2,997

463

476

17,812

4,745

45,443

1,687

550

2,066

278

284

44

45

1,687

449

4,303

4,873

1,590

5,970

803

820

127

130

4,873

1,298

12,433

24,373

7,950

29,856

4,018

4,101

633

652

24,373

6,493

62,179

TOTALDIRECT

$2,314 M

$755 M

$2,835 M

$382 M

$389 M

$60 M

$62 M

$1,326 M

$617 M

$5,904 M

Earnings

TOTAL DIRECT INDIRECT INDUCED TOTAL

Economic Output

Worker Years

Lodging

Convention Centers

Culture and Leisure

Arenas

Museums

Parks

Performing Arts

Retail Centers

Special Attractions

Total

$3,439 M

-

$3,661 M

-

$798 M

$584 M

$669 M

$5 M

$1,605 M

$7,100 M

$4,716 M

-

$5,020 M

-

$1,094 M

$801 M

$917 M

$7 M

$2,201 M

$9,737 M

16,651

-

17,725

-

3,863

2,829

3,238

16,651

7,771

34,375

1,577

-

1,679

-

366

268

307

1,577

736

3,255

4,556

-

4,850

-

1,057

774

886

4,556

2,126

9,405

22,783

-

24,253

-

5,286

3,871

4,430

22,783

10,632

47,036

TOTALDIRECT

$2,163 M

-

$2,303 M

-

$502 M

$368 M

$421 M

$3 M

$1,010 M

$4,466 M

Earnings

TOTAL DIRECT INDIRECT INDUCED TOTAL

Economic Output

$12.00 B Current

$1.50 B Planned

$1.70 B Planned

$1.25 B Planned

$10.00 B Planned

$3.60 B Current

$3.20 B Current

$1.60 B Current

$695 M Current

$14.20 B Planned

Capital Project Cost

$4.00 B Current

Planned Culture/TourismEconomic Impact by Project Category

P.14PPPPP.1P.1P.14.141414444

In the News

St. Patrick’s Cathedral Goes Geothermal

The iconic 140-year-old St. Patrick’s Cathedral located on Midtown’s 5th Avenue recently completed a $200 million renovation. While some of the work took place above ground, concealed from view are the newly constructed (10) wells located along the Cathedral’s perimeter. The wells which collect ground water are up to 2,200-feet deep; and are part of a newly installed state-of-the-art geothermal heating and cooling system, replacing outdated and ineffi cient steam radiators and air conditioning units. While a traditional cooling tower and a natural gas boiler system were installed as a back-up, their use is reportedly yet to be needed since the Cathedral’s geothermal system launched in February 2017.

Hidden from the public’s eyes are the system’s thousands of feet of pipes installed below-grade which transport heated and chilled water through the system; the dozens of fan coils installed behind radiator covers to blow geothermal heat in the winter; and (14) larger fan coils installed in a gallery located above the Cathedral’s arches called the triforium, that pushes cooled air down into the Cathedral during the summer. A computer system installed in a former boiler room determines whether cooling or heating is needed; and can switch various wells on and off to allow for heating in some areas and cooling in others. Access to the (10) 8-inch-wide wells is through manholes which have been hidden within the surrounding gardens on the property.

The Cathedral’s “standing well geothermal project is believed to be the largest ever built in Manhattan,” with approximately 20 geothermal systems currently installed in New York City over the past 5-years including the Queens Botanical Garden, the Brooklyn’s Children’s Museum, the Lion House at the Bronx Zoo, and at Cornell University’s new campus on Roosevelt Island. These type of systems offer increased sustainability; and are reportedly estimated to achieve roughly 25% to 30% in energy savings when compared to conventional options, equating to a reduction of about 94,000 kilograms of carbon dioxide emissions, that over the long-haul will help offset the $35 million cost incurred by the Cathedral according to reports. However it was further pointed out that while increasing sustainability, the cost of the system’s overall maintenance and periodic replacement of the submerged pumps can make it fi nancially unfeasible.

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New to Market

129-135 East 56th Street aka 680-688 Lexington Avenue (Plaza) – Kiska Development has introduced the sale offering of a (9) parcel assemblage totaling 13,225 square feet that can reportedly accommodate about 175,000 buildable square feet. Located at the northwest corner of Lexington Avenue and East 56th Street, the area’s current zoning reportedly allows for “residential, offi ce, hotel and medical uses with no height restrictions.” Although an asking price was not released, some reported sources estimate a sale could fetch in the neighborhood of $180 million ($1,029 per buildable-square-foot). The parcels were acquired through multiple transactions between 2010 and 2014 for a combined total of roughly $63.533 million ($363 per buildable-square-foot):

• 131-135 East 56th Street / 678-684 Lexington Avenue – The (7) parcels were purchased in March 2010 for roughly $33.867 million;

• 686-688 Lexington Avenue – A total of 17,998 square feet of development rights was purchased in July 2010 for roughly $4.816 million;

• 129 East 56th Street – The vacant 1,266-square-foot lot was purchased in January 2011 for $3.6 million; and

• 686-688 Lexington Avenue – The fee and leasehold interest of the 5-story, 15,000-square-foot offi ce building was acquired in May 2014 for a combined total of $21.25 million — roughly $13.813 million for the feet and $7.438 million for the leasehold interest.

140 West 57th Street (Columbus Circle) – Longtime owner the Feil Organization has reportedly introduced the sale offering of the 14-story, 75,968-square-foot offi ce building. Being marketed as a potential residential redevelopment or a boutique offi ce renovation, some reported sources anticipate a sale could fetch in the neighborhood of $90 million ($1,185 per square foot). Dating back to 1907 the landmarked building last traded for $59 million ($777 per square foot) in 2009. Located along Billionaires’ Row between 6th and 7th Avenues, it shares the block with 111 West 57th Street, the 82-story, 58-unit residential condominium dubbed Carnegie Hall being constructed by JDS Development; and Extell Development’s 73-story, 159-unt One57 Tower at 157 West 57th Street that delivered last year.

Feil had fi led plans in November 2016 for a residential condominium conversion of the building which was vacated as existing offi ce tenant leases expired. The 9,300-square-foot retail space spread across the ground and a portion of the 2nd fl oor which serves as the home of a Morton Williams grocery store to remain. As part of the project the building’s density was to be increased to roughly 80,000 square feet by adding residential space on top of the building according to reports. However a reported oversight of a zoning lot and development agreement, or ZLDA that dated back to 1984 limiting the fl oor area to 63,238 square feet brought a halt to project plans.

485, 487, 489, 491, and 497 Ninth Avenue (Penn Plaza) – The vacant site located between 37th and 38th Street that formerly hosted (5) tenement buildings has reportedly been introduced to the market by property owner David Israeli at an undisclosed price. Located within a corridor that runs on both sides of 9th Avenue between 35th and 41st Street created by the Hudson Yards rezoning, which is protected from any kind of demolition, a determination that the existing structures were in an unsafe condition eventually led to their emergency demolition in 2015 under an order issued by the Department of Buildings (DOB). As a result, new construction is now allowed on the site the can reportedly accommodate up to 185,000 buildable square feet.

Midtown Development

Midtown (cont’d)

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New to Market (cont’d)

38-46 West 33rd Street (Penn Plaza/Garment) – ABH Realty (aka Torkian Group) is reportedly marketing the 106,000 square feet of bonus square footage generated by the 45-units of affordable housing within the 223-unit mixed-use development that is nearing construction completion. It is likely that the “inclusionary air rights” being offered at an asking price of $375 per square foot will be sold in several tranches, which according to reported city rules can be transferred “anywhere within its Community Board 5, which runs generally from 14th to 59th Street between 6th and 8th Avenues. But it can also be sold within a half mile of the site, adding a huge swath of Midtown South in the mix.” The 41-story, 220,724-square-foot tower that has a linear height of 404-feet has replaced a former ICON parking garage which the developer acquired in 2007 for $30 million. Another $14.85 million was invested for the acquisition of additional development rights — roughly $13.197 million ($338 per square foot) in 2013 for 39,006 square feet of excess fl oor area from Rick’s Cabaret at 50 West 33rd Street; and $1.65 million ($80 per square foot) for 20,610 square feet of unused development rights in 2011 from above the adjacent storefront at 48 West 33rd Street, for a total assemblage cost of about $44.85 million ($203 per buildable square feet).

1706-1720 Broadway aka 215 West 54th Street (Midtown West) – Extell Development has reportedly introduced the 8,848-square-foot corner development site to the market. The developer had acquired a 39% stake in December 2015 from C&K Properties in the site that can accommodate 135,720 buildable square feet for roughly $168.4 million ($1,241 per buildable-square-foot) according to reports at the time. The parcel which currently hosts a 6-story, 52,150-square-foot commercial building was intended to be part of a larger assemblage on the block bound by Broadway and 7th Avenue between West 54th and 55th Street. However due to the inability to acquire the remaining parcels sought to complete the assemblage, the developers have opted to abandon plans.

Simultaneously to the stake acquisition Extell purchased additional air rights from surrounding properties for nearly $60 million to allow for reportedly up to 370,000 buildable square feet, but according to reports Extell intends to retain some of the air rights to apply to its other sites. It is unclear which of the air rights are included in the sale offering of the 288,000-square-foot zoned site which is being marketed as “prime for pied-a-terres in the 600- to 1,000-square-foot range.” Although an asking price was not established it is reportedly expected to fetch in the neighborhood of $200 million ($694 per buildable-square-foot).

Air rights acquisitions by Extell in 2015 had included:

• $14,639,553 for the purchase of 50,029 square feet of excess fl oor area development rights from the 77-unit co-operative at 203-211 West 54th Street.

• $35,947,638 for the purchase of an unspecifi ed square footage of development rights from Woodward Affi liate. The (3) Woodward-owned properties, which are controlled through a long-term ground lease by reportedly Hampshire Hotels Management include the Dream New York hotel, 206-210 West 55th Street (aka 1722-1728 Broadway); a residential building at 204 West 55th Street; and a mixed-use building at 856 Seventh Avenue.

• $9,152,500 for the purchase of 26,150 square feet of excess fl oor area development rights from 845 Carnegie Real Estate Corp’s property at 854 Seventh Avenue.

Plus in February 2016, another 16,000 square feet of excess fl oor area development rights was acquired for $20,129,550 ($1,258 per square foot) from the Helen Hayes Theatre and the St. James Theatre at 240 and 246 West 44th Street, located within the Theater Subdistrict.

17 East 47th Street (Columbus Circle) – The property owner under the entity Sun’s Acres LLC, associated with a Ki Hyo Park and Peter Park according to NYC DOS, has reportedly introduced the sale offering of the 8-story, 17,131-square-foot former New York Mercantile Library at an asking price of $23.85 million ($628 per buildable-square-foot). The building that dates back to 1932 will be delivered vacant, having last traded in February 2014 for $18 million ($474 per buildable-square-foot). The 2,500-square foot site located between 5th and Madison Avenues reportedly includes about 20,485 square feet of unused air rights, offering a redevelopment opportunity of up to 38,000 buildable square feet.

1706-1710 BroadwayProposed Rendering

38-46 West 33rd Street

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Pending Air Rights Sale

St. Patrick’s Cathedral, 625-635 Fifth Avenue (Midtown East) – The church reportedly has a tentative deal to sell up to 30,000 square feet of air rights to the owners of 405 Park Avenue, which are planning to enlarge the existing 17-story, 163,401-square-foot Midtown East building. If the sale moves forward it would fetch about $9.224 million based upon the roughly $307.45 per square foot minimum base price established by the city as part of the Greater Midtown East rezoning approved last August. A mandatory public contribution to the city’s Public Realm Fund to the greater of $61.49 per square foot or 20% of the sale price equates to roughly $1.845 million, resulting in potential proceeds for the church of about $7.379 million.

However before that sale can close on any contracts for its estimated 1.1 million square feet of available rights above the landmarked cathedral, the church must create a “maintenance plan indicating how proceeds from any transaction would be used for upkeep of the cathedral,” which must then be approved by the city’s Landmarks Preservation Commission (LPC) according to reports. Approvals have already been secured from Manhattan’s Community Board 5 of a presented proposed maintenance plan; and if approved by the LPC will reportedly become “a legally binding document.”

The additional air rights will allow co-owners of the Park Avenue building, MRP Realty and Deutsche Bank Asset Management, to move forward with proposed plans to vertically expand the building by 4-stories, bringing its total square footage to about 205,000 square feet. The project is part of a planned gut-renovation of the Plaza district building located at the corner of East 54th Street they acquired in 2016 for $237.764 million ($1,455 per square foot) from Donerail Corp.

270 Park Avenue (Plaza) – JPMorgan Chase is reportedly in talks with St. Bartholomew’s Church at 325 Park Avenue (aka 109 East 50th Street) for 100,000 square feet of air rights, in addition to the approximately 680,000 square feet the fi nancial institution is negotiating to purchase from above Grand Central Terminal. The additional density will be transferred to the site of JPMorgan’s existing headquarters that will be demolished to make way for the ground up construction of a planned approximately 2.5 million-square-foot tower. Details of the potential sale were not released. Similar to a separate transaction between another landlord and St. Patrick’s Cathedral, approvals by the Landmarks Preservation Commission (LPC) of a maintenance plan will need to be secured before a sale can move forward.

Recently Sold Sites

3 Hudson Boulevard (Hudson Yards) – Boston Properties will be joining the Moinian Group as the developer of record for the 940-foot-tall offi ce tower that broke ground in November, having reportedly signed a term sheet in March to provide nearly $500 million in equity. News of the partnership comes about (5) months following reports that Moinian was hoping to raise between $250 million and $350 million through the federal government’s EB-5 Foreign Investor program; or as a possible alternative secure a debt-equity fi nancing package totaling $3 billion to “consist of roughly $1.8 billion in debt and $1.2 billion in equity” that would potentially make the EB-5 funding unnecessary according to reports late last year. The deal with the Boston-based real estate investment trust is expected to close in mid-May, Moinian reportedly intending to continue to search for an additional equity partner.

The project that will spread across a full block between 11th avenue and Hudson Boulevard Park has yet to secure an anchor tenant; and underwent a redesign last year which resulted in a 13-story downsizing from the previously planned 66-story, 1,050-foot-tall development. Work on the tower’s foundation that was partially completed as part of the 7-subway extension had moved ahead, reports in 2016 noting that Moinian and his fi nancial backers were putting up as much as $100 million to fi nance the foundation work. The approximately 47,454-square-foot site that had alternate addresses 400 Eleventh Avenue and 555 West 34th Street was sold by telecommunications provider Verizon in December 2005 for $54.788 million, reportedly just months after the Bloomberg administration had rezoned 48 blocks on the Far West Side.

Midtown (cont’d)

Sources: https://ny.curbed.com/2017/11/3/16604408/3-hudson-boulevard-hudson-yards-new-renderings https://ny.curbed.com/2017/11/1/16593224/3-hudson-boulevard-new-rendering-construction

3 Hudson Boulevard - Rendering

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Recently Sold Sites (cont’d)

111 West 57th Street (Columbus Circle) – Madison Realty Capital has reportedly acquired an undisclosed stake in the 82-story, 400,000-square-foot condominium that reached a height of 45-stories in April. The reported $90 million investment is in the form of a preferred equity stake, which “guarantees the fi rm a minimum return on its money before the other partners can recoup their share from any proceeds of the project” according to reports. Madison joins Spruce Capital as an ownership stake holder of the estimated $1 billion project being constructed by JDS Development and Property Markets Group. The slender tower that is only 60-feet wide will reach a linear height of 1,428-feet and host 60 full-fl oor residential units. An 800-ton tuned mass damper will reportedly crown the project, designed to minimize movements and vibrations. The adjacent former Steinway Hall at 109-113 West 57th Street will be incorporated into the base of the tower, its landmarked ground fl oor interior to undergo a restoration; and upon completion will serve as part of the retail space for the new tower.

308-314 West 43rd Street aka 305-317 West 42nd Street (Times Square) – The joint venture of Taconic Investment Partners and National Real Estate Advisors have secured a 99-year leasehold that runs through March 2117 for the pair of adjacent properties from fee-owner 1199SEIU Healthcare Workers East for $95.602 million. The parcels located between 8th and 9th Avenues offer a combined total of 32,665 square feet of land area; and currently host a parking lot and a 13-story, 62,416-square-foot building currently occupied by the healthcare union’s benefi t fund, 1199SEIU, which will be relocating in about 2-years along with the union to a consolidated space at 498 Seventh Avenue (Penn Plaza/Garment).

The leaseholders reportedly plan to demolish the existing structure to make way for an approximately 35-story mixed-use development that will spread across both block-through parcels. The estimated $250 million project will host about 60,000 square feet of retail space, the developers taking advantage of the 150-feet of frontage along West 42nd Street, and another 173-feet fronting West 43rd Street. The residential component will host a yet-to-be-determined number of units, which will be rentals due to the ground-lease structure. During the interim prior to the building being vacated the co-developers will be able to utilize the time to fi nalize project’s designs and plans, while continue to generate some rent income.

Midtown (cont’d)

111 West 57th Street - Rendering

P.19PPPPP.1P.1P.19.191919999

Projects on the Horizon

806 Ninth Avenue / 705 Tenth Avenue (Hell’s Kitchen) – New York City’s Housing Preservation and Development (HPD) released a request for proposals (RFP) in April, seeking a developer to construct ground up developments on the pair on non-contiguous sites. According to the HPD’s website:

• 806 Ninth Avenue – A mixed-use development that will host affordable housing, ground level retail space, 30,000 square feet of offi ce space, and below-grade parking is intended for the approximately 21,500-square-foot city-owned site. Currently leased to the Metropolitan Transportation Authority (MTA), the site serves as a parking lot for the adjacent MTA offi ce building.

• 705 Tenth Avenue – An affordable housing development that will include a public restroom is intended for the vacant approximately 22,200-square-foot site. Located between West 48th and 49th Streets, the site includes a rail cut for the Amtrak Empire line. An open space will be developed by the New York City Department of Parks and Recreation in an area adjacent to the site.

Projects in Progress

10-22 West 57th Street / 19-21 West 56th Street (Plaza) – Solow Realty & Development fi led new building applications for a 52-story, 392,555-square-foot mixed-use development that will rise directly across the street from the developer’s headquarters at 9 West 57th Street. The 672-foot-tall structure located within the corridor that has been labeled “Billionaire’s Row” will host 80 residential units spread across 202,738 square feet and 180,396 square feet of commercial space. Although unverifi ed it seems likely that construction will spread across (3) adjacent parcels that front West 57th Street and a (4) adjoining parcel that fronts West 56th Street acquired by Solow for a combined total of $323 million from 2002 to 2016. Previous reports noted that the (4) parcels can accommodate 213,000 buildable square feet of residential space plus additional air rights that can be put towards a commercial component.

