Atlantic Yards construction boosts nearby retail, slows development

October 13, 2011 09:19AM

Promised to be a driver of the Park Slope, Fort Greene and Clinton Hill economy, the Atlantic Yards construction project has retail landlords salivating but is leaving developers and residents wary, the New York Post reported.

The Barclays Center, which will open next September, is driving up retail rents in the area. Many landlords have allowed leases to expire and spaces to stay vacant in recent years in anticipation of higher rents sure to come with the new arena. Retail rents in the area range from $85 to $175 per square foot, with the high-end marking the top of Brooklyn pricing.

However, residential development has slowed nearby in the otherwise popular areas for housing in Brooklyn. Most of the newer buildings that have risen were planned when the project was still in its infancy.

“I haven’t seen developers trying to buy close to the stadium,” said Brendan Aguayo, an agent at the Aguayo and Huebener.

That’s because no one is quite sure how the construction will impact local residents, and by extension property values, let alone when Brooklynites can expect the construction to be complete.

“They haven’t decided whether the [first residential tower at the site] is going to be prefab or not,” said Daniel Goldstein, one of the founders of Develop Don’t Destroy Brooklyn. “If they don’t know [that] today, how can they break ground in the next few months?” [Post]