The Real Deal New York

TF Cornerstone to buy LIC site near Amazon campus for $300M

Developer signed contract to buy property days before tech giant made its pick official
November 19, 2018 08:30AM

Fredrick Elghanayan and 55-01 2nd Street in Long Island City (Credit: TF Cornerstone and Google Maps)

TF Cornerstone, which is developing a portion of Amazon’s new headquarters in Long Island City, signed a contract to buy a $300 million development site nearby just days before the e-commerce company made its official announcement.

The Elghanayan family’s firm will buy an 8-acre site a few blocks south of Amazon’s planned campus, where it can build four, 400-foot-tall towers with more than 2,000 rental apartments, the New York Post reported.

The site – on the north side of Newtown Creek at 55-01 Second Street – has been owned by a family for generations. The $300 million price works out to $187.50 per square foot.

Newmark Knight Frank’s Jimmy Kuhn, Jennifer Schwartzman and David Noon are marketing the site.

The city had previously picked TF Cornerstone, the most active developer in the area, to oversee development of the city’s portion of the large Anable Basin project to be rezoned alongside properties owned by the Plaxall company.

The city’s sites were set to hold 1,000 apartments – about a quarter of which would be set aside as affordable housing – but now with the Amazon deal, those units won’t be built.

TF Cornerstone will have to set aside about a third of its apartments on the new site as affordable housing. [NYP] – Rich Bockmann