• 16-18 West 57th Street – The 5,020-square-foot parcel that hosts a 5-story, 20,800-square-foot offi ce building traded for $128 million in 2016; demolition permits have been fi led.

• 10-14 West 57th Street – The 7,230 square-foot parcel that hosts adjoining 11-story offi ce buildings totaling 81,174 square feet was acquired in 2002 for $120 million.

• 20-22 West 57th Street – The 5,020-square-foot parcel that hosts an 8-story, 37,241-square-foot offi ce building traded in 2007 for $60 million.

• 19-21 West 56th Street – The 5,020-square-foot parcel that hosts a 6-story, 23,136-square-foot offi ce building last traded in 2007 for $15 million; demolition permits have been fi led.

Midtown (cont’d)

Midtown South Development

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Fur District: No Longer a Commercial Businesses-dominated Neighborhood

The 8-block area primarily bound by 17th and 30th Street and 6th and 8th Avenues that in years past was reportedly home to over 350 fur-related businesses; and offered nothing in the way of nightlife has been undergoing a transformation in recent years. Former warehouse conversions and new ground-up development have been increasing in numbers as the district gradually transitions into a mixed-use neighborhood with several residential and hotel developments in different stages of planning and construction. Bordering the neighborhoods of Chelsea, NoMad, Penn Station, and the Hudson Yards, development projects within the Fur District include:

• 241, 245- and 249-251 West 28th Street / 250 West 29th Street – Site preparation reportedly began in 2016 for a planned pair of 15-story, 165-foot-tall buildings that will share a single-story podium to be constructed by Edison Properties. The 314,013-square-foot complex is expected to host 323 residential units spread across 252,191 square feet and 6,069 square feet of commercial space. The 4-parcel, 29,326-square-foot block-through site located between 7th and 8th Avenues formerly served as an Edison-operated parking lot.

• 50 West 30th Street (formerly 846-850 Sixth Avenue) – The 24-story, 105,973-square-foot mixed-used development dubbed Nomais currently under construction by Alchemy Properties. The 316-foot-tall structure will host 55 residential units and 10,363 square feet of retail space. Located at the corner of West 30th Street, new construction has replaced a former single-story commercial structure.



257 West 29th Street - Rendering 105-109 West 28th Street - Rendering

217-223 West 29th Street- Rendering

215-219 West 28th Street - Rendering


Fur District (cont’d)

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• 211 West 28th Street – Foundation work got underway last year for the 14-story residential development that will host 37 supportive housing units spread across 24,563-square-feet. The project being constructed by Arker Companies and Chelsea Leaf South Housing Development Fund included a partial demolition of the existing 6-story, 13,332-square-foot mixed-use building and an 8-story vertical expansion, adding 14,342 square feet.

• 217-223 West 29th Street – The 21-story, 104,827-square-foot mixed-used development constructed by CBSK Ironstate, a consortium of SK Development, CB Developers, and Ironstate Development, delivered last year. The 210-foot-tall structure located between 7th and 8th Avenues hosts 95 residential units, of which 20% are designated for affordable housing, and 671 square feet of commercial space. A 99-year ground lease was secured in 2013 for the 2-parcel assemblage located between 7th and 8th Avenues for $20.08 million, expiring mid-July 2112.

• 257 West 29th Street – The 14-story, 27,455-square-foot supportive housing development that delivered last year was constructed by Arker Companies. The 37-unit building located between 7th and 8th Avenue replaced a 6,000-square-foot townhouse with a 70-seat theater at its base.

• 132-136 West 28th Street – New Jersey-based property owner Frank Ng fi led plans in July for a 32-story, 110,000-square-foot mixed-use development. The 100-foot-wide, 9,875-square-foot parcel located between 6th and 7th Avenues will give rise to a 326-foot-tall tower that will host 203 guest rooms, of which it appears likely a portion will be dedicated for extended stay spread across 30,086 square feet. Existing 5-story tenement buildings will be demolished to make way for new construction.

• 105-109 West 28th Street – The Lightstone Group is currently constructing the 35-story, 343-key Marriott-branded Moxy NoMad hotel. The 410-foot-tall hotel located between 6th and 7th Avenues replaced a trio of 4-story commercial structures.

• 211-213 West 29th Street – Longtime property owner Bernstein Real Estate fi led permits in 2016 for a planned 23-story, approximately 55,000-square-foot mixed-use development that will replace an existing parking lot located between 7th and 8th Avenues. The new building will host 55 residential units spread across 51,400 square feet plus 3,000 square feet of ground level retail space. The building’s design is expected to meet “passive house” standards which can cut energy costs by as much as 90% according to previous reports.

• 140-142 West 24th Street – Plans were fi led last fall by McSam Hotel Group for a 45-story, 172,640-square-foot Hyatt Place-brandedhotel development. The 416-foot-tall structure hosting 508-keys will be rise on the site located between 6th and 7th Avenues; and replace 3-story and 24-story offi ce buildings.

• 842-844 Sixth Avenue – A proposed 28-story, 99,400-square-foot hotel development was pre-fi led in November by an anonymous developer under the entity 842 Enterprises Inc. The 315-foot-tall hotel will host 168-keys; and replace an existing 6-story, 39,348-square-foot commercial building.

• 215-219 West 28th Street – Hap Investments is planning to construct a pair of 20-story buildings that will have a combined total of 290,000 square feet, and host 88 condominium units and 112 rental units.

• 140-144 West 28th Street – The McSam Hotel Group is currently constructing a 45-story, 174,628-square-foot Marriott-branded TownePlace Suites hotel. The 520-key, 419-foot-tall development replaces a former parking lot located between 6th and 7th Avenues.


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New to Market

44-54 Ninth Avenue aka 357 West 14th Street / 351-355 West 14th Street aka 362-364 West 15th Street (MePa) – Tavros Capital Partners is reportedly seeking an equity partner to take a majority stake in the planned mixed-use redevelopment of the existing trio of 4- and 5-story mixed-use walk-up buildings that date back to the mid- and late-1800s. Having acquired the (2) parcels in October 2014 for $105 million, the recapitalization deal would reportedly value the property at about $125 million. Tavros is considering an up to 30,000-square-foot expansion of the existing properties that currently offer about 48,184 square feet, renovating the existing 98 rental units and securing a fl agship retailer according to reports. Currently a portion of the retail space is vacant, with the remaining storefronts occupied by tenants including the Gansevoort Market, Le Pain Quotidien, Solstice and L’Occitane en Provence.

Recently Sold Sites

300-302 West 30th Street aka 397-401 Eighth Avenue (Chelsea) – An investment group reportedly lead by Eastern Star Development has purchased the 4-story, 27,258-square-foot Riff Hotel Chelsea for $27.5 million. New ownership is planning to demolish the structure that dates back to the early 1900s to make way for a 130-foot-tall ground-up mixed-use condominium development. The 12-story, approximately 76,000-square-foot building will rise on the 6,635-square-foot parcel and comprise 71,000 square feet of residential space and 5,000 square feet of retail space. Seller Salt Equities had acquired the corner property in November 2013 for $25.5 million according to city records.

14-16 East 16th Street (Union Square) – Gramercy Park House LLC, reportedly affi liated with “billionaire brothers David and Simon Reuben” have acquired the 10,700-square-foot site that reportedly offers 34,000 square feet of unused development rights for $39.5 million ($1,318 per square foot) from Family Life Ventures Corp. New ownership plans to redevelop the existing 6-story, 29,974-square-foot building located between Union Square West and 5th Avenue into a hotel that will feature the fi rst U.S. night club to be operated by Robin Birley, known for his successful 5HS club in London. The landmarked building dating back to 1889 formerly housed the non-profi t’s Sidney Hillman Health Center which reportedly relocated its operations to 230 West 17th Street in Chelsea and 300 Cadman Plaza West in Brooklyn Heights.

Midtown South (cont’d)


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Midtown South (cont’d)


360-368 Third Avenue (Kips Bay) – Minrav USA, the U.S. arm of Israel-based Minrav Development has reportedly acquired the 5-parcel, 13,825-square-foot assemblage for $64 million ($447 per buildable-square-foot). Sellers Itzhaki Acquisitions and Continental Ventures apparently deciding to abandon earlier plans to construct a 34-story, 143,183-square-foot mixed-use development that would host 100 residential units and 2,979 square feet of commercial space, despite securing new building application approvals in November 2017. The existing (5) mixed-use pre-war buildings which last traded for a combined total of $49.6 million ($346 per buildable-square-foot) will reportedly be delivered vacant; and new ownership is expected to move forward with the previously approved plans.

1241-1249 Broadway aka 48-52 West 31st Street (NoMad) – Tribeca-based GDS Development, along with a reportedly undisclosed European REIT equity partner that is new to the U.S. market, has secured a 99-year ground lease that extends through March 2117 from longtime fee-owner Drucker Associates for $64 million; although it has been indicated that the price posted on city records may be inaccurate. The 12,755-square-foot parking lot is expected to give rise to a 20-story, 170,000-square-foot boutique offi ce development with ground level retail space, although new building applications had yet to be fi led. GDS reportedly hopes to break ground on the project early next year pending permit approvals by the city’s Department of Buildings.

Project Plans in Progress

165 Mercer Street (SoHo) – Construction is nearing completion of the 5-story, 21,342-square-foot garage-to-offi ce conversion that began last summer. Development and architectural fi rm Flank, in a joint venture with property owners the Batt family, is overseeing the project. As part of the conversion the landmarked building’s historic façade was fully restored; and a vertical expansion has added a 6th fl oor, increasing building density to 24,834 square feet according to permit details posted on the Department of Building’s website. A total of 7,000 square feet of retail space has been created on the ground level which is expected to be marketed at an asking rent of $600 per square foot; while the asking rent for the offi ce space spanning the entire 2nd through 6th fl oors will range from $82 to $105 per square foot according to reports. The setback design of the newly constructed 6th has allowed the creation of a private fl oor terrace, reportedly intended to be part of a penthouse duplex offering.

797-799 Broadway aka 72-84 East 11th Street (Greenwich Village) – Normandy Real Estate Partners fi led new building applications in April for a 12-story, 128,539-square-foot development. According to fi ling details posted on the Department of Building’s website the 182-foot-tall structure will host 118,626 square feet of commercial space and 10,032 square feet of community facility space, representing a somewhat smaller project than the 190,000-square-foot development noted in previous reports. Normandy co-owns the property with Ares Management, however earlier this year is was reported that Ares is looking to sell its 50% stake, or a portion of it. Japan-based NTT Urban Development Corporation (NTTUD) joined the project last year having acquired a 15% common equity interest for an undisclosed price in Normandy’s management platform according to reports.

The 19,575-square-foot corner property was acquired by Normandy and Ares in 2016 for $101 million. Built in 1853, the existing building formerly housed the St. Denis Hotel, having undergone an offi ce conversion in 1920. Existing retail and medical offi ce tenant leases are reportedly set to expire sometime in 2019, eliminating the potential of a groundbreaking this year; but it will provide extra time for the developer to secure additional air rights needed for the project.

24 First Avenue / 99-101 East 2nd Street (East Village) – Rybak Development fi led new building applications in May for a 7-story, 19,413-square-foot mixed-use development. The 75-foot-tall structure will host 22 residential units spread across 18,816 square feet and 597 square feet of commercial space. Rybak purchased the pair of adjoining buildings situated on the 2-parcel, L-shaped assemblage that offers 5,237 square feet of land area for roughly $11,534 million in March, however it is unclear if construction will spread across both parcels which can reportedly accommodate up to 30,000 buildable square feet, or just the larger 2,950-square-foot site that fronts East 2nd Street. According to reports in January a nearing foreclosure had sparked the sale of the 2- and 3-story properties through an open auction at a reported asking price of $26 million, having previously traded in February 2015 for $9.65 million.

165 Mercer Street - Rendering

360-368 Third Avenue - Rendering

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Alliance for Downtown New York Releases Plan to Improve Stock Exchange District

The Lower Manhattan Business Improvement District (BID) released a proposal in mid-May of a vision for the area surrounding the intersection of Wall and Broad Streets. Preliminary efforts which began in the Winter of 2015 started with conversations between the BID and the New York Police Department (NYPD), the New York Stock Exchange (NYSE) and members of the community. In response to an overall consensus that the subject area had room for improvement, with some people commenting that the area had become unsightly and “isolated from the rejuvenation happening to the neighborhood around it,” the Downtown Alliance launched a formal analysis and plan. Ultimately the 88-page plan dubbed “A More Welcoming Wall & Broad: A Vision for Improving the Stock Exchange District”was created over the course of a (9) month period. The plan represents the incorporation of feedback from the public, as well as “guidance from an ad hoc committee of over 30 stakeholders, including local property owners, residents and cultural institutions.” In addition a professional urban design team led by Lower Manhattan architects WXY Architecture + Urban Design, with support from Sam Schwartz Engineering, SCAPE and City Activators, collaborated with the BID on design plans. If the plan moves forward, the proposed changes would be implemented in stages, over several years, by both public and private sector participants. According to the press release by the BID, the study’s recommendations were guided by (3) principles:

Creating an Identity and Sense of Place

• Use custom sculpture to clearly mark pedestrian entrances to the district;

• Upgrade lighting along dark corridors with cable or cantilevered lighting; and frame the (9) landmarked buildings within the area with architectural lighting;

• Expand cultural programming to add to programs already in place from NYSE, Lower Manhattan Cultural Council (LMCC); and

• Use more uniform and attractive materials throughout the zone.

Improving the Pedestrian Experience

• Create curbless shared streets;

• Repave the district with more durable and historically appropriated materials;

• Expand pedestrian access points;

• Add new multi-functional seating area that include planting beds; and

• Declutter security infrastructure with more attractive bollards.

Rationalizing Essential Deliveries

• Designating space for delivery vehicles;

• Reconfi gure and expand loading space on New Street that will discourage unwanted parking in pedestrian areas; and

• Pilot a consolidated delivery center for all packages arriving in the district. This pilot would create a centralized delivery truck drop-off and then disseminate packages within the area by hand-truck or small vehicles.

Downtown Development

View of Wall and Broad Street Intersection

View of Exchange Place

View of Wall Street at Broadway Gateway

View of New Street

View of Wall Street Looking West

Proposed Renderings:

View of Broad Street Looking North

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Downtown (cont’d)


126-138 Liberty Street aka 5 Albany Street (World Trade Center) – A portion of the site that formerly hosted the 39-story Deutsche Bank building at 130 Liberty Street has remained in limbo since its 2011 demolition by the Port Authority of New York and New Jersey (PANYNJ) due to damage and extensive contamination following the September 11 attacks 10-years prior. Currently a portion of the original over 66,000-square-foot site fronting Liberty Street hosts the PANYNJ’s Vehicular Security Center and Liberty Park, with the remaining approximately 31,000-square-foot portion that fronts Albany Street between Greenwich and Washington Streets set aside for a new Tower 5. The original 9-story, 5 World Trade Center building was severely damaged and subsequently demolished by the PANYNJ near the end of 2001; and the site has since been designated for the future construction of 2 World Trade Center.

In 2007 an announcement was made by PANYNJ that the agency had reached a deal with JPMorgan Chase that would “allow the bank to build a 1.3 million-square-foot tower in exchange for a 92-year lease worth roughly $300 million to the agency.” However subsequently JPMorgan backed out of the deal. More recently in 2014 designs surfaced for a mixed-use residential-and-hotel development reportedly proposed for the site by Chinese developer Dalian Wanda Group, but has apparently been halted in part by the heightened restrictions implemented by the Chinese government on overseas development. While it is unlikely that earlier plans by Wanda Group will move forward, the 1,050-foot-tall structure totaling over 1.4 million square feet was intended to host 250-keys spread across a 350,000-square-foot hotel component, featuring a 7-story atrium; 200,000 square feet of retail space intended for a department store; and an 850,000-square-foot residential condominium component.

Other factors that further delayed the potential sale and construction of a 5th tower was an ownership dispute between the PANYNJ and the Lower Manhattan Development Corp1 (LMDC) that remained in a stalemate according to 2014 reports. A memorandum of understanding in 2006 that involved a land-swap of the Tower 5 site and the World Trade Center’s Performing Arts Center site subsequently sparked the dispute. Due to the lengthy demolition of the asbestos laden Deutsche Bank building, the LMDC claimed the value of the site signifi cantly escalated and it was thereby owed money for the work done to prepare the Tower 5 site for development; while the PANYNJ argued that the agency effectively became owner of the site since the LMDC was acting as its agent. Since 2014, there has been no offi cial word on the site’s progress or future plans for development.

Tower 5- Proposed Rendering

Former Deutsche Bank Building

1LMDC is a federally funded corporation that was formed by former Governor George Pataki with a Congressional grant of $2.783 billion after 9/11 to manage Downtown’s recovery

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Downtown (cont’d)

Recently Sold Sites

112 Liberty Street aka 113-117 Cedar Street (FiDi) – Hidrock Properties has acquired the 5-story, 40,089-square-foot mixed-use condominium for $38 million from longtime owner Liberty Associates LLC, which is affi liated with David M. Baldwin Realty according to city records. Future plans for the existing building that dates back to 1900 and hosts (13) residential units and (1) retail unit have yet to be announced, but a new residential development is reportedly being considered.

272-274 Canal Street aka 48 Cortland Alley (Chinatown) – The Michigan-based entity 24K LLC has purchased the pair of 4-story vacant mixed-use buildings for $8.7 million ($972 per buildable-square-foot). Currently zoned M1-5, the 1,791-square-foot “L-shaped” assemblage located near Broadway offers 54-feet of wraparound frontage; and is reportedly suited for a potential offi ce-and retail conversion up to 8,955 buildable square feet.


3-5 Platt Street aka 110 John Street (Insurance) – Longtime owner the Moinian Group fi led new building applications in March for a planned 37-story, 267,765-square-foot mixed-use development. The 464-foot-tall structure will host 250 residential units spread across 169,838 square feet and 43,741 square feet of commercial-retail space. New construction will replace an existing 4-story, 17,888-square-foot commercial building, but demolition permits had yet to be fi led.

