With all the craziness happening in New York City — Mayor Adams becoming President Donald Trump’s puppet and Andrew Cuomo topping an early poll in the race to unseat him — you could be forgiven for overlooking the first hearing of the Charter Revision Commission.
But ultimately, the latter could be far more important. Here’s why:
Land upzoned by developers from 2004 to 2018 made up only 0.36 percent of the city, but accounted for 7.5 percent of new apartments from 2010 through June 2023. Areas upzoned by the city were just 3 percent of city land but accounted for 25 percent of new apartments.
Combined, that’s 3.36 percent of land producing 33 percent of all new multifamily units.
That number figures to rise more when projects in the Gowanus rezoning come online. The Soho rezoning could also contribute, but development there is off to a slower start.
As bad as the city’s housing shortage is, imagine how much worse it would be without rezonings. Now consider how much better it would be if rezoning were not so difficult, expensive and political.
The Citizens Budget Commission just analyzed two years’ of data and estimated that the process added costs of up to $82,000 per apartment — up from $67,000 in its 2022 report.
The Charter Revision Commission is exploring ways to improve the process. Its recommendations will be put on the ballot for approval by New Yorkers. No doubt they will be worded in a way to encourage people to vote yes.
Not that voters need much encouragement: Polls show New Yorkers broadly favor more housing development. It’s only when a project is proposed in their backyard that they object to the rezoning needed by developers.
Much is at stake: A charter revision could remain in place for decades.
Stay tuned for more coverage of what experts and advocacy groups are advising the commission to do. We also expect to hear from the Robin Hood Foundation’s Richard Buery, the chair of the commission and a former deputy mayor.
What we’re thinking about: Some Oyster Bay Cove residents are fighting a plan by Cold Spring Harbor Laboratory to house 28 postdoctoral fellows in a historic home and carriage house on a 12-acre site, Newsday reports. The researchers don’t have children and will work long hours in the lab. But locals say their property values will fall and their “tranquility” will be lost because the scientists will change the character of their neighborhood. Have you heard of a more blatant example of NIMBYism? Send your thoughts to eengquist@therealdeal.com.
A thing we’ve learned: Leasing is underway for the Durst Organization’s 20 and 30 Halletts Point rental buildings in Astoria, but 40 and 50 Halletts Point remain on the drawing board “until it makes financial sense to build,” according to a Durst spokesperson.
Elsewhere…
If there were an award for lousy transportation design, MacArthur Airport on Long Island might win.
The runways are right next to the Long Island Rail Road station at Ronkonkoma, yet the walk from the airport terminal to the station is 1 hour and 4 minutes, according to Google Maps. Alternatively, it’s a 10-minute drive.
Gov. Kathy Hochul has committed $40 million to help build a $1 billion airport terminal next to the station. On Wednesday Hochul announced another $150 million to build roads, a parking garage, and other infrastructure for the project, including a pedestrian walkway from the terminal to the LIRR.
But the would-be terminal is part of a $2.8 billion project called Midway Crossing that has been stalled for years. Frustrated Suffolk County officials dropped JLL last month as the master developer.
In more promising news for the site, Tritec is building a 1,400-unit, $1.2 billion mixed-use development called the Ronkonkoma Hub next to the LIRR station. Some of it is already complete.
Closing time
Residential: The priciest residential sale Wednesday was $8 million for a co-op unit at 30 East 71st Street in Lenox Hill. Jon Isaacs and Keren Atzlan of Reserve Real Estate had the listing.
Commercial: The most expensive commercial closing of the day was $76.4 million for the 118,664-square-foot Fifth Avenue Hotel at 250 Fifth Avenue in NoMad.
New to the Market: The highest price for a residential property hitting the market was $38 million for a 15,950-square-foot townhouse at 9 East 88th Street on the Upper East Side. Bespoke Real Estate has the listing.
Breaking Ground: The largest new building application filed was for a 110,000-square-foot, 173-unit project at 137-139 Beach 29th Street in Far Rockaway. The permits were filed by Leandro Dickson.
— Matthew Elo
