Major Developments:
The Adams administration laid out a framework to change the area’s light manufacturing zoning to allow for higher density residential and commercial use. The rezoning is expected to create between 1,150 and 1,500 below market–rate apartments, depending on the options developers select under the Mandatory Inclusionary Housing law. NY City's plan to rezone a 13-block stretch of Atlantic Avenue in Brooklyn would spur the construction of 4,000 apartments, up to 38 % affordable. The projects would have to deliver affordable units and other benefits required by the new zoning.Other rezonings in the works include a 46-block area near Metro-North stations in the Bronx, expected to net 6,000 apartments, and a 42-block area in Midtown, to allow for more housing and office-to-residential conversions.
The Brooklyn Navy Yard Development Corp. is seeking design ideas for the first major ground-up project proposal for conceptual designs for a new industrial and commercial building along Kent Avenue.
Alexandria Real Estate Equities plans to build a third tower as part of its life science campus in Kips Bay, with construction to begin until after 2024.
New York City is considering changing or repealing the sliver rule as part of a broader zoning text amendment designed to encourage office-to-residential conversions. Removing the sliver law from the zoning code would pave the way up to 65 million square feet of development and 95,000 housing units.
NYC to waive fines for Landlords who make 'good faith efforts' to reduce emissions. Local Law 97, properties that are 25,000 SF and larger, need to reduce carbon emissions below certain levels or face fines of $268 for every ton of emissions over their limit. Approximately 89% of properties where Local Law 97 applies were already below their 2024 limits. Only 37% are ready to achieve the emissions reductions required by 2030, while 63% are projected to miss those targets.
Airbnb has called the city’s new short-term rental law a “de facto ban” on its platform. It’s also been hailed as a major win for the hotel industry. Only two guests are allowed at a time, hosts are required to be present when the property is being rented. About 3,250 hosts had applied for registrations. The city had approved just 257.
New York City is stepping in with a substantial promise of its own. Mayor Eric Adams announced a $400 million investment towards the North Shore’s Staten Island waterfront. The investment carries a pledge of 2,400 housing units, a school and more open space. Money would also improve flood resiliency along the borough’s shore.
Tabak, Lebovitz developing a multifamily project in Borough Park is about to start the public review process. The Brooklyn Yard project, between 14th and 16th avenues and 60th and 62nd streets, includes decking over part of an active rail freight line slated for Gov. Kathy Hochul’s Interborough Express.
Watermark Capital Group is pursuing a megaproject with a partner at 6208 Eighth Avenue the plan calls for 267 units, 80 of which would be affordable. In addition to the roughly 272,000 square feet of housing and 63,000 square feet of commercial space. Three six-story apartment buildings would be complemented by 11 townhouses and a 10-story commercial building, over a two-and-a-half block stretch.
The City Council extended Madison Square Garden's special permit to 2028. Officials hope the shortened timeline will pressure the arena’s owner and Penn Station’s rail agencies to reach an agreement on the station’s future.
Citadel has halted talks for taking 400,000 sf at 280 Park Avenue. Citadel had been looking to temporarily relocate employees at 350 Park Avenue, if its plan to replace that building with a 51-story tower moves forward.
Gowanus developers have until September 30th to apply for a 421a-alternative.
Gov. Kathy Hochul unveiled a plan for certain projects in the Brooklyn neighborhood to receive tax breaks similar to the expired incentive. Under the program, the state will take over the sites and rent them back to developers through long-term ground leases. Property owners will then make payments in lieu of taxes, or PILOTs, at a discount to what they would normally pay in property taxes.
Projects that are vested under the old program, those with at least foundation footings in place, can apply. The deadline is Sept. 29. The governor’s program may be the best option for those projects.
Federal Deposit Insurance Corporation is marketing the failed Signature Bank’s $33 billion commercial real estate loan book. Marathon Asset Management plans to bid on the loan portfolio.
NYC is leasing 171,000 SF to open a large-scale shelter for asylum seekers at 4711 Austell Place in Queens.
New York City’s new rules for short-term rentals like those on Airbnb and Vrbo are likely to push hotel booking rates higher. In July, nearly 9 out of every 10 hotel rooms were sold every night.
The return of tourism travel and the city’s use of hotels as migrant and homeless shelters have helped with the recovery.
Former Buildings Commissioner Ulrich, Brooklyn Developer indicted on bribery charges, alleges he used his official positions to solicit $150,000 worth of bribes and perks from associates, including a real estate developer.
Excavation at 1440 Amsterdam Avenue is underway. Grid’s plans for a new 470,000-square-foot building there were approved by the Department of Buildings. Grid and Artimus will construct 490 apartments at the site. Artimus bought its stake from Lefkas Realty.
NYC Top Lenders:
- JPMORGAN CHASE BANK
- WELLS FARGO
- BANK OF AMERICA
- BLACKSTONE
- VALLEY NATIONAL BANK
- APOLLO GLOBAL MANAGEMENT
- NEW YORK COMMUNITY BANK (SIGNATURE AND FLAGSTAR)
- CITIZENS BANK
- M&T BANK
- CITIBANK