Uptown Development

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Pending Site Sales

1461-1469 Third Avenue aka 202 East 83rd Street / 204 East 83rd Street (Upper East Side) – The Naftali Group along with equity partner the Rockefeller Group is reportedly seeking to acquire the (6) parcel, 10,388-square-foot assemblage located within the Yorkville section of the neighborhood from Muss Development and the Aryeh family. As part of ongoing negotiations, additional air rights would be purchased from adjacent buildings at 1453-1455 and 1459 Third Avenue to allow roughly 250,000 as-of-right buildable square feet according to reports. A price for the assemblage was not released, but the most recent asking was reportedly between $700 to $750 per buildable-square-foot, or about $250 million, as indicated by some industry people. The co-developers’ construction of a proposed high-end residential would replace the existing low-rise mixed-use buildings, the project having an estimated equity totaling just over $130 million; “while the capitalization would be somewhere in the range of $375 million” according to reported details of Naftali-branded marketing material.

Recently Sold Sites

201-225 West 86th Street aka 2360-2376 Broadway (Upper West Side) – Westbrook Partners has joined HFZ Capital in the rental-to-condo conversion project that is well underway. Although details of the deal that gives Westbrook a stake in the Belnord were not released, it was completed by “converting the debt it owns on the property into fresh equity” according to reports, recapitalizing the 13-story, 617,784-square-foot residential component to around $650 million. In August approvals were secured from the New York State Attorney General’s offi ce of a $1.35 billion offering plan. Among the 215-units, 95-units are currently being converted, with others to follow as rent-stabilized tenants vacate. HFZ acquired the residential component of the mixed-use rental building that occupies an entire city block bound by Broadway and Amsterdam Avenue between East 86th and 87th Street for $555 million ($898 per square-foot / $2,581,395 per unit) in 2015. Dating back to 1903, any exterior renovations proposed for the landmarked building, which is also listed on the U.S. National Register of Historic Places, will require approvals by the Landmarks Preservation Commission (LPC). The 65,438-square-foot retail component at the base of the tower is owned by Extell Development according to city records.

113-117 East 79th Street (Upper East Side) – Legion Investment Group has reportedly completed the fi nal pair of acquisitions to create the 3-parcel, 6,129-square-foot assemblage located between Park and Lexington Avenues for a combined total of over $62 million. ($861 per buildable-square-foot including planned inclusionary housing density bonus). The developer along with investor Gindi Capital, the investment arm of the Gindi family, is reportedly “in talks to purchase housing certifi cates that would bring the total buildable square feet to 72,000.” While (2) of the (3) purchases from longtime owners had yet to hit city records, the property at 117 East 79th Street was the fi rst to be acquired in October 2017 for $15 million, having previously traded in 2007 for $8.75 million. Project plans by new ownership have yet to be revealed for the development site that currently hosts a trio of 4- and 5-story residential buildings which will need to be demolished to make way for new construction.

Uptown (cont’d)

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1 East 70th Street (Upper East Side) – The Frick Collection plans to increase the museum’s gallery space by 29% to 25,700 square feet. The estimated $160 million upgrade and expansion of the landmarked mansion that serves as its home will incorporate several new features, including a 220-seat auditorium, and education center, and the Frick’s fi rst-ever café according to recent reports. Approvals by the New York City Landmarks Preservation Commission (LPC) must be secured prior to plans moving forward due to the landmark status of the 1913-era building. The Frick has reportedly already kicked-off fundraising efforts to fi nance the project which they hope to begin in 2020.


1039-1045 Madison Avenue (Upper East Side) – Naftali Group fi led new building applications in May for an 18-story, 84,161-square-foot mixed-use condominium development. The planned 210-foot tall structure will host 16 residential units spread across 59,032 square feet and 3,993 square feet of commercial space. New construction will rise on the 4-parcel, 6,032-square-foot assemblage located between East 79th and 80th Street acquired through multiple transactions in 2017 and 2018, however the sale of the 4th property at 1043 Madison Avenue has yet to close. The existing 5-story mixed-use buildings will need to be demolished prior to the start of construction.

1297-1299 Third Avenue (Upper East Side) – Premier Equities and Thor Equities fi led new building applications in March for a 3-story, 20,927-square-foot mixed-use development. The 68-foot-tall structure will host 3 residential units spread across 19,678 square feet and 1,249 square feet of commercial space. The fi ling appears to be a signifi cant downsizing of earlier rumored plans of a joint project that would give rise to a 31-story, 100,000-square-foot residential condominium tower to include retail space at its base. While new construction will still rise on the 2-parcel, 4,400-square-foot assemblage, the developers were expected to utilize unused air rights from adjacent properties at 1291 Third Avenue (aka 201 E 74th Street) and 1293-1295 Third Avenue to increase the scope of the project with the existing (3) storefronts at the base of the 5-story tenement buildings combined to create 23,000 square feet of contiguous ground level retail space according to reports early last year.

The pair of mid-block buildings was acquired through a single transaction in January 2017 for $26 million; and demolition permits were fi led in early March for the existing structures to make way for new construction. Future development plans, if any, for 1291 and 1293-1295 Third Avenue are uncertain at this time. Premier had acquired the adjacent 5-story mixed-use properties through separate transactions in 2016 and 2014 for a combined total of $30 million; and more recently in February 9,339 square feet of unused air rights was acquired from neighboring 1301 Third Avenue for roughly $5.816 million ($623 per square foot) that were an intended transfer to the development site according to document details posted on city records.

Uptown (cont’d)

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Lending

1516-1528 First Avenue / 401-403 East 79th Street / 402 East 80th Street (Upper East Side) – Extell Development has secured a $118.195 million loan from German lender Landesbank Hessen-Thüringen, also known as Helaba. The new fi nancing consolidates previous debt on the 10-parcel assemblage that spans the entire 1st Avenue block-front between East 79th and 80th Streets in the Yorkville section of the neighborhood. Acquired through multiple transactions primarily in 2017 and 2018, the 20,434-square-foot site can reportedly accommodate 250,000 buildable square feet. However the developer has reportedly entered into contract to purchase 102,170 square feet of development rights from adjacent 406 East 80th Street to increase the project’s scope for $35.8 million ($350 per square foot). The pending purchase from the Church of Saint Monica, located at 413 East 79th Street, includes an option to purchase an additional 6,748 square feet for $250 per square foot ($1.687 million) according to reports. The majority of the properties currently host 4-story, mixed-use structures that will need to be demolished to make way for new construction.

Location Sold Price Acquisition Date Parcel Sq. Ftge.

401 East 79th Street aka 1514 First Avenue $16.2MM March 2018 2,038

403 East 79th Street $9.465MM February 2007 2,554

Purchased as part of 2-building portfolio along with 1570 Second Avenue located on a non-contiguous block

402 East 80th Street $3.6MM September 2017 2,555

1516 First Avenue1518 First Avenue $14.75MM May 2015 3,750

1520 First Avenue $1.006MM April 2017 1,875

Property controlled under a 49-year, 11-month leasehold secured in April 2017 for roughly $1.006 million, with a lease term expiring March 25, 2066 according to documents posted on city records.

1522 First Avenue $2.775MM September 2017 1,875



1528 First Avenue $14.939MM April 2018 2,037

Totals: $67.535MM 20,434

Second Avenue Subway - 96th Street Entry - Rendering

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Upper Manhattan Development

Pending Site Sales

300 West 122nd Street / 305 West 121st Street (Harlem) – The multi-parcel development site will be trading hands for the second time in less than one year, Crown Heights-based Happy Living entering into contract to acquire the 20,417-square-foot site that offers 207-feet of frontage along St. Nicholas Avenue. The pending transaction which is not slated to close until the end of the year reportedly fetched a sale price of nearly $70 million. Seller RWN Real Estate Partners purchased the distressed assemblage through an auction in November 2017 for $48.6 million, as the lender of a $35.89 million loan provided in early 2016 that encumbered the properties.

Previously owned by RGS Holdings, with plans to construct a 12-story, 161,300-square-foot mixed-use development dubbed Ladera which has remained stalled, RGS reportedly falling into default on the loan in late 2016 prompting the auction sale. Permit applications had been approved in mid-2016, with necessary variances for construction already in place; and the project admitted into the Brownfi eld Cleanup Program with the remediation work plan approved according to details of 2015 marketing material, which listed the sale offering at an asking price of $74.9 million. RGS had purchased the parcels through (2) transactions in 2011 and 2015, acquiring additional air rights during that time. The nearly shovel-ready site located within the Hamilton Heights was expected to give rise to a 126-unit residential condominium with 28,049 square feet of retail space on the ground and lower levels.

• 300 West 122th Street aka 231-237 St. Nicholas Avenue – The 9,600-square-foot parcel that formerly served as the home of a gas station last traded for roughly $17.514 million in August 2015, offering about 118-feet and 66-feet of frontage along St. Nicholas Avenue and West 122nd Street respectively.

• 305 West 121st Street aka 223-229 St. Nicholas Avenue – The 10,817-square-foot parcel that hosts a former 2-story, 32,451-square-foot garage traded for roughly $8.293 million is June 2011, offering nearly 89-feet and 50-feet of frontage along St. Nicholas Avenue and West 121st Street respectively.

In addition, 10,705 square feet of air rights were acquired by RGS in 2013 for $1.324 million ($124 per square foot) from nearby properties 311 West 121st Street and 309 West 121st Street; however it is unclear if they are included in the sale.

300 West 122nd Street Former Rendering

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Upper Manhattan (cont’d)

Recently Sold Sites

620-624 West 153rd Street aka 619-621 West 152nd Street (Hamilton Heights) – NoMad-based Anbau Enterprise has reportedly purchased a portion of the block-through property located between Broadway and Riverside Drive which currently hosts a 2-story, 29,642-square-foot garage. The existing 24,941-square-foot parcel was split into (2) condominium units by seller Verizon, with the telecommunications company retaining one unit. Anbau purchasing the other approximately 14,133-square-foot unit for $22.5 million, which offers about 150,000 buildable square feet according to reports. Acquisition fi nancing was reportedly provided by Goldman Sachs, along with a pre-construction bridge loan. New ownership is reportedly planning to construct a pair of residential condominiums that will host a combined total of about 150 market-rate units. As part of the project, parking for Verizon and its service vehicles will be provided at the property. Groundbreaking is expected within the next (6) months with the duration of construction lasting about 2-3 years according to reported statements by an Anbau spokesperson.

4650-4660 Broadway aka 2-16 Sherman Avenue (Washington Heights) – FBE Limited has acquired the 47,175-square-foot corner site for $26 million from Acadia Realty Trust and Washington Square Partners. The acquisition was fi nanced with a $13 million loan provided by Santander Bank according to city records. Last trading in 2015 for $18.25 million, Acadia and Washington Square proposed to construct a 15-story, 355-unit mixed-use development dubbed Sherman Plaza, of which 178-units would be designated for affordable housing. However despite scaling down the project from the initially proposed 23-story development, a needed rezoning to allow the project to move forward was ultimately disapproved by the city council 2-years ago.

Had the rezoning been awarded a “green light” the project would have been one of the fi rst to be affected by the Mayor’s new mandatory inclusionary housing (MIH) policy requiring the designation of affordable housing units in exchange for a zoning changes. While reports at the time noted that the co-developers planned to move ahead with a 10-story, 172-unit market rate, mixed-use development with retail and community facility space in the event a rezoning was not secured but construction never moved forward. Future plans for the site by new ownership have yet to be announced.


410-412 East 115th Street (Harlem) – New building applications were fi led in March for an 8-story, 23,625-square-foot residential development under the entity 410 East 115th Street Investors, reportedly affi liated with local developer Reuben Pinner. The 74-foot-tall structure will host 18 residential units spread across 17,178 square feet. The 3,785-square-foot parcel located between 1st and Pleasant Avenues last traded in 2017 for roughly $1.856 million ($79 per buildable-square-foot), having previously trading 2-years earlier for $2.33 million ($98 per buildable-square-foot) according to city records.

407-409 East 117th Street (Harlem) – Property owner Roy Moussaeiff fi led new building applications in March for a 6-story, 12,290-square-foot residential development. The 65-foot-tall structure will host 11-units spread across 10,070 square feet. The vacant 3,365-square-foot site last traded in October for $2.036 million ($166 per buildable-square-foot).

11 West 118th Street (Harlem) – Longtime property owner Victory One Housing For the Elderly fi led new building applications in March for a planned 9-story, residential development that will be developed along with Camber Property Group according to Camber’s website. The 87-foot-tall structure dubbed Victory Plaza will host 136-units dedicated for elderly housing spread across 82,110 square feet. New construction will rise on the 2,523-square-foot vacant parcel located between 5th and Lenox Avenues. Victory One has owned the site for over (2) decades, along with the adjacent (4) parcels at 3-9 West 118th Street that partially serve as a parking lot for the developer’s adjoining 8-story, 79,352-square-foot residential building at 1460-1474 Fifth Avenue (aka 1468 Fifth Avenue), having acquired what was originally 13-tax lots in 1997 according to city records.

4650-4660 BroadwayFormer Rendering

410-412 East 115th StreetRendering

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Upper Manhattan (cont’d)

Project Plans in Progress (cont’d)

4780-4790 Broadway (Inwood) – The partnership of the city’s Department of Housing and Development (HPD), the New York Public Library, and the Robin Hood Foundation, along with the Community League of the Heights (CLOTH), Ranger Properties, Alembic community Development, and the Children’s Village are reportedly planning to construct a mixed-use development on the site of the existing 2-story, 28,050-square-foot Inwood Public Library. Initial renderings have been released for the new 14-story ground-up development that will provide a new facility for the library, in addition to a community center and a pre-K space spread across approximately 20,000 square feet on (3) fl oors at the base of a 175-unit affordable housing component. New construction will rise on the 11,825-square-foot parcel located between Academy and Dyckman Streets.

411-415 West 120th Street (Morningside Heights) – Co-developers Pebb Capital and TriArch Real Estate Group fi led new building applications in May for a 14-story, 63,639-square-foot residential development. The 129-foot-tall structure will host 80 residential units spread across 54,336 square feet; and be constructed on the 7,569-square-foot parcel located between Morningside Drive and Amsterdam Avenues. The property which currently hosts a 5-story, 32,295-square-foot residential building last traded in March for $20.3 million ($319 per buildable-square-foot), representing the second change in ownership in just over 2-years. In January 2016 the entity 415 West 120th Holdings LLC, reportedly associated with property owner Harry Tawil, acquired the property for $19 million from the Jewish Theological Seminary, planning to construct a 15-story, 53,633-square-foot residential development which has apparently been abandoned despite fi ling permit and demolition applications in 2016.

4780-4790 Broadway - Rendering


Harlem River BridgeHarlem River BridgeHarlem River BridgeHarlem River Bridge

NYC Outer Borough HighlightsBROOKLYN | QUEENS | BRONX | STATEN ISLAND

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Brooklyn Development

Residential Development Leads the Way in Sheepshead Bay

South Brooklyn’s Sheepshead Bay has seen an uptick in homebuyer interest among young professionals seeking spacious rentals, and are priced-out of some of the borough’s trendier neighborhoods. Offering views of the Rockaways versus New York‘s epicenter, Sheepshead Bay is located near the end of the B/Q subway lines, about one hour from Manhattan by train. While continuing to retain its old-fashioned, mom-and-pop appeal, several new residential developments have begun cropping up in recent years. Their luxury offerings and trendy amenities, including fi tness centers, rooftop decks and swimming pools at lower costs, along with the neighborhood’s proximity to the beach has attributed to heighten interest by young home seekers. Population growth has been gradually increasing from 147,000 to 151,000 over the 9-years between 2007 and 2016 per reported Census statistics; and anticipated to continue rising at a steady pace.

The Sheepshead Bay area is reportedly described as “underbuilt [overall]” with about 3.5 million square feet of offi ce space primarily spread across buildings under 20,000 square feet. However despite demand for commercial space outpacing supply by about 2 million square feet there are few investors willing to develop or operate offi ce buildings in Sheepshead Bay, partially due to infrastructure issues; as well as a shrinking supply of available land for commercial development which has pushed prices higher, increasing by nearly 70% since 2013 to $394.72 per square foot according to reports. Currently about 150,000 square feet of new offi ce space is under construction in the neighborhood, falling well below the estimated between 5 and 5.5 million square feet that should be available per reported comments by industry sources. Others feel that the lack of offi ce space is not a major problem, but are “more concerned with bringing even more housing to the community.”

Heightened interest has been pushing residential prices higher. Median asking rents over the past 5-years have increased by nearly 43% to just under $2,000 per month; while sale prices have risen more sharply. Although remaining signifi cantly lower than Williamsburg or Park Slope, median asking prices in Sheepshead Bay have nearly tripled since 2013 from $239,000 to roughly $690,000 according to reported data. Some of the more recent residential projects in different phases of planning and construction include:

• 1501 Voorhies Avenue – The 28-story, 279,942-square-foot mixed-use development that is nearing delivery will host 236 residential units spread across 241,382 square feet plus 15,000 square feet of commercial space. A total of 56-units spread across 69,487 square feet on upper fl oors 20-30 will be condominiums according to the reported fi ling with the Attorney General’s offi ce. The rental units are reportedly 100% leased and condo unit sales, with an anticipated sellout of reportedly $43 million, were launched in mid-2017 at the project dubbed 1 Brooklyn Bay being co-developed by Muss Development and AvalonBay Communities. Tenant amenities at the 2.5-acre property include an outdoor swimming pool, barbecue pits, dog run, 2,500-square-foot gym, and children’s playroom.

• 2128 Ocean Avenue – The 9-story, 90,089-square-foot residential condominium development dubbed Onyx Square is being constructed by New Empire Real Estate Development. An offering plan for a $43 million projected sellout was fi led with the New York State Attorney General’s offi ce last year for the 56-unit project. Tenant amenities include a fi tness center, yoga studio, resident’s lounge, children’s playroom, Zen Garden courtyard, common terrace with built-in grills and outdoor lounge area.

P.35PPPP3P.3P.3P.35.3535353555Source: https://www.amny.com/real-estate/city-living/brooklyn/sheepshead-bay-live-the-quiet-life-in-south-brooklyn-1.11582613

Sheepshead Bay (cont’d)

• 1807-1825 Emmons Avenue – The planned 90,000-square-foot mixed-use condominium development by Rybak Development & Construction will replace the former El Greco Diner, a neighborhood establishment of 40-years. New building applications have yet to be fi led for the 56-unit project dubbed The Vue which has a projected reported sellout of $77.2 million according to an offering plan fi led in 2016.

