Yesterday, we took a look at the proposed future of Jackson Ave and Queens Plaza, today we have a peek at the promised promise-land of Hunters Point South. Again, brought to us by the NYC Economic Development Corporation:
“The purpose of the proposed action is the implementation of a large-scale, mixed-use development plan, Hunter’s Point South, that provides a substantial amount of affordable housing on publicly owned land and allows for the residential redevelopment of a privately owned adjacent site, Site B. The development of the Hunter’s Point South site would be an integral part of the City’s plan for the provision of affordable housing over the next 10 years. In addition to housing, the Hunter’s Point South site would also include retail uses, community/cultural facility space, a public school, public parkland and other public and private open spaces, and accessory parking. Redevelopment of the privately owned site would include public waterfront access.”
This map is not really news, nor is the development - but in the coming weeks we’ll be taking a closer look at the major development plans in the works for LIC, and there’s so much info to this one, we could do a whole blog on it. But don’t worry, we won’t.
421-a will make your head spin. But let’s see if we can sort it out a bit. The program, officially known as the 421a Tax Abatement, was created in the 70’s to encourage residential development in NYC. It offered developers a 10-25 year abatement on real estate taxes, which were passed on to the buyers of those newly constructed condos and coops. (ie, they don’t have to pay real estate taxes - abatement - you no pay)
Back then, the real estate market needed some serious stimulation. After a certain point, it became clear that lack of residential development was no longer an issue, so the program created ‘exclusion zones’ which required developers to create a minimum of 20% affordable housing units in order to receive the abatement.
Cut to now; when the Hunters Point section of LIC was famously rezoned in 2001, developers were granted a 421-a tax abatement of 15 years in order to encourage development in our little neighborhood. As of July of 2008, the honeymoon’s over. Hunters Point enters the ‘exclusion zone’ and developers will have to meet the affordable housing criteria in order to get the tax abatement. Any building with their foundation poured before July 2008 will still receive the abatement without the affordable housing requirement. But after… it’s a whole different ballgame.
So what does that mean for future development in Hunters Point? »
5pointz Studios
Hallelujah. It’s the weekend. The Idiotarod race starts tomorrow at noon.
