A steering committee including the GMDC, the Newtown Creek Alliance (“NCA”) and Riverkeeper received New York State funding to prepare a Step 2 Nomination Study for the Newtown Creek Brownfield Opportunity Area (“BOA”). The Newtown Creek BOA includes portions of the Hunter’s Point, Long Island City, Blissville, and Maspeth neighborhoods in Queens, and the Greenpoint, and East Williamsburg neighborhoods in Brooklyn. This area features excellent proximity to dense commercial and residential areas in Manhattan, Queens and Brooklyn, and also has access to highways, freight rail and maritime transport.
RESGroup completed an extensive real estate market analysis to understand the potential demand for various types of industrial and commercial space in the Newtown Creek BOA, and analyzed the potential market there for new development including office and industrial uses. Market rents by use (office and industrial) were analyzed along with estimates of construction costs, land prices, and available subsidies to understand which types of development were most feasible and how to enhance feasibility through creation of a cohesive strategy for public/private partnerships. The financial impact of specific sustainability initiatives, such as roof-top solar panels or hydroponic greenhouses, were also considered.
As part of the Step 2 Nomination Study, RESGroup also conducted extensive surveys of existing economic development organizations, tenants and land owners within the Newtown Creek BOA to better understand potential demand and the need for incentives. This survey gathered information regarding the types of businesses, number of employees, space requirements, location preferences, commuting patterns, and other pertinent data for the many companies located along the Creek. The survey results were combined with the available economic and demographic data for the BOA’s businesses and residents to fully understand how the BOA planning process could attract new tenants and simultaneously address the needs of the area’s daytime and nighttime populations. Understanding the economic development organizations and incentives available was key to creating a strategy for implementation.
Long Island City and Hunter’s Point were determined to be the best locations within the BOA for office development and conversion given their proximity to mass transit and Midtown Manhattan. These areas feature sites for new development as well as multistory loft buildings that can be redeveloped for office use. Long Island City’s excellent mass transit access, location one subway stop from Midtown Manhattan, and significant rent discount compared with Midtown have attracted large office tenants including the NYC Department of Health and Mental Hygiene (with 660,000 square feet) and Jet Blue (with 220,000 square feet) during 2011 and 2012. The neighborhood’s appeal as an office location was expected to increase with the 2017 opening of Cornell University’s technology campus on Roosevelt Island, also one subway stop away from Long Island City.
GMDC, the Newtown Creek Alliance, and Riverkeeper shared the APA New York Chapter Meritorious Achievement Award for the Newtown Creek Brownfield Nomination Report. The report was commended for its innovative approach and comprehensive review.