• 2442 Ocean Avenue / 2446-2458 Ocean Avenue aka 1913-1929 Avenue T – Brooklyn developer Yaacov Azrad fi led plans in 2017 for a 7-story, 80,906-square-foot mixed-use development that will host 105 residential units and 1,856 square feet of community facility space on the ground and cellar levels for medical offi ces.

Joining the roster of new developments are a few commercial projects including:

• 1601-1607 Kings Highway – The 5-story, 68,000-square-foot offi ce-and-retail development at the border of Sheepshead Bay is currently under construction by Lake Realty Management. The retail component will total about 32,000 square feet spread across the fi rst 2-levels at the base of the building. Pre-leasing has already secured an 11,000-square-foot deal with CVS Pharmacy, a 10-year lease for 13,905 square feet by sporting goods retailer Modell’s, and a 14,500-square-foot lease by fi tness chain Planet Fitness.

• 1210 Sheepshead Bay Road – Queens-based Rayham Realty fi led new building applications last year for a four-story, 10,115-square-foot medical offi ce building. The 5,369-square-foot assemblage is occupied by a pair of single-family houses that will be demolished to make way for new construction according to demolition permits previously fi led.

• 2505 Coney Island Avenue – The Marcal Group is planning to construct a 3-story, 61,865-square-foot medical center according to permit applications fi led in 2017. An ambulatory treatment/diagnostic center will occupy 31,127 square feet on the ground level; and a 71-car below-grade garage will be constructed.

1501 Voorhies Avenue - Rendering 2128 Ocean Avenue - Rendering 2442 Ocean Avenue - Rendering 1601-1607 Kings Highway - Rendering

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Some of the Most Active Developers in Brooklyn Revealed

The reported fi ndings of an analysis of development projects throughout the borough revealed some of the most active developers currently working on projects in different stages of planning and construction.

Brooklyn (cont’d)

Most Active Developers by Number of Projects

DeveloperProjectCount

KeyNeighborhoods

Highlighted Projects

Brookland Capital 37 BushwickBedford-Stuyvesant

88 Linden Boulevard (Flatbush): 68-unit, 48,000 SF Condo

140 15th Street (Gowanus): 40-unit, 43,000 SF Condo

Urban View Development Group 34 BushwickEast Williamsburg

501 Evergreen (Bushwick): 25,000 SF Community Use

806 DeKalb Avenue (Bed-Stuy): 16-unit, 15,000 SF Residential

All Year Management 19 BushwickBedford-Stuyvesant

123 Melrose Street / 28 Stanwick Street (Bushwick): 2 Building, 800 to 900-unit mixed-use

1548 Bedford Avenue (Crown Heights): 100-key, 38,300 SF Hotel

B&H Management 18 BrownsvilleFlatbush

128-138 Livonia Avenue (Brownsville): 27-unit, 17,000 SF Residential

410 East 28th Street (Flatbush): 10-unit, 6,200 SF Residential

M Development 12 Greenpoint19 Hausman Street (Greenpoint): 15-unit, 14,000 SF Residential

44 Box Street (Greenpoint): 16-unit, 13,000 SF Residential

*Souce: TRD Research

Most Active Developers by Square Footage

DeveloperTotal

Sq. Ftge.KeyNeighborhoods

Highlighted Projects

Two Trees Management 1.74MM Williamsburg Domino Sugar Redevelopment: 5 Building, 2.9MM-SF mixed-use

Chetrit Group 1.23MM Brooklyn Heights 9 DeKalb Avenue (aka 340 Flatbush Avenue Ext.): 417-unit, 73-story mixed-use being developed along with JDS Development

Arker Companies 1.12MM East New York Fountains (Phase 1): 741-unit, 5-building mixed-use

LIVWRK 1.06MMDUMBOCrown HeightsWilliamsburg

109-11 Montgomery Street (Crown Heights): 163-unit, 168,236 SF residential

CIM Group 1.01MM DUMBO 85 Jay Street: 737-unit, 875,505 SF mixed-use

Rabsky Group 915K Bushwick 10 Montieth Street: 500-unit, 350,000 SF Residential

Kushner Companies 878K DUMBO 85 Jay Street: See above (minority stake interest)

Hudson Companies 875K Brooklyn Heights 280 Cadman Plaza (aka 1 Clinton Street): 134-unit, 405,543 SF mixed-use

Cammeby’s International Group 813K Coney Island

532 Neptune Avenue: 544-unit, 513,580 SF mixed-use

614-626 Sheepshead Bay Road: 7-story, 161,000 SF offi ce-retail-community use

*Souce: TRD Research - TRD Research – numbers determined by compiling a list of new buildings and major renovations fi led with the city’s Department of Buildings since 2005 that have not yet been issued a temporary certifi cate of occupancy or, if a condo building, declared effective as of mid-January 2018

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In the News

Forest City Completes Final Separation from Pacifi c Park

Ongoing efforts by Forest City Realty Trust to reportedly reduce its involvement in development activity and remain focused on already constructed assets since completing conversion to real estate investment trust status in 2016 has led to the sale of the remaining 5% stake the REIT owned in the multi-building, mixed-use Pacifi c Park complex. Following an agreement to sell 25% of its 30% stake in the 22-acre project in January to joint venture partner Greenland USA, Forest City retained sole ownership of the 32-story, 363-unit modular building at 461 Dean Street which opened last year; and about (2) months later has sold the 346,000-square-foot, 50/50 rental building as the fi nal step in severing all fi nancial ties to the project. The sale to reportedly Principal Global Investors fetched $156 million ($451 per square foot) at a cap rate of about 4.5% based on 2018 net operating income (NOI); and is expected to generate net proceeds to REIT of approximately $150 million according to a Forest City press release.

Land Under Former Schlitz Brewery Building Sold

There is a new fee-owner of the land beneath the 5-story, 170,000-square-foot building at 95 Evergreen Avenue following the reported $81.29 million ($478 per square foot) sale to Dallas-based investment fi rm Ramrock Real Estate. The former Schlitz Brewery building underwent a high-end offi ce redevelopment by Savanna and Hornig Capital Partners, which will continue to control the building through a long-term leasehold according to reports. The former warehouse had been acquired by the co-developers in early 2015 for $33.7 million ($198 per square foot), completing the approximately $30 million “adaptive reuse of the 1950s building” in 2016; and in 2017 secured a 20-year lease with the city’s Human Resources Administration (HRA) for the entire 158,150 square feet of offi ce space

461 Dean Street

95 Evergreen Avenue

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Brooklyn (cont’d)

New to Market

7-Parcel Waterfront Assemblage (Williamsburg) – Longtime owner Barough-Eaton Allen Corp., more commonly known as Ko-Rec-Type, has reportedly introduced the sale offering of a total of (7) tax lots for an undisclosed price. The manufacturer of carbon paper and typewriter ribbons founded in 1955 has reportedly owned the properties which housed its plant for over 50-years.

Within the sale offering, (6) parcels totaling 92,690 square feet are adjacent; and span nearly an entire city block bound by Kent and Wythe Avenues between North 9th and 10th Streets, with the only remaining parcel on the block located at 61-65 North 9th Street which was acquired by All Year Management in 2012 for $4.5 million. The 6-parcel assemblage can accommodate up to 348,168 buildable square feet as-of-right for a mixed use or community facility development. Bushwick Inlet Park, which is located directly across from the site on the west side of Kent Avenue, is expected to undergo a 28-acre expansion north along the East River to Quay Street.

1. 44-84 North 10th Street – The 43,040-square-foot parcel that offers additional frontage along North 9th Street, as well as Kent and Wythe Avenues is zoned M1-2; and currently hosts a 2-story, 105,510-square-foot industrial building;

2. 73-81 Kent Avenue – The 12,760-square-foot parcel located at the corner on North 9th Street is zoned M1-2; and currently hosts a 2-story, 25,520-square-foot industrial building;

3. 55-57 North 9th Street – The 5,000-square-foot parcel zoned M1-2 hosts a single-story 5,000-square-foot industrial building;

4. 67-73 North 9th Street – The 8,929-square-foot parcel zoned M1-2 hosts a 3-story, 35,716-square-foot industrial building;

5. 120-126 Wythe Avenue – The 1,365-square-foot parcel located at the corner of North 9th Street is zoned M1-2; and currently hosts a 3-story, 3,218-square-foot residential walk-up building;

6. 71-79 North 9th Street – The 1,406-square foot parking lot is zoned M1-2; and

The remaining 7th parcel is non-contiguous; and offers up to 86,422 buildable square feet for a mixed-use development that can include partial residential use on the easternmost 5,000-square-foot portion of the site according to marketing material details.

7. 96-110 North 10th Street – The 20,190-square-foot parcel is zoned M1-2, M1-2/R6A; and currently hosts a 2-story, 31,640-square-foot industrial building.

The package is being marketed as a potential ground-up “offi ce-centric” development opportunity. The buyer will be able to benefi t from the new set of zoning rules created by the City Planning Commission in 2016 which were intended to fi x outdated industrial zoning sparked by a special permit request by the developers of 25 Kent Avenue. Initially intending to map the new zoning across multiple blocks in the North Williamsburg manufacturing zone to create a new district, plans were dropped by CPC after major changes to the new rules were reportedly demanded by local industrial business groups and community board; and instead, an “Industrial Business Incentive Area” (IBIA) was created for the 6-block Kent Avenue corridor, allowing developers with a similar project proposal within the IBIA to apply for a special permit. The new rules now reportedly state that in exchange for “each square foot of light industrial uses incorporated into the project’s design, an additional 2.5 square feet will be awarded for “incentive uses” which include offi ce or light industrial space; but exclude the type of businesses that drive up rents in manufacturing areas, like hotels, big box stores, self-storage, entertainment, retail and restaurants.”

105 River Street / 87 River Street / West 1st Street (Williamsburg) – The portfolio of the (3) vacant parcels with a land footprint of 139,455 square feet, or 3.2-acres, has been introduced to the market by utility provider Consolidated Edison. Located along the East River between Grand and North 3rd Streets, just north of the Domino Sugar Refi nery redevelopment site, the parcels offer a combined total of 385-feet of waterfront frontage. Being labeled as One River Street, the assemblage zoned M3-1 can accommodate up to 278,910 buildable-square-feet “as-of-right” collectively, which omits the substantial portion of land under water according to released market material. The inclusion of items such as piers and platforms located on portions of the property may potentially qualify to generate additional fl oor-area-ratio (FAR). Under existing zoning, new construction of a wide range of commercial uses would be permitted, including retail, offi ce, light manufacturing, and mixed-use projects.

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Brooklyn (cont’d)

Pending Site Sales

644-648 Lorimer Street / 270-280 Meeker Avenue (Williamsburg) – CW Realty Management is in contract to purchase the vacant 5-parcel, 18,076-square-foot assemblage that can accommodate up to 65,000 buildable square feet for reportedly around $16 million ($246 per buildable-square-foot). The contract vendee plans to break ground before the end of the year on a 12-story, 90-unit mixed-use rental development to include about 5,000 square feet of retail space and parking. Seller Synapse Development Group had reportedly purchased the site in 2013 for $6.2 million ($95 per buildable square feet). Reports in late 2014 and early 2015 announced plans for a mixed-use condo-hotel development to be constructed by Synapse that would host a 110-key Yotel-branded hotel and (6) to (8) residential condominiums on the top levels; however construction never moved forward. A new entrant at the time to New York City, Yotel had made its debut with the opening of its Manhattan location at 570 Tenth Avenue in the Hudson Yards vicinity at West 42nd Street in 2011.

278-296 Franklin Street / 10-36 Clay Street / 49-65 Dupont Street / 93 Dupont Street (Greenpoint) – All Year Management is in contract to purchase the 10-parcel, approximately 98,000-sqare-foot assemblage for reportedly over $55 million ($164 per buildable-square-foot) from an investment group reportedly led by Brooklyn developer Bo Jin Zhu. The site that comprises nearly one-half of a full city block spans the entire 192-foot block-front of Franklin Street, offering another 555-feet of frontage along Dupont Street and about 425-feet along Clay Street. The site which can reportedly accommodate up to 335,000 buildable square feet will reportedly require a “full environmental cleanup” prior to the start of any new construction. The contract vendee is considering developing a residential rental complex comprised of two or more buildings that will replace the cluster of existing one-two-and three-story warehouses according to reports. The site which traded for an undisclosed price in 1983 was valued at about $48.5 million in 2014 following a $23.25 million acquisition of a majority stake by Zhu, who at the time was reportedly planning to construct a 280,000-square-foot, 400-unit project.

Recently Sold Sites

215 North 10th Street aka 20-26 Roebling Street (Williamsburg) – Largo Investments has purchased the 18,000-square-foot parcel that can accommodate about 50,000 buildable square feet for $25 million ($500 per buildable-square-foot). The property located at the corner of Roebling Street fetched a sale price moderately higher than the $24 million asking price listed on the sale offering marketing material, having last traded in 1996 to seller Northstar Equities LLC for an undisclosed price. Redevelopment plans by new ownership for the existing single-story, 9,000-square-foot industrial building have yet to be revealed, but the current M1-2/R6A zoning allows for a residential or mixed-use project.

182-190 North 6th Street aka 165-171 North 5th Street / 584 Driggs Avenue (Williamsburg) – Developer David Dweck has purchased the 3-building, 68,735-square-foot complex from longtime owner Boricua College for $31.1 million ($452 per square foot). G4 Capital Partners provided a $30 million mortgage at closing. New ownership plans to pursue a conversion of the existing trio of buildings — a 5-story school, a 3-story gymnasium, and a 4-story, 6-unit residential building into a mixed-use rental property. The structures spread across (2) tax lots, with the larger block-through 21,675-square-foot site located between Bedford and Driggs Avenues; and a 6,390-square-foot parcel situated perpendicularly that fronts Driggs Avenue.

1-17 Boerum Place aka 342-346 Fulton Street (Downtown Brooklyn) – Avery Hall Investments has purchased 46,026 square feet of excess development rights from adjacent properties at 348 and 350 Fulton Street for $16 million ($348 per square foot). The purchase will reportedly allow the developer, along with partners Allegra Holdings and Aria Development Group to increase the scope of a planned mixed-use project. The 13,290-square-foot triangular parcel which boasts about 117-feet of frontage along Boerum Place, 183-feet of frontage along Red Hook Lane, and 52-feet along Fulton Street was acquired in 2016 for $76.5 million from longtime owner the Brooklyn Law School which has relocated from the 115-year-old, 40,000-square-foot offi ce building to a leased location closer to its main building at 250 Joralemon Street according to reports at the time. Previously reportedly plans for a 160,000-square-foot development have shifted to a larger 21-story, 246,700-square-foot project as a result of the added air rights. The 250-foot-tall structure will host 122 residential units spread across 183,300 square feet and 21,020 square feet of commercial space according to permit applications fi led with the Department of Buildings in May. Demolition of the existing structure is already underway with plans to break ground before the end of the year.

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Brooklyn (cont’d)


118 2nd Avenue / 1-37 12th Street (Gowanus) – Two Trees Management completed the $115 million acquisition of a pair of multi-parcel, assemblages. News of the Brooklyn-based commercial-and-residential developer entering the industrial market surfaced in January announcing the pending purchase of the adjacent sites. Despite an anticipated rezoning the of the north side of the neighborhood, the area where the sites are located are “slated to remain a commercial and industrial enclave” according to reported statements by a Two Trees spokesperson; and the developer plans to maintain commercial use and focus on securing tenants to fi ll vacancies in the existing buildings at least in the short term.

• 118 2nd Avenue – The over 390,400-square-foot site (about 9-acres) was acquired in April for $53 million. An existing single-story, 151,273-square-foot structure currently serves as a Lowe’s Home Improvement store under a 20-year leasehold that includes (8) 5-year renewal options secured in 2003 according to documents posted on city records. The 5-parcel assemblage last traded in 2002 upon Forest City Ratner acquiring it for an undisclosed price from the U.S Postal Service.

• 1-37 12th Street – The sale of the 4.6-acre site reportedly closed in May, fetching $62 million, having last traded in 2016 for $35.11 million. An existing 108,625-square-foot building was anchored by a 50,000-square-foot Pathmark since 1982 until its closure in 2015; and reportedly includes a roughly 136,000-square-foot parking lot. At the time of the sale it was reportedly noted that the assemblage could accommodate an additional 315,000 buildable square feet of commercial space.

169 3rd Street / 175 3rd Street / 225 3rd Street (Gowanus) – RFR Realty has purchased the 3-parcel, 137,865-square-foot (3.16-acre) assemblage for a gross asset valuation of $115 million according to an SL Green Realty press release. The site located across the street from the Whole Foods market at 214 3rd Street is being sold by SL Green Realty and Kushner Companies which control interests of 95% and 5% respectively respectively, the sale generating net proceeds to the REIT of approximately $70 million. A $74 million loan was provided by Maryland-based Union Labor Life Insurance Company which assumed a $40 million existing debt originated in 2014 by Signature Bank; and provided a new $34 million gap mortgage. Currently used as a parking lot, the development site last sold in 2014 for $72.5 million; and is located within the corridor currently undergoing a review for a possible rezoning, that if approved, would reportedly open the door to a potential large residential or commercial project totaling up to nearly one million buildable square feet versus the allowable approximately 280,000 square feet under the sites’ current M2-1 zoning which allows a fl oor area ratio (FAR) of 2.0.

554-576 Cozine Avenue / 578-600 Cozine Avenue (East New York) – Madison Development purchased the pair of development sites in April for $25.3 million. New ownership reportedly plans to demolish the existing single-story industrial structures and construct “last-mile distribution” warehouse space for e-commerce companies. The full block sites bound by Berriman Street, Flatlands and Montauk Avenues lie directly across from each other along Atkins Avenue; and offer 97,000 square feet of land area spread across a single tax lot and another 97,116 square feet spanning (3) tax lots.

537-555 Columbia Street aka 51-81 Bay Street (Red Hook) – DH Property Holdings has secured a 99-year ground lease for the 88,000-square-foot property that spans the entire Bay Street block-front between Hicks and Columbia Streets from fee-owner Grinnel Realty Holdings LLC. The triple-net lease attracted a rent close to the $990,000 per year asking rent, or $10 per buildable-square-foot according to reports. Over the term of the lease, DH will reportedly pay $280 million, which accounts for rent increases about every 10-years. The leaseholder is planning to develop an 88,000 square foot industrial building, reportedly hoping to attract retailers “looking to expand their e-commerce supply chain platforms and third-party logistics companies.” The planned facility will feature 36-foot ceiling heights, 54-foot by 54-foot column spacing, one loading dock for every 3,500-square-foot, and fl oor loads in excess of 700 pounds” according to reported statements by a DHPH spokesperson. Other activity by the developer in the area includes the $47.5 million acquisition of 640 Columbia Street with Goldman Sachs Asset Management in February, where a multi-story, 350,000-square-foot e-commerce distribution center is reportedly planned for the 4.04-acre site located directly across from an Ikea store.

