Developer Jeffrey Gershon and partner AEW Capital Management are planning a $90 million condominium project on the site of a former Walgreens in Boerum Hill, The Real Deal has learned.
The new 115,000-square-foot property at 520-528 Atlantic Avenue, also known as 505 Pacific Street, would rise six stories and have two below-grade floors, according to sources familiar with the project. Plans call for 60,000 square feet of residential space holding 30 apartments, 30,000 square feet of retail across two floors, and a parking garage.
The developers have yet to file plans with the city, but have hired Beyer Blinder Belle to serve as architect. Demolition of the one-story Walgreens building is expected to occur by late summer, sources said. The site offers 72,000 buildable square feet above ground, but the developers aim to expand that through excavation.
Last year, Simon Dushinsky’s Rabsky Group signed a contract to acquire the property for $13 million from private Englewood, N.J.-based investors Herbert and Lance Collins, who had owned the building since 2001, records show. Rabsky then flipped the contract to Gershon and Boston-based AEW, which paid a total of $30 million in December for the building and to buy out the drug store chain’s lease, sources said.
Walgreens, which had 39 years remaining on its lease, vacated the space in January, said Cushman & Wakefield’s Stephen Palmese, who represented the Collins family.
Gershon, who runs Flatiron District-based Hope Street Capital, declined to comment. He is also developing a 182-unit apartment building in Long Island City, next to the 5Pointz site.
A representative for Rabsky could not be reached.