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57 Caton Place aka 23 Ocean Parkway (Windsor Terrace) – Rezoning applications have reportedly been fi led by an anonymous developer to allow for a proposed mixed-use development comprised of (2) 9-story buildings connected by a low-slung base. The block-through 23,436-square-foot property located between East 8th Street and Coney Island Avenue is currently zoned C8-2 Commercial; and last traded for $7.2 million to the entity 57 Caton Partners LLC which appears to be associated with Brooklyn-based Aview Equities. If the rezoning is approved, a 95-tall, 166,190-square-foot development will rise on the site hosting a mix of 107 residential units spread across 106,900 square feet and 12,990 square feet of commercial-retail space, replacing an existing 3-story, 25,390-square-foot industrial building.

Greenpoint Landing (Greenpoint) – Park Tower Group and Brookfi eld Property Partners will reportedly be developing the next pair of residential developments to begin construction next year as part of the 11-building, 22-acre mixed-use project along the East River. Full details have yet to be fi nalized, as well as the addresses of the planned towers that will cost an estimated $1 billion and deliver 1,240-units, of which one-third will be designated for affordable housing. Upon full construction completion Greenpoint Landing will add to the neighborhood a total of over 5,500 residential units, of which 1,400-units will be designated for affordable housing. In addition 9-acres of new parks, an elementary school, riverside walkways and open space, and a potential ferry landing will be constructed. Construction of the project is being led by Park Tower Group affi liate Greenpoint Landing Associates. Initially breaking ground in 2015, the majority of the fi rst phase of construction was completed in 2016 and delivered 293 affordable housing units spread across (3) mixed-use buildings co-developed by L+M Development Partners.

• 7 Bell Slip (formerly 21 Commercial Street) – The fi rst building to rise encompasses 88,706 square feet. The 6-story building hosts 93 affordable units and 2,557 square feet of ground level retail space.

• 33 Eagle Street – The 7-story, 96,446-square-foot building hosts 97 affordable units, 1-unit set aside for the building superintendent, and 1,514 square feet of ground level retail space.

• 5 Blue Slip – The 6-story, 105,475-square-foot building delivered in 2017, hosting 102 affordable units and 3,789 square feet of ground level retail space.

The co-developers are currently constructing another pair of towers at the site which will host a combined total of 780-units. In 2015 Brookfi eld Property Partners joined the project, having acquired the vacant 2-parcel, 115,552-square-foot waterfront assemblage for roughly $46.486 million according to city records. The pair of rental buildings are expected to rent at market rates and have a project cost in the neighborhood of $600 million according to reports at the time. Construction for both buildings is expected to be completed in 2019.

• 37 Blue Slip (aka 37 Commercial Street) – The 30-story, 369,482-square-foot development will reach a linear height of 325-feet; and host 359 residential units spread across 291,235 square feet and 1,173 square feet of commercial space.

• 41 Blue Slip – The 40-story, 448,412-square-foot development will re ach a linear height of 400-feet; and host 421 residential units spread across 378,392 square feet and 813 square feet of commercial space.

Brooklyn (cont’d)

57 Caton Place - Rendering

37/41 Blue Slip - Rendering

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Projects on the Horizon (cont’d)

581 Grant Avenue (East New York) – The New York City Department of Housing Preservation and Development (HPD) issued a request for proposals (RFP) in May, seeking a developer to construct a “high-quality, sustainable, mixed-use and mixed-income affordable housing development using modular construction methods.” The project is the “fi rst disposition of city-owned land under the city’s modular construction initiative” according to details posted on the agency’s website, intending to bring affordable housing online faster and more cost effectively. The L-shaped, 49,397-square-foot vacant parcel that offers 3-sides of frontage — 400-feet along Eldert Lane, 200-feet along Pitkin Avenue, and nearly 74-feet fronting Grant Avenue is adjacent to the Grant Avenue A-train station; and could reportedly accommodate a development hosting between 62 and 100 affordable housing units.

While modular construction has been hailed by some as the “future of construction,” has yet to establish a signifi cant foothold in New York City, in part reportedly due to “restrictive zoning rules that often put modular buildings at a disadvantage to conventionally constructed projects, rules about when the modules can be transported on city streets and how the units are staged;” as well as a lack of modular manufacturers in the city.


Bedford Union Armory, 1579 Bedford Avenue (Crown Heights) – The New York City Economic Development Corporation fi led new building applications in March for a 15-story residential development that will yield 330-units spread across 336,113 square feet. The 180-foot-tall structure will rise on the east end of the 122,180-square-foot city-owned site that hosts the historic 138,000-square-foot armory. The majority of the residential units are expected to be rentals, if not all of them, to be made affordable for community residents. In addition, low-cost space for local non-profi ts will be included, as well as a new medical facility for uninsured citizens of the city, and below grade recreational space.

The project fi ling is the fi rst step forward since announcements in May 2015 that the city was seeking a developer to renovate the former armory that dates back to 1905, however the project has remained in limbo due to protests from community and housing groups despite selecting a developer at the end of 2015. Initially the project was awarded to the team of BFC Partners and Slate Property Group, which envisioned a 500,000-square-foot mixed-use project featuring (12) private townhouses, a new apartment building hosting a mix of market-rate and affordable units, with the armory’s main building featuring a recreational center. The developers were to control the majority of the site under a 99-year lease, with the potential of purchasing a portion that ran along President Street from the city. In 2016 Slate agreed to sell its stake in the project leaving BFC as the sole developer.

In 2017 the city council approved the project, ending the 8-month-long Uniform Land Use Review Procedure (ULURP). As a result of an agreement reached between the city and the developer, a total of 400 residential rental units will be constructed by BFC, versus the 330-unit originally proposed. The rental units will be divided into 250-units designated for affordable housing, versus 67-units per the original proposal, with the remaining 150 market-rate units expected to generate the revenue needed to run a planned 68,000-square-foot recreational facility. The earlier proposed inclusion of about 60 condo units was eliminated; and in addition, BFC Partners is required to “offer $1.3 million in community benefi ts annually, largely in the form of $10-a-person recreation center memberships to neighborhood residents and discounted rents for several local non-profi ts” according to reports at the time.

46-48 Cook Street aka 31 Debevoise Street (East Williamsburg) – Cook Properties LLC, an entity that reportedly appears to have ties to Brooklyn developers Joel Braver and/or Cheskie Weiss, is currently constructing the 12-story, 87,895-square-foot mixed-use development. The 125-foot tall structure will host 45 residential units spread across 33,987 square feet, 10,829 square feet of commercial-retail space and 24,070 square feet dedicated for community facility use; and will front both Cook and Debevoise Streets. A single-story, 10,000-square-foot industrial building had been demolished to make way for new construction. The approximately 14,354-square-foot block-through site last traded in 2015 for $8 million ($91 per buildable-square-foot).

Brooklyn (cont’d)

1579 Bedford Avenue - Rendering

46-48 Cook Street - Rendering

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Project Plans in Progress (cont’d)

14-28 India Street (Greenpoint) – The investment group led by Brooklyn-based real estate fi rm RedSky Capital and London-listed private equity fund JZ Capital Investors submitted a pre-fi ling in April for a proposed 40-story, 641,924-square-foot residential development to host 470-units. Project details posted on the Department of Building’s website indicate a shift from earlier reported plans of a somewhat larger mixed-use project to include 100,000 square feet of retail space. The 112,226-square-foot waterfront site spans a full block with frontage along India, West, and Java Streets; and features 19,820 square feet of pier space that will reportedly offer future tenants the convenience of an East River ferry stop. Redevelopment of the existing 103,000-square-foot warehouse was initially put on hold, pending the leases of existing tenants expiring — HBO’s lease expired August 2015; and CBS’ lease expired March 2016 according to reports in 2015. The site last traded under the entity Stiles Properties, LLC in 2009 for $83.5 million ($130 per buildable-square-foot).

470 Manhattan Avenue aka 117 Newton Street (Greenpoint) – Heatherwood Luxury Rentals under the entity 470 Manhattan Ave, LLC fi led revised permit applications in March for a 135-unit residential rental development. The 70-foot-tall structure will include over 138,000 square feet of residential space spread across 7-stories. The 10,020-square-foot parcel acquired in 2013 for $6.1 million will require remediation both during construction and after delivery following the reported “discovery of toxic compounds in the underlying soil and groundwater” likely the result of generations of heavy manufacturing in the neighborhood.

559 Park Avenue aka 64-88 Nostrand Avenue (Bedford-Stuyvesant) – The New York City Department of Sanitation fi led new building applications in May for a 3-story, 138,243-square-foot commercial development on the Williamsburg border. The 45-foot-tall structure will be constructed on the 59,550-square-foot parking lot; and reportedly host a mix of offi ces, locker rooms, fi le archive, training rooms, and a setup for vehicle repair and heavy vehicle storage. In addition, 75 on-site parking spaces will be created.

561 Pacifi c Street aka 24 4th Avenue (Boerum Hill) – Adam America, in partnership with the U.S. arm of China Vanke secured permit approvals in February for a planned 12-story, 110,572-square-foot mixed-use development. The 124-foot-tall structure will host 63 residential units spread across 87,245 square feet, 7,034 square feet of commercial space, and 480 square feet dedicated for community facility use. New construction will replace the former 150-year-old Church of the Redeemer which was demolished in 2016. The 3-story 11,700-square-foot church last traded in June 2017 for $36 million. Seller the Jackson Group had acquired the corner 11,775-square-foot parcel 3-years prior for $20 million from the Episcopal Diocese of Long Island, the sale prompted by the extent of the structure’s state of disrepair being too cost prohibitive to remedy according to reports at the time.

18-20 Spencer Street (Bedford-Stuyvesant) – Brooklyn-based Loketch Group fi led new building applications in early 2017 (02/2017) for a planned 12-story, 59,500-square-foot mixed-use development. The 136-foot-tall structure will host 12,460 square feet of commercial space on the 4th through 6th fl oors, and 20,550 square feet dedicated for community facility use on the remaining upper 6-stories to house a medical ambulatory diagnostic facility. A 4-level, 81-car parking garage will be constructed on the 2nd fl oor through (2) below grade sub-levels. New construction will rise on the 7,000-square-foot parcel that sits on the Williamsburg border; and was acquired in December 2017 for $250,000 ($4 per buildable-square-foot) according to city records.

2926 West 19th Street (Coney Island) – L+M Development fi led new building applications in March for a planned 16-story, 624,788-square-foot mixed-use development. The 165-foot-tall structure will host 446 residential units spread across 543,441 square feet and 81,347 square feet of commercial space. The commercial space will comprise a 108-car open garage and (5) retail units on the ground fl oor, with offi ce space spread across the 1st, 2nd and 3rd fl oors. The project appears to be connected to a proposed multi-building development tied to the entity Coney Island Development LLC reported earlier this year, announcing a proposal by the Prusik Group and Taconic Investment Partners to construct a mixed-use complex that will yield 1,000 residential units, 150,000 square feet of retail space, and 80,000 square feet of offi ce space spread across a roughly (3) block assemblage along Surf Avenue located directly across from MCU Park; and in the vicinity of Luna Park.

Brooklyn (cont’d)

561 Pacifi c Street - Rendering

18-20 Spencer Street - Rendering

470 Manhattan Avenue - Rendering

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Brooklyn (cont’d)

Lending

85 Jay Street (DUMBO) – CIM Group which reportedly controls a 95% stake interest, along with minority partners Kushner Companies, and LIVWRK are nearing approvals for a $600 million construction loan for the planned 21-story, 875,505-square-foot mixed-use development. Final terms of the loan to be provided by JPMorgan Chase are reportedly pending underwriting approvals. Plans were fi led last August for the development that will be constructed on the 135,000-square-foot site acquired from the Jehovah’s Witnesses for $345 million at the end of 2016. The 250-foot-tall tower will host 737 residential units spread across 812,978 square feet, 60,017 square feet of commercial space, and 1,154 square feet of community facility space.

Currently a parking lot, the site was up-zoned in 2004 to make way for the construction of 4-new structures to be used by the Jehovah’s Witnesses that never moved forward. However the site’s value increased as a result of the new zoning that remained in place, reportedly allowing unrestricted use for up to 1.1 million buildable square feet as-of-right.

260 Kent Avenue (Williamsburg) – A trio of lenders have purchased $175 million in taxable bonds issued by the New York State Housing Finance Agency (HFA). The $75 million purchase by Wells Fargo, as the lead lender in the transaction, along with JPMorgan Chase and M&T Bank, which purchased $50 million each, will provide construction fi nancing for the 42-story, 462,000-square-foot mixed-use development being constructed by Two Trees Management. Expected to cost an estimated $309 million, the developer is planning to contribute $134 million in equity to complete fi nancing for the 80/20 project that will host 330 residential units; and include a connected 22-story commercial component with 150,000 square feet of offi ce space and 13,000 square feet of retail space. The tower is the second to rise as part of the multi-building redevelopment of the former Domino Sugar Refi nery; and upon delivery will join 325 Kent Avenue, a 16-story, 401,246-square-foot mixed-use building that opened last fall.

222 Johnson Avenue (Williamsburg) – Slate Property Group has secured a 2.5-year, $35.5 million construction loan from Israel-based Bank Leumi comprised of a roughly $27.781 building loan leasehold mortgage and a roughly $7.719 million project loan leasehold mortgage according to city record documents. The new fi nancing package will help fund the developer’s planned 7-story, 155,579-square-foot mixed-use development to be constructed at the corner of Bushwick Avenue. The 70-foot tall development which received Department of Building’s approvals in mid-May (2018) will host 116 residential units spread across 149,086 square feet and 6,493 square feet of commercial space. Slate controls the 17,640-square-foot parcel under a 99-year leasehold secured in August 2016 for an undisclosed price. (7/2017 NYS RE Transfer tax of $9.674M to Slate) Prior to the May 2016 lot apportionment, the newly created corner tax lot formerly served as a parking lot for an existing (3) building, 82-unit affordable housing development at 198 Johnson Avenue (BL: 3072-1) that fi lls the remainder of the block bound by Johnson and Bushwick Avenues, and Humboldt and Boerum Streets.

50 Bridge Park Drive / 9 Bridge Park Drive (Brooklyn Heights) – The joint venture of RAL Companies, Oliver’s Realty Group and Vanke U.S. have reportedly secured $411 million in construction fi nancing. Arkansas-based Bank of the Ozarks provided $251 million, with the remaining $160 million in “joint-venture equity” from an undisclosed source according to reports. Financing will go towards the pair of mixed-use developments that will rise on Pier 6 within Brooklyn Bridge Park, the development team awarded the 2-building project in 2015.

Construction is already underway for the larger of the (2) towers at 50 Bridge Park, a 30-story, 292,306-square-foot development dubbed Quay Tower. The 315-foot-tall structure rising on the southern end of the pier will host (126) market-rate condominiums, (2) retail spaces and a STEM lab (science, technology, engineering and math) operated by the city’s Department of Education. The new tower expected to deliver in 2019 replaces the former home of the Brooklyn Heights Library, which was demolished last year. The second 16-story, 145,419-square-foot tower has yet to break ground, but according to permit fi ling details will host 140 rental units, of which 100-units will reportedly be designated for affordable housing, plus 4,181 square feet of commercial space.

50 Bridge Park Drive - Rendering

260 Kent Avenue - Rendering

P.45PPPP4P.4P.4P.45.4545454555

Brooklyn (cont’d)

Lending (cont’d)

153-157 Remsen Street (Brooklyn Heights) – Co-developers Quinlan Development and Lonicera Partners have secured a $52.5 million fi nancing package from USAA Life Insurance Company for the mixed-use development well underway. The insurance lender assumed an existing 4-year, $36.6 million debt provided by Manufacturers and Traders Trust Company (M&T Bank) in 2015, which reportedly included an extension option; and provided a new $15.9 million gap mortgage. The 19-story, 90,850-square-foot structure rising between Clinton and Court Streets will host 60 residential units and 4,465 square feet of retail space.

1 Prospect Park West (Park Slope) – Sugar Hill Capital Partners has reportedly secured a $127 million construction loan from Mack Real Estate Credit Strategies. New fi nancing will help fund the conversion of the vacant former 9-story, 169,410-square-foot senior assisted living facility into a 66-unit residential condominium pending approvals of reported offering plans submitted to the New York State Attorney General’s offi ce in October. Sugar Hill acquired the property in October 2016 for $84 million. The fi nal sale price had reportedly escalated the $76.5 million price at the time Sugar Hill entered into contract in 2014, due to controversy of the sale sparking legal action that delayed the closing.

1867-1875 Atlantic Avenue (Bedford-Stuyvesant) – Burman Realty has secured a $42 million loan from Starwood Property Trust to reportedly “be contributed into a CMBS conduit deal.” The refi nancing of the newly constructed 9-story, 79,446-square-foot residential building consolidates an existing $29.7 million debt with a newly provided $12.3 million gap mortgage. Although unverifi ed it appears the 118-unit development was constructed along with Velocity Framers which was listed on the new building applications fi led with the Department of Buildings in 2015. The 21,282-square-foot corner property that partially runs block-through last traded for $7.3 million ($92 per buildable-square-foot) in 2015; and offers 116-feet of frontage along Atlantic Avenue, as well as 167-feet and 23-feet along Columbus Place and Kane Place.

1867-1875 Atlantic Avenue - Rendering

153-157 Remsen Street - Rendering

P.46PPPP4P.4P.4P.46.4646464666

Queens Development

New Development Abounds in Jamaica’s Downtown Area

Initially spurred by the city’s $1.9 billion investment towards the 2003 construction of the AirTrain at Jamaica’s Long Island Rail Road station, bringing elevated railway access to John F. Kennedy Airport, a revitalization of the neighborhood’s Downtown area is fi nally taking hold. Further efforts by the city to spark new construction included the creation of the Special Downtown Jamaica District approved in 2007, resulting in the rezoning of a 368-block area intended to create opportunities for new housing development; and support business and industrial opportunities, while preserving lower density residential neighborhoods. However despite efforts to spark revitalization, Jamaica remained plagued by high unemployment according to reported details within the Jamaica Action Plan released in 2015 — a $153 million economic development initiative launched by the city that was further subsidized by a $10 million grant provided by Governor Cuomo.

A gradual uptick in development activity was reportedly led by BRP Companies, which in 2015 purchased the (11) tax lot, 56,159-square-foot-assemblage at 147-12—147-40 Archer Avenue (aka 93-01 Sutphin Boulevard) for a combined total of $19.5 million. The 2-building, over 770,000-square-foot mixed-use Crossing at Jamaica Station project broke ground in 2017; and upon full construction completion near the end of 2019 will deliver 669 affordable housing units spread across 523,000 square feet, 96,121 square feet of commercial space, 17,375 square feet of community facility space, and 187 parking spaces. The larger tower will reach 26-stories and host 539-units with the remaining 130-units housed within the smaller 14-story building; and a church will occupy the 2-story base of the latter tower. A total of $290 million in fi nancing was reportedly provided by the New York City Housing Development Corporation (HDC) for the estimated $352 million project.

According to reported data compiled by community-building organization Greater Jamaica Development Corporation, development projects currently underway in the neighborhood area are expected to deliver 3,000 housing units, 500,000 square feet of retail space, and 800 hotel rooms over the next 5-years. Ongoing projects in the area include:

• 92-23 168th Street – A 450,000-square-foot development is planned for the 44,884-square-foot site at the corner of 93rd Street which formerly served as an NYPD parking garage. Omni New York will serve as the developer on the project as the winning bidder of a request for proposal (RFP) released in February 2015. Omni along with New York City Economic Development Corporation (NYCEDC), The New York City Housing Development Corporation (HDC) and the city’s Department of Housing Preservation and Development (HPD) will construct the 350-unit affordable housing development that will also include new community facility space, ground level retail space, and an underground parking garage — of which a portion will be dedicated for NYPD use.

Crossing at Jamaica Station - Rendering

P.47PPPP4P.4P.4P.47.4747474777

Jamaica’s Downtown Area (cont’d)

• 150-13 89th Avenue – The redevelopment of the former Mary Immaculate Hospital is planned by the Chetrit Group. The 2-parcel, 173,197-square-foot assemblage that can reportedly accommodate 415,000 buildable square feet is expected to include 324 residential units. The (4) building project will cost an estimated $175 million according to reports in late 2016. Construction fi nancing in the amount of $127.5 million has already been secured.

• 178-02 – 178-36 Hillside Avenue aka 88-02 – 88-08 179th Street – The 8-story, 176,130-square-foot mixed-use development is planned by Pierpont Properties for the 3-parcel, 35,670-square-foot assemblage that spans the entire block-front of Hillside Avenue between 178th and 179th Streets. New construction will host a mix of 131 residential units, 10,000 square feet of retail space, 25,000 square feet of lower level medical offi ces and a public parking facility.

• 163-05 Archer Avenue / 163-25 Archer Avenue – BRP Companies is reportedly in contract to purchase the pair of properties totaling 90,980 square feet for roughly $55 million ($76 per buildable-square-foot) from United Construction & Development Group. Although future development plans by the contract vendee have yet to be fi nalized, the assemblage can reportedly accommodate 719,700 buildable square feet to host 700 residential units along with some retail and offi ce space, with an estimated project cost of between$400 and $500 million.

• 89-50 164th Street – A 12-story, 143,000-square-foot mixed-use development is planned by the Bluestone Organization along with property owner First Presbyterian Church. New construction is replacing a former parking lot; and will host 174 residential units, 14,616 square feet of commercial space, and 9,261 square feet of community facility space. (3Q16-Dev)

• 97-26 147th Place – A 10-story, 47,778-square-foot Red Roof Inn Plus-branded hotel development is planned for the 7,514-square foot assemblage located between Liberty and 97th Avenues. Midtown-based Riverbrook Equities will be constructing the 86-key hotel that will replace a former church building.

• 90-02 168th Street – An over 500,000-square-foot mixed-use development is planned for the 99,500-square-foot parking lot located at the corner of 90th Avenue. Co-developers BRP Companies and Wharton Properties will be constructing the multi-building project as the winning respondents of a request for proposal (RFP) issued in 2016 by property owner Greater Jamaica Development Corporation (GJDC). The trio of buildings will host 70,000 square feet of new retail space and 300 rent-regulated residential units, of which about 10% will be set aside for artists.

• 148-18 Archer Avenue – The 15-story, 202,314-square-foot dual-branded hotel development is currently under construction by United Construction & Development Group. Upon delivery, the 170-foot tall hotel will house Marriott-brands — a 224-key Courtyard Inn spanning fl oors 2 through 10, and a 114-key Fairfi eld Inn & Suites on fl oors 11 through 15. New construction is rising on the 18,000-square-foot parcel located between Sutphin Boulevard and 150th Street.

150-13 89th Avenue - Rendering

90-02 168th Street - Rendering

178-02–178-13 Hillside Avenue - Rendering

89-50 164th Street - Rendering 148-18 Archer Avenue - Rendering

P.48PPPP4P.4P.4P.48.4848484888

Queens (cont’d)

Residential Development in Queens Takes Center Stage

Offering some relief from high housing prices, New York City’s easternmost borough is reportedly attracting an increasing volume of home seekers in search of affordable middle-class housing. According to reported data compiled by the New York City Economic Development Corp. (NYCEDC) of the 2,847 new housing units throughout the (5) boroughs registered in February, a total of 1,234-units, of about 43%, were located in Queens. The monthly average residential housing unit growth in the borough surged nearly 300% year-over-year, “much higher than in any other part of the city” according to reported NYCEDC data; and is the “highest level since December 2015.” Median rents have also continued to rise, but at a more gradual pace of about 0.5% from a year ago according to reported comments by city offi cials.

A concentration of the new housing units came from a dozen new developments, with a “mega-scale project” in Long Island city a “big reasons why Queens is generating so much new housing” according to an NYCEDC spokesperson. While Long Island City is leading the way, Jamaica, which is developing into another up-an-coming area has seen number rise in certain sections that along with a cluster in Long Island City have reportedly between 20,000 and 40,000 housing units being built.

Pending Site Sales

30-77 Vernon Boulevard aka 11-31 31st Avenue (Astoria) – Cape Advisors and Wainbridge Capital have reportedly agreed to purchase the 119,895-square-foot waterfront site for $85 million. An 18-month, $65 million bridge loan that includes extension options is being provided by Mack Real Estate Credit Strategies to reportedly fi nance the acquisition. Seller Criterion Group had acquired the property in 2014 for $57 million ($154 per buildable-square-foot), which at the time hosted a single story structure; and was planning to construct a 9-story, 371,132-square-foot mixed-use development to host 569 residential units spread across 369,949 square feet and 1,183 square feet of commercial space according to permit fi ling details posted on the Department of Building’s website. However despite securing project approvals in 2015, construction never moved forward. Development plans by the contract vendees have yet to be announced.

Recently Sold Sites

54-15 Grand Avenue / 55-15 Grand Avenue / 56-19 Grand Avenue (Maspeth) – LBA Realty in a reported partnership with RXR Realty has acquired the 3-parcel, 384,695-square-foot assemblage located between Page Place and Rust Street for $72 million from Cascades Containerboard and Star Corrugate Box Co. Future plans for the sites comprised of a parking lot and (4) industrial buildings totaling 320,261 square feet have yet to be revealed by the California-based real estate investment and management company.

56-16 56th Drive aka 56-09 56th Terrace / 56-26 56th Drive aka 56-25 56th Terrrace (Maspeth) – Brooklyn-based Atlas Realty NY LLC has acquired the pair of adjacent development sites from the Ciampa Organization for $10.2 million. The block-through assemblage offers 68,000 square feet of land area; and can reportedly accommodate approximately 67,000 buildable square feet. Plans by new ownership have yet to be revealed for the sites which are zoned M1-1; and currently host single-story 4,400-square-foot and 8,000-square-foot industrial buildings. The smaller of the (2) parcels at 56-16 56th Drive last traded in April 2016 for $3 million; while the property at 56-26 56th Drive traded about one year later for $10 million as part of a 2-building portfolio with adjacent 56-36 56th Drive per city records.

P.49PPPP4P.4P.4P.49.4949494999

Queens (cont’d)


Far Rockaway Shopping Center Redevelopment (Far Rockaway) New building applications were fi led in mid-March for (3) ground-up developments on a portion of the mostly abandoned shopping center dubbed “The Far Rockaway Village.” The projects are part of the recently approved rezoning of a 23-block area of Downtown Far Rockaway as part of Mayor de Blasio’s aggressive 10-year affordable housing plan called Housing New York. As part of the rezoning the city has committed roughly $91 million in public funding of the total promised investment in the area of $128 million, to be used to acquire several neglected properties surrounding the Far Rockaway-Mott Avenue subway station. The Far Rockaway Shopping Center which spreads across 150,000 square feet at 20-02–21-18 Mott Avenue is the largest among the selected parcels that the city intends to take control of through eminent domain; and offi cials have promised that the 1,700 residential units planned for the site will be 100% affordable according to reports. The (3) new buildings to reportedly be developed under the entity Mott Center LLC will add a total of 688 housing units and 91,784 square feet of new commercial space to the long-blighted stretch of Far Rockaway.”

• 1725 Village Lane – A 12-story, 298,071-square-foot mixed-use development will rise to a linear height of 125-feet; and host 226 residential units spread across 217,262 square feet plus 38,184 square feet of commercial space that will include (3) retail bays and a grocery store. In addition 295 parking spaces will be created, of which 198-spaces will be constructed below-grade.

• 1701 Village Lane – A 15-story, 237,017-square-foot residential development that will reach a linear height of 155-feet; and host 232 residential units spread across 229,477 square feet

• 1720 Village Lane – A 12-sory, 316,082-square-foot mixed-use development that will reach a linear height of 124-feet; and host 230 residential units spread across 220,503 square feet plus 53,600 square feet of commercial space.

69-02–69-08 Queens Boulevard aka 46-09 69th Street / 69-20 Queens Boulevard (Maspeth) – Madison Realty Capital is hoping to construct a two-tower residential development on a multi-parcel assemblage. A rezoning request for the entire block upon which the site is located was reportedly submitted to the city’s Department of City Planning in April. Currently the southern portion of the 5-parcel site reportedly only allows for low-rise industrial uses, in contrast to the northern portion which permits mid-rise residential construction. In addition a special permit is being sought to building 40-feet taller than the 140-foot-tall limit for residential buildings as allowed by current zoning.

If the rezoning is denied, Madison Realty could reportedly build a 346,240-square-foot development comprised of a 12-story, 125-foot-tall tower with an 11-story annex building to host a total of 289 residential units spread across 226,840 square feet, of which 58-units would be affordable; 14,160 square feet of commercial space; 10,940 square feet for community facility use; and 94,300 square feet of parking area for 149-cars.

However if approvals are secured, it will open the door to a proposed 495,080-square-foot mixed-use complex comprised of 14- and 17-story towers rising to a linear height of 151- and 181-feet respectively. The structures will comprise 456,300 square feet for residential use; 5,640 square feet of commercial space, and a 242-car ground level parking lot totaling 33,100 square feet. A total of 561 residential units would reportedly be created, of which 169-units, or 30%, will be designated for affordable housing as required by the city’s Mandatory Inclusionary Housing (MIH) program.

Madison Realty acquired (2) parcels totalling approximately 31,150-square-foot that served as the home of a gas station and Mexican restaurant in 2016 for a combined total of roughly $14.831 million. The remaining (3) parcels that reportedly complete the development site assemblage have yet to be purchased, acquisition potentially pending rezoning approvals.

(5) Parcel Queens Boulevard AssemblageRezoned Rendering

Project Site Plan Current Zoning Option Re-Zoned Option

P.50PPPP5P.5P.5P.50.5050505000

Queens (cont’d)


51-15 Rockaway Beach Boulevard (Edgemere) – Arker Companies and the Northeast Brooklyn Housing Development Corporation (BHDC), reportedly under Peninsula Rockaway Limited Partnership, have proposed to construct a 2,200-unit complex, of which 1,910-units will be designated for affordable housing; and the remaining 270-units for senior housing. A rezoning of the site to reportedly C4-4 will be required from the current R-5 zoning, with a portion of the property having a C1-2 commercial overlay, before the 2.289 million-square-foot development comprised of (17) buildings can move forward.

A total of (16) buildings ranging in size from about 63,000 square feet to 181,000 square feet would be constructed on the larger 2-parcel, 381,221-square-foot site of the former Peninsula Hospital that shuttered in 2012, which the development team acquired in May 2016 for $19 million ($11 per buildable-square-foot based on larger proposed project). Offering nearly 472-feet of frontage along Rockaway Beach Boulevard, 276-feet on Beach 50th Street, 794-feet on Beach 53rd Street, and 430-feet on Beach Channel Drive, The smaller of the 2-parcels currently hosts a parking lot; and the larger parcel a pair of 4-story buildings — the currently occupied nursing home will remain, while the 4-story hospital building will be demolished to make way for new construction. The 17th building will rise directly across Rockaway Beach Boulevard on a 17,744-square-foot parcel acquired in June 2016 for $650,000 ($10 per buildable-square-foot), replacing a 2-story, 13,000-square-foot industrial building.

If a rezoning is secured, the project that will be constructed in phases is expected to break ground on Phase 1 in 2019 according to reports. News of the proposed project comes about 2-years following reported efforts by the city to revitalize and rezone Edgemere, but an updated status of the review of a wish list drafted by the New York City Department of Housing Preservation and Development (HPD) is not known. The Rockaway’s neighborhood located within the fl ood zone between Beach 35th and Beach 50th Streets had incurred signifi cant damage in the aftermath of the 2012 Hurricane Sandy. Below is a comparative of potential development with and without the rezoning as reported:

UseNo-ActionCondition

With-ActionCondition

Increment

Residential Gross Sq. Ft. Total Dwelling Units

182,523 SF568-units

1,819,073 SF2,200-units

1,336,550 SF1,632-units

Retail (Gross Sq.Ft.) 21,659 SF 151,809 SF 130,150 SF

Community Facility (Gross Sq. Ft.) 800 SF 64,355 SF 63,555 SF

Parking Gross Sq. Ft. Parking Spaces

40,000 SF557-cars

233,571 SF642-cars

193,571 SF85-cars*

Publicly-Accessible Open Space (Gross Sq. Ft.) 0 37,538 SF 37,538 SF

*Nominal change in number of cars since the city believes the bulk of new residents would use public transit

52-03–52-41 Center Boulevard - Rendering

P.51PPPP5P.5P.5P.51.515151511

Queens (cont’d)


130-24 South Conduit Avenue / 149-15 and 149-21 130th Street / 149-20 131st Street (South Ozone Park) – Triangle Equities and Township Capital had acquired the 4-parcel, 118,878-square-foot (2.73-acres) assemblage located near John F. Kennedy International Airport for $24.85 million ($83 per buildable-square-foot) earlier this year fi nanced by a $19 million fl oating-rate loan provided by Citizens Bank. The existing commercial parking lots will give rise to a proposed 3-level, 300,000-square-foot industrial building that is tentatively slated to break ground next year upon a leasing commitment being secured, with a tentative delivery in 2020. Ceiling heights will reach 23- to 26-feet, and the building’s 2nd level will be designed to enable access to 50-foot, long-haul trucks; while the 3rd level will link to a large elevator that can accommodate forklifts to effi ciently bring up goods from ground-fl oor loading areas. Asking rents are expected to reach as high as the low $30s per square foot, nearly double what older warehouses in the area are asking according to reports.

The project further substantiates the developing trend of new warehouses being designed to rise vertically versus spreading horizontally due to the city’s land shortage. An additional $10.1 million in joint-venture investment from an undisclosed state pension-fund partner will help fi nance construction planning according to reports. The site will continue to be operated as a parking lot by new ownership in order to generate a cash fl ow over the interim prior to the start of construction. The developers are hoping to benefi t from anticipated overfl ow of JFK’s growing volume of air-cargo amid rising e-commerce business; and with its location featuring frontage on the Belt Parkway, offers immediate transit access for the Port Authority of New York and New Jersey which is also located nearby.


62-27 108th Street (Forest Hills) – Phipps Houses fi led new building applications in April for a trio of structures to be construction on a portion of a 369,924-square-foot property where (4) existing residential co-ops exist. The buildings will host a combined total of 298 residential units plus community facility space and a parking garage. The non-profi t housing developer reportedly acquired the portion of the site for $8.5 million from the Forest Hills Co-Op Houses complex, which separated from the New York City Housing Authority (NYCHA) in January. As part of the deal Phipps will “pay the co-op board at least $130,000 a year once the new structures open” to help defray maintenance costs and keep the property “fi nancially viable” according to reports.

1. 17-story, 198,911-square-foot mixed-use development to reach a linear height of 174-feet; and host 183 residential units;

2. 13-story, 131,889-square-foot mixed-use development to reach a linear height of 140-feet; and host 115 residential units; and

3. 4-story, 110,400-square-foot parking garage.

9-03 44th Avenue (Long Island City) – Plans for the 42,300-square-foot parcel have shifted for the second time. The site that spans a full block bound by 44th Avenue and 44th Road between 9th and 10th Streets is controlled under a 99-year ground lease secured in July 2014 for $46,880 according to city records. Details posted on the developer’s website reveal a 199-key, 134,402-square-foot Dream Hotel-branded development rising 11-stories that was expected to break ground in the spring of 2015. In 2017 new building applications were fi led for a 3-story development with roughly 85,000 square feet of commercial space intended for offi ce use according to details posted on the city’s Department of Building’s website, as plans appeared to have shifted away from the initially intended hotel project.

More recently in May it was reported that the 3-story project will be dedicated for warehouse use, Barone hoping to take advantage of demand from traditional users of industrial space that have been displaced by larger e-commerce and other logistics tenants. The building will be divided into smaller units ranging in size from 2,000 to 3,000 square feet aimed towards attracting small businesses, including construction fi rms. Due to the increasing scarcity of warehouse space for smaller users, Barone is anticipating the units will command an asking rent of $40 per square foot, nearly double the current market rate in the city. The building will feature 21-foot ceiling heights with polished concrete fl oors; and each unit will have large garage bays to allow easy entry according to reports.

130-24 South Conduit Avenue - Rendering

9-03 44th Avenue Warehouse rendering

Former Hotel Rendering

P.52PPPP5P.5P.5P.52.5252525222

Queens (cont’d)

Projects in Progress (cont’d)

Hunter’s Point South, 52-03 – 52-41 Center Boulevard (Long Island City) – New building applications were fi led at the end of February by TF Cornerstone for the second development of a (2) building mixed-use complex. The smaller 46-story, 410,240-square-foot structure will reach a linear height of 475-feet and host 394 residential units spread across 374,100 square feet, 850 square feet of commercial-retail space on the ground level, and a 7,950-square-foot daycare facility. Being co-developed with non-profi t Selfhelp Community Services, the fi rst tower fi led back in October is expected to reach a linear height of 587-feet. The larger 56-story, 855-541-square-foot structure will host 800 affordable housing units plus 8,073 square feet of commercial space. In addition, a 600-seat school to be funded by the city will be constructed in replace of an earlier proposed educational or cultural center. New construction will rise on the 110,906-square-foot waterfront parcel, the project being awarded to the development team by the New York City Economic Development Corporation (NYCEDC) back in 2013, but groundbreaking has been delayed due to the site sitting above several utility lines and a train tunnel requiring approvals by Amtrak and the New York Power Authority (NYPA) of the buildings’ designs and construction to ensure that their existing infrastructure will not be damaged.

The project is the fi nal parcel to be developed as part of Phase I of a larger multi-building, mixed-use development being constructed on the approximately 30-acre waterfront site divided into (7) parcels as authorized by a 2008 rezoning under the Bloomberg administration. Bound by 50th and 54th Avenues to the north and south, and 2nd Street and the East River to the east and west, construction was completed in 2013 on a portion of the waterfront park by the city. In 2015 completed construction on the fi rst (2) parcels at 1-55 Borden Avenue and 1-50 50th Avenue delivered a combined total of 925-residential units. The 32- and 37-story buildings totaling 830,839 square feet constructed by the development team of Related Companies, Phipps Houses, and Monadnock Construction also host roughly 20,000 square feet of retail space and several tenant amenities including a 2,300-square-foot urban farm where GrowNYC will feature cooking classes and herb education workshops; and an apiary (place where beehives of honey bees are kept).

Looking ahead Phase 2 will be constructed within the area bound by 54th Avenue and Newtown Creek to the north and south, and 2nd Street and the East River to the east and west. Infrastructure work being handled by the city is expected to be completed this year, kicking off another round of housing development. Upon full construction completion the complex will include a total of 5,000 housing units, 60% of which will be designated for affordable housing, a new 1,100-seat school, new retail space, parking, and a 10-acre waterfront park.

107-02 – 107-16 Queens Boulevard aka 106-24 70th Avenue (Forest Hills) – RJ Capital Holdings has shifted directions for the 17,090-square-foot development site, having previously considered constructing an 8-story, 136,000-square-foot commercial building with 12,500 square feet of ground level retail space; 69,623 square feet of offi ce space on the upper fl oors; and a below grade 17,066-square-foot fi tness center and 240-car parking garage. Permit applications fi led in March detail a 10-story, 149,930-square-foot mixed-use project. The 120-foot-tall structure will host 72 residential units spread across 72,830 square feet, 11,640 square feet of commercial space, and a 75-car parking garage that will be constructed on the building’s 2nd fl oor. Although demolition permits were fi led in 2017 for the existing single-story strip mall, leases for several existing tenants extend through 2021 according to reports, likely putting the project on hold for a few years.

107-02–107-16 Queens BoulevardFormer Rendering New Rendering

52-03–52-41 Center Boulevard - Rendering

P.53PPPP5P.5P.5P.53.5353535333

Queens (cont’d)


161-01–161-29 132nd Avenue (Rochdale) – Northeastern Conference House Housing Development in partnership with Fifth Avenue Committee, a Brooklyn-based non-profi t reportedly dedicated to creating affordable housing, fi led new building applications in March for a planned 10-story, 222,180-square-foot mixed-use development. The 97-foot-tall structure will host 159 residential units and 2,685-square feet of community facility space. Although unverifi ed, it seems likely that new construction will be located on a portion of the 112,700-square-foot parcel spanning the entire block-front of 132nd Avenue between 161st Street and Guy R. Brewer Boulevard, joining an existing 12-story, 100,752-square-foot residential building hosting 111-units built in 1984.

37-02–37-20 114th Street aka 112-40 37th Avenue (Corona) – Property owner Ai Yun Chen fi led new building applications in March for an 8-story, approximately 173,909-square-foot mixed-use development. The 70-foot tall structure will host 90 residential units spread across 81,069 square feet, 92,217 square feet of commercial-retail space, and 623 square feet dedicated for community facility use. The 46,875-square-foot parcel offers frontage 250- and 125-feet of frontage along 37th and 38th Avenue respectively, as well as 250-feet fronting 114th Street; and last traded for $37.644 million ($216 per buildable-square-foot) in 2016 according to city records.

144-45–144-51 Northern Boulevard / 144-61 Northern Boulevard (Flushing) – CW Northern fi led new building applications in April for a 17-story, 213,270-square-foot mixed-use development. The 197-foot-tall structure will host 132 residential condominiums spread across 116,127 square feet, 48,825 square feet of commercial space, and 48,318 square feet of community facility space. In addition, an enclosed 489-car parking structure will be constructed. The original 3-parcel, 48,642-square-foot assemblage located between Parsons Boulevard and 146th Street was acquired through a pair of transactions in 2016 and 2017 for a combined total of $47.2 million ($221 per buildable-square-foot) according to city records. Demolition permits for an existing 2-story, 17,985-square-foot retail structure were fi led at the end of 2017 to make way for new construction.

37-01–37-13 30th Street aka 37-12–37-30 31st Street (Astoria) – New building applications were fi led under the entity 37-21 30th Street Corp. for a 7-story, 184,085-square-foot mixed-use development. The 75-foot-tall structure will host 199 residential units spread across 133,452 square feet, 10,950 square feet of commercial space, and 10,976-square-foot of manufacturing space. New construction will rise on the 45,500-square-foot irregular-shaped parcel that also offers frontage along 37th Avenue; and will replace an existing 3-story, 44,060-square-foot manufacturing building.

21-02–21-20 30th Road aka 30-35 21st Street (Astoria) – Longtime owner Variety Boys and Girls Club are planning to construct a 285,040-square-foot mixed-used development on the 58,700-square-foot corner parcel. The 145-foot-tall structure would replace the organization’s existing single-story, 30,291-square-foot facility; and host 112 residential units spread across 133,090 square feet, 7,780 square feet of commercial-retail space, and 114,430 dedicated for community facility use to serve as the home of the Boys and Girls Club. New construction will give rise to a pair of connected structures with a 14-story residential building and a 6-story community facility reportedly housing a pool, offi ces, an audio studio, classrooms, and a rooftop play roof.

70-65 Queens Boulevard (Elmhurst) – Skyhill III Group fi led new building applications in March for a planned 10-story, 108,390-square-foot mixed-use development. The 105-foot-tall structure will host 71 residential units spread across 67,040 square feet, 6,220 square feet of commercial space, and 8,640 square feet of community facility space. An existing single-story, 11,556-sqaure-foot commercial building will need to be demolished to make way for new construction. The 17,842-square-foot parcel located between 74th Street and 45th Avenues last traded in 2017 for $10.5 million ($97 per buildable-square-foot) according to city records.

37-02–37-20 114th Street - Rendering

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Queens (cont’d)

Lending

LaGuardia Airport: Delta’s Terminal C and D (East Elmhurst) – The airline has secured a $1.4 billion fi nancing package from New York State Transportation Development Corp.’s (TDC) Empire State Development (ESD) subsidiary and Bank of New York Mellon (BONY), which purchased a series of bonds from ESD to help fi nance project construction and renovation costs. The package includes a “$1.38 billion building loan leasehold mortgage and a $4 million project loan leasehold mortgage, both supplied through the issuance of TDC special facilities revenue bonds” according to reported details of documents posted on city records. The estimated $4 billion plan broke ground last August with a tentative completion sometime in 2026 according to last year’s reports. Delta is reportedly investing $3.4 billion to construct the 37-gate terminal on the eastern half of the airport, which will result in the consolidation of the terminals into Terminal C.

The Port Authority of New York & New Jersey (PANYNJ) is “committing $600 million to leverage” Delta’s investment — “$200 million towards the new Delta facilities, including the construction of new concourses and ramps; $185 million for a new electrical substation to support the power requirements of the new building, plus an 500-space expansion of the East Garage and temporary parking during construction; and $125 million for new roadway and additional supporting infrastructure that is typically the responsibility of the Port Authority in new terminal developments.”

Back in July 2017 the Port Authority of New York and New Jersey (PANYNJ) reportedly approved Delta Air Lines new ground lease through 2050 at LaGuardia Airport’s Terminal C and D. Although a rent abatement of reportedly up to $36.6 million was mentioned in 2016 as part of the new lease negotiations, intended to offset PANYNJ getting a higher percentage of the retail revenue generated at the terminals, it has not been verifi ed if the abatement was included.

Upon construction completion Delta’s new 37-gate terminal complex will be linked to the estimated $4.2 billion Central Terminal Building B (CTB-B) project that is well underway on the western half of the airport, having broken ground back in June 2016 by LaGuardia Gateway Partners, a consortium of Vantage Airport Group, Skanska, Meridiam Infrastructure, Parsons Brinkerhoff, Walsh and HOK, via a central hall. According to announcements last summer the fi rst new gates at CTB-B are expected to open this year, with construction reportedly on track to be fully completed by 2021. As part of the massive redevelopment project the new terminals will be located closer to Grand Central Parkway. In addition the proposed dedicated AirTrain reportedly moved closer to becoming a reality following the February 2017 issuance of a Request for Proposals (RFP) by Governor Cuomo seeking a fi rm(s) to conduct “preliminary engineering and other planning work;” and (9) months later the PANYNJ committed another $55 million, in addition to the previously allocated $20 million, towards the project that will put an AirTrain between Mets-Willets Point and LaGuardia airport.

25-11 – 25-35 49th Avenue aka 47-40 – 47-42 Davis Court (Long Island City) – Normandy Real Estate Partners and Keystone Equities have secure a $94.95 million fi nancing package from German lender Deutsche Bank. The fi nancing includes a $31.2 million acquisition loan for the roughly $39.691 million purchase from owner/user Candid Litho Printer of the 2-story, 140,000-square-foot industrial building that closed in February, a $13.95 million gap mortgage, a $35.65 million building loan, and a $14.15 million project loan according to documents posted on city records. Although plans by new ownership have yet to be fi nalized, an expansion and conversion of the existing structure into an 11-story, 238,000-square foot building offering a mix of offi ce and retail space is reportedly being considered.

LaGuardia Airport - Rendering

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Queens (cont’d)

Lending (cont’d)

54-31 Myrtle Avenue / 16-37 Woodbine Street (Ridgewood) – AB Capstone has secured a $37.5 million loan from Madison Realty Capital, apparently deciding to move forward with the development of the 2-parcel, 24,971-square-foot vacant site. The fi nancing will reportedly buyout former partner Bronstein Partners; as well as fi nance the acquisition of the pair of commercial buildings acquired in late February for $11 million. Both properties will reportedly be combined with a pair of adjacent vacant parcels at 3-36 St. Nicholas Avenue / 3-50 St. Nicholas Avenue acquired by AB Capstone in 2014 for $7.7 million. Back in January 2017 it had been reported that AB Capstone and Bronstein were seeking to sell the 2-parcel, 24,971-square-foot assemblage plus additional development rights at an asking price of $34.9 million ($194 per square foot). The shovel-ready site had secured construction permits from the Department of Buildings (DOB) in 2015; and had been 421-a approved since foundation work was underway prior to the former 421-a tax abatement program expiring on January 15, 2016.

The latest acquisition will allow the developer to increase the scope of the project, permits approved in 2015 detail a 17-story mixed-use development housing 129 rent stabilized units, as stipulated by the approved tax break, plus over 86,000 square feet dedicated to retail, offi ce and community uses, and 350 on-site parking spaces. While the latest reported project proposal appears similar, the building density will be increased to 235,000 square feet. The expanded 31,056-square-foot assemblage also includes additional development rights acquired for $2.896 million in 2015 from the recently purchased buildings, as well as a third neighboring property at 54-21 Myrtle Avenue according to city records.

3-36 / 3-50 St. Nicholas AvenueFormer Rendering

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Bronx Development

Jerome Avenue Rezoning Gets a Green Light

A rezoning of the narrow, 95-block-long corridor that runs along Jerome Avenue from McClellan Street to 184th Street in the South Bronx through the neighborhoods of Mount Eden, Morris Heights, Mount Hope and Concourse was approved by the city council on March 22, 2018. Intended to revitalize the area currently lined with auto-body shops that lie in the shadow of the elevated tracks of the 4-subway line, the new zoning would open the door to construction of large, mixed-use developments. By amending the former zoning text which only allowed new construction for retail, hotel, offi ce or industrial uses, the city is hoping to spark the development of a mix of residential, retail and community facility space. However it is anticipated that roughly 100,000 square feet of auto shops and 100 employees are likely to be displaced as a result of the proposed rezoning, but the city reportedly intends to provide money to assist displaced businesses despite a similar attempt under the Bloomberg administration proving unsuccessful.

Height limits for new developments along the majority of the corridor would reportedly be restricted to 80-100 feet, with construction in some areas allowed to reach 120-145 feet; and in order to ensure that light and air can pass between the new buildings and the elevated tracks, setbacks will be required according to earlier reports. The zoning change is projected to potentially create 4,600 residential units over the next 10-years — of which a minimum of 25% will be required to be designated as affordable housing under the Mandatory Inclusionary Housing (MIH) policy, 35,575 square feet of commercial/retail space, and 72,273 square feet of community facility space. In addition, the city has reportedly designated $189 million for parks, businesses and open space; as well as committing to opening (2) new 458-seat schools. A Southwest Bronx Housing Task Force will be launched to preserve 2,500-units in the neighborhood over the next 2-years,plus a preservation program that will develop anti-tenant displacement strategies.

Due to a scarcity of land in New York City, the “transforming of low-density manufacturing zones near public transit into higher-density residential development districts” offers in theory the advantages of typically being less populated with the likelihood of people being displaced due to construction minimized, thereby also reducing opposition to the rezoning proposal; and the higher property value created by the rezoning can in some instances be recaptured by the city’s administration by requiring developers to include permanently affordable housing within their projects according to reports. The Jerome Avenue rezoning is the 4th to secure approvals among a potential 15 underutilized neighborhoods throughout the (5) boroughs the de Blasio administration was considering reviewing in an effort to increase affordable housing development as part of the mayor’s Housing New York – 5-borough, 10-year plan announced upon taking offi ce in 2014. The other (3) rezonings which have been approved by city council over the last few years include East New York, approved April 2016; Downtown Far Rockaway, approved September 2017; and East Harlem, approved November 2017.

Artist Sketched Visions of: Burnside Avenue Corporal Fischer Park Cromwell Avenue At Cross Bronx Expressway

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Bronx Development (cont’d)

Offi ce of the Bronx Borough President: 2009-2017 Annual Bronx Development Report

An updated report released in May by the Offi ce of the Bronx Borough President provided development activity statistics for 2017, as well as over the 11-year period from 2009 through 2017. The report revealed that annual development investment activity in 2017 was the second highest in 2009-2017; and overall square footage reached the highest number during the same period, surpassing the total in 2016 by 15%. Land investment for residential use projects was the highest annual investment in 2009-2017; and among the residential units constructed 42% of the unsubsidized units were developed by private developers.

Top 10 Residential Developments

Rank Project Investment Developer

1. 1932 Bryant Avenue $147,000,000 Assoc. of New York Catholic Homes

2. Bronx Commons430 East 163rd Street $140,000,000 BFC Partners

3. 600 East 156th Street $86,700,000 Phipps Houses

4. 1010 East 173rd Street $85,000,000 Signature Urban Properties

5. Mill Brook Terrace570 East 137th Street $81,000,000 West Side Federation for Senior and

Supportive Housing (WSFSSH)

6. 1518 Boone Avenue $73,829,009 Signature Urban Properties

7. 2519 Creston Avenue $70,046,627 Radson Development

8. Park House4275 Park Avenue $64,825,500 Breaking Ground

9. 988 East 180th Street $44,857,502 Phipps Houses

10. 1784 Prospect Avenue $42,000,000 HELP Development Corporation

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Annual Bronx Development Report (cont’d)

Top 10 Commercial Developments


1. 3111 Wilkinson Avenue $40,000,000 Marcal Group

2. 281 East 132nd Avenue $13,188,605 Maddd Equities

3. 2325 Hollers Avenue $9,370,200 Cayre Equities

4. 444 East 149th Street $5,000,000 Jay Domb

5. 1893 Washington Avenue $4,500,000 Nehalkumar Ghandi

6. 460 East 156th Street $3,000,000 Abraham Robeuzadeh

7. 3825 Corlear Avenue $2,300,000 Manhattan College

8. 1225 Randall Avenue $2,000,000 Tamir Gayer

9. 2586 Bainbridge Avenue $2,000,000 Wash Park Inc.

10. 3555 White Plains Road $1,700,000 Mark Koplowitz

Top 10 Institutional Developments


1. 1561 East 174th Street $54,000,000 NYC Parks

2. 2500 Fish Avenue $40,000,000 NYC School Construction Authority (SCA)

3. 2681 Marion Avenue $30,000,000 Post Graduate Center for Mental Health

4. 625 Bolton Avenue $16,500,000 Turner Impact Capital

5. 680 Mandanici Road $12,700,000 NYC Dept. of Correction (DOC)

6. 316 East 165th Street $12,600,000 CG Educational Holding Corp.

7. 700 Mandanici Road $8,700,000 NYC Dept. of Correction (DOC)

8. 311 East 237th Street $5,000,000 NYC School Construction Authority (SCA)

9. 1401 Plimpton Avenue $4,436,000 NYC Parks

10. 1730 Crotona Avenue $3,050,000 NYC Parks

1932 Bryant Avenue - Rendering

1518 Boone Avenue - Rendering

430 East 163rd Street - Rendering

2519 Creston Avenue - Rendering

600 East 156th Street - Rendering

4275 Park Avenue - Rendering

570 East 137th Street - Rendering

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Bronx Development (cont’d)

New to Market

1408 Cromwell Avenue / 1414-1426 Cromwell Avenue (Mount Eden) – The pair of adjacent properties that lie perpendicular to each other have reportedly been introduced to the market; and although not verifi ed the sellers appear to be longtime owners the Klausner family per city records. Located within the recently rezoned Jerome Avenue district the asking price for the pair is reportedly $8.25 million.

• 1408 Cromwell Avenue – The vacant 8,669-square-foot lot located between West 170th Street and Macombs Road was rezoned from C8-3 to R8-A to accommodate 62,417 buildable square feet as-of-right; and offers 150-feet of frontage.

• 1414-1426 Cromwell Avenue – The 13,394-square-foot property that runs block-through to Inwood Avenue is zoned C8-3; and currently hosts a 2-story, 25,392-square-foot commercial building that is reportedly leased to a parking lot operator until 2025, “but favorable terms allow ownership to terminate the agreement.”

Pending Site Sales

101 Lincoln Avenue / 2401 Third Avenue (Mott Haven) – Brookfi eld Property Partners has reportedly agreed to purchase the nearly shovel-ready mixed-use project for around $165 million from Somerset Partners and the Chetrit Group. Plans to development the pair of properties dates back to 2015, the sellers acquiring the sites for a combined total of $58 million in 2014 and 2015. Financing was reportedly in place for the 3rd Avenue project, however remained pending for the Lincoln Avenue development with Somerset and Chetrit having invested a total of $350 million in equity for the estimated over $600 million, 7-building project according to reports last year. It is likely that aside from some modifi cations, Brookfi eld will move ahead with Somerset and Chetrit’s designs, having initially fi led permits in 2015 for the 1,300-unit market-rate project spread across a combined total of 1,233,594 square feet.

According to existing project details:

• 2401 Third Avenue – The 67,000-square-foot site of the former JLL Mott Iron Works located at the foot of the 3rd Avenue Bridge will give rise to 3 towers — a 25-story, standalone high-rise and an 8-story base topped by a pair of towers reaching 25- and 16-stories. A total of 430 rental units will spread across 416,446 square feet. In addition, 4,200 square feet of community facility space and a 175-car garage will be constructed. Tenant amenities will include building access through a porte-cochere, a pet care room, gym, event room, and a 3rd fl oor pool.

• 101 Lincoln Avenue – The 133,700-square-foot site formerly served as a freight transfer depot for rail, boats and trucks; and spreads across an entire city block located on the south side of the 3rd Avenue Bridge and bordered by Bruckner Boulevard and Lincoln Avenue. New construction will give rise to (3) 24-story standalone towers and a 4th 22-story tower on top of a 6- and 7-story podium. A total of 849 rental units will spread across 817,148 square feet, plus 20,500 square feet of retail space, 1,100 square feet of community facility space, and a 432-car multi-level garage. A shared courtyard will be created between the towers. As part of the project a 25,500-square-foot public waterfront esplanade was to be constructed along the 500-feet of waterfront the site offers. In addition to similar amenities being created at the 3rd Avenue development, there will also be a ground level café, a “library/wine room,” and screening room.

Existing Renderings 2401 Third Avenue 101 Lincoln Avenue

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Bronx (cont’d)


12.8-Acre South Bronx Rail Yard, 400 East 132nd Street (Mott Haven) – Preliminary renderings were released for the redevelopment of the rail yard site located along the Harlem River that offers 1,200 feet of waterfront frontage. Final selections of the development team have yet to be made by New York State’s Empire State Development (ESD) in response to the request for expressions (RFEI) released in November 2016 seeking developers to submit proposals for the sale or lease of the air space above. Located by the Mott Haven and Port Morris neighborhoods, the site was originally part of the Penn Central rail system, the yard sold to the New York State Department of Transportation in 1982; and is primarily used for industrial and manufacturing purposes at present. Proposals are required to “maximize the economic benefi t of the site while preserving the intermodal footprint of the site” according the ESD’s press release at the time. A few submitted proposals include:

Related Companies, Somerset Partners, and the New York City Football Club (NYCFC) – Proposed plans by the trio reveal an estimated $700 million project to include an affordable housing development and a 26,000-seat, dedicated soccer stadium, which will be the fi rst in New York City; and will be occupied by NYCFC. The residential component will host approximately 550 affordable and workforce apartments, newly created children-oriented amenities, as well as 25,000 square feet of medical facility space at the base. The complex will also house:

• Permanent offi ce space for NYCFC’s outreach ‘City Soccer in the Community’ program and the organization’s over 70 in full-time staff;

• A soccer university of over 1,000 students that will utilize the stadium daily; and

• Newly created 150,000 square feet of retail space to serve the local community.

New amenities to created include:

• An interactive indoor theme park operated by Kidzania, which enables children to learn about different careers, the inner-workings of a city, and the concept of managing through role play;

• A new 85,000-square-foot park and waterfront walkway, as well as an outdoor City Square/Community entertainment plaza; and

• A new ferry terminal linking to the NYC ferry system.

As part of the project, the development team would reportedly “pay $500,000 annually for a 99-year ground lease, invest $25 million into the new waterfront esplanade, and invest another $100 million to make the site buildable.

The site sits adjacent to a nearly shovel-ready, 2-parcel assemblage — 101 Lincoln Avenue and 2401 Third Avenue where a large multi-tower, mixed-use development is planned. Somerset along with the Chetrit Group had intended to construct the 7-building, over 1.2 million-square-foot complex that was expected to host about 1,300 market-rate residential units; but have recently struck an agreement with Brookfi eld Property Partners to sell both sites for around $165 million according to reports in early April.

L+M Development Partners and Omni New York – The developers have reportedly proposed a $2.2 billion mixed-use complex dubbed Alexander Landing. The complex would host 2,000 residential units spread across (7) high-rise buildings, of which a portion will be designated for affordable housing; a charter school operated by Bronx Charter School of the Arts; a medical facility operated by Montefi ore Health System; as well as retail, parking and open space. As part of the developers’ submission letters of intent from several Bronx businesses reportedly interested in leasing space at the complex were submitted, the developers’ planning to utilize a portion of the rail facility for use by industrial tenants to facilitate the shipping and receiving of goods.

101 Lincoln Avenue/2401 Third Avenue (left) and Proposed 12.8 Acre Development (right) - Renderings 12.8-Acre South Bronx Rail Yard - Site

Alexander Landing - Massing Diagram

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Bronx (cont’d)


1184-1194 River Avenue / 1159 River Avenue (Concourse) – Maddd Equities is reportedly planning to construct a pair of developments on the non-contiguous sites that currently host parking facilities. Project plans have yet to be fully fi nalized; and acquisition remains pending for the sites that are located within the recently rezoned 95-block-long Jerome Avenue corridor that was approved in March.

• 1184-1194 River Avenue – The 21,425-square-foot parcel is expected to give rise to a 17-story, 548,000-square-foot mixed-use development dubbed River Crest that will host 500 affordable housing units spread across 386,000 square feet, plus retail and community facility space and parking for 354-cars. The developer is planning to secure “bonds from the city’s Housing Development Corporation (HDC) and loans from the Department of Housing Preservation and Development (HPD) to fi nance the project.

• 1159 River Avenue – The 24,165-square-foot parcel located across street will be co-developed with affordable housing non-profi t Community Access. A planned 200,000-square-foot mixed-use development will host 250 residential units split between affordable and supportive housing, plus retail space and parking. The residential component will be operated by Community Access, while Maddd Equities will take the retail component.


1661-1675 Westchester Avenue aka 1230-1244 Metcalf Avenue (Soundview) – Health-services non-profi t Acacia Network and non-profi t affordable housing developer Phipps Houses fi led new building applications in April for a 12-story, 219,550-square-foot mixed-use development. The 124-foot-tall structure will host 249 residential units spread across 201,500 square feet and 18,050 square feet of community facility space. News of the proposed development was initially announced last May, the co-developers seeking a rezoning of the 32,000-square-foot parcel that would increase the base fl oor-to-area ratio (FAR) from the 2.43 currently zoned, to a maximum of FAR 7.02 when an inclusionary housing bonus is factored in according to reports at the time. The corner property that currently hosts a single-story, 12,275-square-foot building last traded in 2014 for $3.2 million ($15 per buildable-square-foot)

1076-1080 Washington Avenue aka 480 East 166th Street / 1074 Washington Avenue (Morrisania) – New building applications were fi led in April by Bronx Pro Group for a planned 12-story, approximately 135,357-square-foot mixed-use development. The 123-foot tall structure will host 154 residential units spread across 129,802 square feet and 5,555 square feet of commercial-retail space. The 2-parcel, 16,372-square-foot assemblage was acquired by Bronx Pro in late 2017 for $2.45 million ($18 per buildable-square-foot) from United Methodist City Society according to city records. Existing structures on the larger 14,898-square-foot corner parcel include a single-story church building and an adjoining 2- to 3-story building which may serve as a rectory for the religious organization. It is unclear if new construction will include the entire parcel, demolition permits fi led in April only listing the single-story, approximately 4,000-square-foot church building that fronts East 166th Street on the eastern portion of the property.

1164 River Avenue (Concourse) – Maddd Equities pre-fi led plans for a 17-story, 342,213-square-foot mixed-use development to be constructed on the vacant 14,835-square-foot parcel at the corner of Mc Clellan Street, to be constructed in partnership with affordable housing non-profi t Community Access. The 181-foot-tall structure will host 250 residential units spread across 186,604 square feet and 87,725 square feet of commercial space. The property last traded for an undisclosed price in 2015 to River Avenue Realty Corporation according to city records.

980-984 Westchester Avenue aka 998-1004 Tiffany Street (Foxhurst) – Atlantic Building fi led new building applications in May for a 7-story, 156,660-square-foot mixed-use development. The 75-foot-tall structure will host 81,840 square feet of residential space reportedly divided between (30) non-profi t sleeping accommodations for an unspecifi ed organization and 151 residential units. Newly created 20,370 square feet of commercial-retail will include a grocery store; and community facility space will spread across 22,870 square feet. Demolition permits have already been fi led for the existing single-story 10,340-square-foot commercial building to make way for new construction.

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Bronx (cont’d)


1221 Spofford Avenue aka 1201-1231 Spofford Avenue (Hunts Point) – Redevelopment plans of the former Spofford Juvenile Detention Center (later named Bridges Juvenile Center) is set to move forward following secured approvals by the New York City Council Committee on Land Use on March 15th and a fi nal sign-off by the Mayor and city council one week later. The development team of Hudson Companies, Gilbane Development and the Mutual Housing Association of New York (MHANY) will be handling the estimated $300 million project. The former detention facility that shuttered in 2011 will ultimately be redeveloped into a (5) building, 840,000-square-foot mixed-use complex dubbed The Peninsula.

The project was awarded to the group by the New York City Economic Development Corporation (NYCEDC) as a result of the request for expressions (RFEI) issued in June 2015. The 5-acre campus bound by Spoffard Avenue and Barretto and Tiffancy Streets will offer:

• Community development and education resources through a higher-education space that features career readiness programing, and co-working space designated for small business incubation and technical assistance for local entrepreneurs;

• The preservation and expansion of an existing on-site Head Start facility, adding a dedicated playground

• 740-affordable housing units;

• 52,000 square feet of recreational space;

• 49,000 square feet of light industrial space;

• 21,000 square feet of retail space to include a 15,000-square-foot grocery store and Bronx-based retailers; and

• 48,000 square feet of community facility space with an anticipated 15,000 square feet dedicated for artist workspace, and an 18,000-square-foot health and wellness center operated by Urban Health Plan.

Groundbreaking is expected to take place this spring, with construction to be done in (3) phases for a tentative full completion in 2024, further advancing the city administration’s goal to build 80,000 new affordable units as part of Mayor de Blasio’s 10-year Housing New York plan. The project is expected to create 177 permanent jobs and over 1,600 temporary construction jobs, with the project team committing to a 35% minority and women-owned business (M/WBE) goal according to a press release by the NYCEDC.

1221 Spofford Avenue - Renderings

1221 Spofford Avenue - Site Plan

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Bronx (cont’d)

Lending

801 Colgate Avenue / 1410 Story Avenue (Soundview) – York Studios has secured a $26.5 million mortgage for Phase 1 of the movie studio’s development from Flushing Bank. Construction on the 10-acre lot located off the Bruckner Expressway broke ground early last year; and will give rise to a 170,000-square-foot facility housing (3) 15,000-square-foot and (2) 18,000-square-foot soundstages and support space at a reported cost of $45 million. The new facility that is expected to be completed before the end of the year will be about 2-miles from Silvercup Studios’ newly constructed approximately 123,000-square-foot production facility at 295 Locust Avenue in Port Morris that opened in 2016.

The project is signifi cant in that it not only revitalizes a long-dormant site, but “marks the fi rst ground-up construction of a state-of-the-art television and fi lm production facility in the Bronx” according to reported comments by a York Studios spokesperson. According to 2017 reports a $33 million tax benefi t package spread across 25-years was awarded to York for the project that is expected to generate nearly $100 million in new tax revenue for the borough, employ over 400 industry professionals, and create hundreds of construction jobs according to reports. Phase 2 construction is expected to add (3) larger stages to the complex that upon full construction completion will deliver nearly 350,000 square feet of new production space.

York Studios currently operates a 40,000-square-foot facility in Maspeth, Queens and was attracted to the Bronx “because of its easy access to Midtown, Westchester and Queens; as well as offering “an abundance of options for location shoots.” Decisions to expand have been prompted by increased movie and television production throughout the city largely being fueled by the New York State Film Tax Credit Program which provides a $420 million annual tax-incentive that extends through 2022 as a result of the program’s renewal last year. According to the Mayor’s Offi ce of Media and Entertainment the 2016-17 season boasted 56 television series fi lmed in the city, an 8% year-over-year increase; and reportedly 336 feature-fi lm projects — an almost 40% increase from 2015.

801 Colgate Avenue - Rendering

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Staten Island’s Shoreline Re-envisioned

Development within Staten Island has reportedly reached record levels, particularly along the borough’s eastern shore. However without a master plan for the island it is anticipated that there exists the potential of heightened congestion due to heavy reliance on automobiles; and further burden already existing infrastructure and transportation issues. A 90-page preliminary master plan dubbed “A Vision for Staten Island” has been proposed, the project led by New York-based architectural fi rm CetraRuddy and Swiss transit expert Arnd Bätzner represented the culmination of a year-long effort in collaboration with a team of architects, planners and transportation specialists. Described by some as “a sleeping giant, with budding economic, cultural and recreation initiatives” the goal of the plan is to maintain “a sustainable, attractive and resilient Staten Island that offers live-work-play opportunities while maintaining and enhancing existing communities to rival any metro-area location” The proposal also hope to address the predicted 40,000 growth by 2040 in the number of people residing in the borough, due in part to the continued increasing popularity of New York City which overall is projected to push population numbers to reportedly over 9.5 million by 2040.

The preliminary master plan will enable Staten Island to potentially “absorb upward of 400,000 residents without losing its distinctive suburban character” according to reported projections within the proposal. A few key aspects within the plan that attempts to use (4) underutilized sites along the west side of the island have been reported:

Housing – 150,000 more residential units with a commercial center can be built on vacant West Shore parcels capable of accommodating 300,000 new residents as part of a proposed Staten Island City near the Goethal Bridge. It would serve as a business center on the island; and “be built more like the urban areas of Manhattan, rather than the more suburban, spread-out character of most of Staten Island.”

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Transportation – A multi-modal transportation has been proposed to expand the existing ferry and train service.

• Aerial Gondola System would transport people directly to Manhattan. A similar project that would connect Staten Island to Bayonne, NJ has already been proposed by the Staten Island Economic Development Corp. (SIEDC), with funding already secured for a feasibility study of the project;

• East Shore Ferry would provide direct connection to Manhattan; and

• West Shore Rail Line would run along the West Shore and connect with the existing Staten Island Railway.

Great Creek Marina – A newly created resort community on the East Shore would offer new restaurants, a marina, housing and tourism by the Gateway National Recreation Area, one of several areas scattered primarily over Brooklyn, Queens, and Staten Island created in 1972 intended to preserve and protect unique and/or scarce natural, cultural, and recreational resources in a dense urban environment with relatively convenient access by a high volume of people.

Greenway Connection – The greenway would run from the new Great Creek Marina on the East Shore to Mid-Island parks.

Tech Campus – The proposed campus with “high-paying technology jobs” would be created on the West Shore near the College of Staten Island and Wagner College.

Cultural Hub – To be created in the new Fresh Kills Park area where an outdoor space for concerts could be built.

Staten Island’s Shoreline (cont’d)

Source: http://www.silive.com/expo/erry-2018/04/4279476aba7536/10_things_to_know_about_the_ne.html

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New to Market

5-Parcel Portfolio Sale (Charleston) – The sale offering of a pair of vacant development sites has been introduced to the market at an asking price of $23 million each comprised of a total of (5) tax lots which collectively total roughly 1.068 million square feet, or 24.5-acres. The sites are currently zoned M1-1/SRD with an allowable fl oor-area-ratio (FAR) of 1.0.

• 4482 Arthur Kill Road – The (3) contiguous parcels have a combined total of 713,077 square feet, or 16.37-acres; and offer 770-square feet of frontage along (2) streets — 448-feet along Englewood Avenue and 322-feet along Arthur Kill Road. According to city records, North American Foreign Trading Corp. is the recorded owner.

• 742 Sharrotts Road – The (2) contiguous parcels have a combined total of 355,000 square feet, or 8.15 acres; and offer 500-feet of waterfront frontage and 1,110-feet along Sharrotts Road. According to city records, the entity RAL Realty LLC is the recorded owner.


2107-2123 Richmond Terrace (Port Richmond) – Americo Real Estate Company fi led new building applications in April for a 7-story, 305,076-square-foot self-storage facility. The 80-foot-tall structure will replace an existing single-story, 18,404-square-foot garage facility according to demolition permits fi led last August. The 100,200-square-foot parcel last traded in 2015 for $2.995 million ($9.82 per buildable-square-foot) according to city records.

Staten Island Development

For More Information Please Contact:

212.400.6060 • www.absre.com

200 Park Avenue South, 10th Floor, New York, NY 10003

Although the information furnished is from sources deemed reliable such information has not been verifi ed and no express representation is made nor is any implied as to the accuracy thereof. Sources: CoStar Group, The Real Deal, Crain’s New York Business, The New York Times, New York Post, New York Yimby, Real Estate Weekly, and Commercial Observer

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Development News Highlights - absre.com · square foot” — nearly double the Manhattan average according to a report. CPC’s determination of the price in October was reportedly