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Archive for the tag 'thor equities'

Source: Daniel P. Fleming via Flickr

Source: Daniel P. Fleming via Flickr

For better or worse, New York City is the land of constant renewal. Over the last century, newer and higher skyscrapers overshadowed older ones, poor and working class neighborhoods transformed into expensive and trendy hotspots and the luxurious beachfront resorts of Coney Island evolved into an amusement center and then a source of urban blight. The long and winding history of the development of Coney Island real estate and its future is tracked in a great primer  by Salon.

We have spilled a lot of digital ink on the history of Coney Island, starting with the competing resort days of Manhattan and Brighton Beach, the days when the area was the source of bizarre spectacles like the public electrocution of an elephant and the efforts of those who failed to transform the area into a glittering paradise after it fell into decay.

Salon’s article, though, tackles the onset of modernity, and the woes it caused at the People’s Playground:

This was once a singular place, an amusement park so grand and unusual that on an average weekend in its heyday, visitors mailed a quarter-million postcards to friends and relatives. Luna Park, the flagship attraction that burned down in 1916, drew nearly 100,000 attendees each day. By the time the subway reached Stillwell Avenue, in 1918, the area drew still more visitors. Weegee’s iconic 1940 image of Coney Island beachgoers jammed together like sardines today hangs in restaurants up and down the boardwalk, a memento of the glory days.

In the ensuing decades, population loss, television, cars and air conditioning undercut Coney Island’s appeal. New York’s urban planning czar, Robert Moses, hated its tawdry arcades and thrill rides. He transformed the eastern end of the amusement district into a home for the relocated New York Aquarium. The housing projects with which he rebuilt Coney Island became some of the city’s most depressed and dangerous.

Jumping from Coney Island’s decay, the report delves into those who changed Coney Island through land use and zoning battles, property squatting and tenant evictions; the horrendous city planning pains that birthed the new New Coney Island, for better or for worse:

As the city grew rapidly in the ’90s, Mayor Rudolph Giuliani set his sights on Coney Island. Like [Robert] Moses before him, he bulldozed a roller coaster to build a recreational facility, this time a minor league ballpark for the Brooklyn Cyclones. The Bloomberg administration eyed the island as a potential site for the 2012 Olympics, and in 2003, commissioned the Coney Island Development Corporation (CIDC) to examine the possibility of revising the restrictive C7 zoning that since 1961 had sheltered carnies and coasters (and a few vacant lots, as well) from market forces.

But a Brooklyn developer named Joe Sitt stole the limelight from CIDC, announcing a $2 billion plan in September 2005 that made the Las Vegas Strip look dull. Sitt had shrewdly purchased over a dozen acres of the old amusement park in anticipation of a rezoning gold rush, and hoped to bring in marquee clients like Dave and Buster’s, Ripley’s Believe it or Not, and the Hard Rock Café.

It’s fair to say New Yorkers were horrified by Sitt’s plan — he responded by toning it down in later renditions — but what happened next was worse. Unable to build on his new land, Sitt chose instead to destroy it. Two years after his gaudy dreamchild was plastered on the cover of New York magazine, his development company, Thor Equities, began to evict tenants in what was both a premature move towards development and, many observers reckoned, an attempt to force the city’s hand. Coney Island grew barren. “They paved paradise to put up…. what exactly?” asked the Brooklyn Paper.

The present reality of Coney Island, influenced by Bloomberg’s efforts to redevelop and rezone seemingly the entire city, and the events of Superstorm Sandy, has attracted a corporate presence to the boardwalk, no matter how nauseating some might see it. Salon’s report touches on the fears some have of the quixotic spirit of the area being stamped out forever:

What’s in store for the amusement area? “We will never make Disney here,” CAI president Valero Ferrari told the New York Times, ”but it will be something more… refined, cleaner, a little more year-round, if that’s possible, with sit-down restaurants and sports bars.”

The company hired Miami Beach restaurateur Michele Merlo to re-envision the boardwalk, with plans that call for, among other things, a food court with international cuisine. “Maybe one day,” he said in an interview with New York 1, “you can come and read your book outside on this nice boardwalk, sit in nice comfortable chairs and have a nice cappuccino or ice coffee.”

The report is well worth soaking up and you can do so by clicking here.

Source: Senator Golden's offices

State Senator Marty Golden (Source: Senator Golden’s offices)

Subpoenas were issued to huge real estate firms that scored a windfall in tax breaks in legislation crafted by Republican State Senator Marty Golden and signed by Democratic Governor Andrew Cuomo. The Wall Street Journal is reporting that the Moreland Commission, a group set up by Cuomo to investigate public corruption, is looking into how developers of ultra-rich hotel-condo towers gained the valuable breaks.

Previously, we reported on the dubious legislation sponsored by Golden, which allowed huge tax breaks for five Manhattan properties. The legislation is expected to save developers like Extell Development, Silverstein Properties and Thor Equities tens of millions of dollars. The bill, which enjoyed bipartisan support and was signed into law by Cuomo, tacked on the expensive properties to the city’s 421-A program, a measure designed to spur residential building construction in less-dense areas of the city and subsidize affordable housing. Projects like One57, which is a 1,004-foot luxury tower featuring penthouses on sale for more than $90 million, were initially excluded from the program until Golden and other state politicians voted to include four developments as an exception under the umbrella of 421-A benefits.

Extell Development, which is building One57, has contributed hundreds of thousands of dollars to the campaign chests of both Democrats and Republicans, spurring the Moreland Commission to look into the affair. The independent Moreland Commission was set up by Cuomo after state legislators failed to pass comprehensive anti-corruption measures this year.

The Wall Street Journal described how the impending investigation might bring to light the uncomfortably close relationship between state politicians and major real estate developers:

One person who examined a subpoena from the commission, known as the Moreland Commission to Investigate Public Corruption, said the information requested was extensive, seeking emails and other communications with lobbyists and elected officials over multiple years relating to the tax break.

Kathleen Rice, Nassau County District Attorney and co-chairwoman of the commission, said the commission has begun issuing subpoenas, but she declined to say who received them or the topic of the inquiries. “We have not prejudged anyone or anything—we are going to follow whatever evidence we have, wherever it goes,” she said.

A spokesman for Extell said the company “will cooperate fully with any agency trying to improve government.”

The subpoenas could eventually help shed light on advocacy and lobbying by the real-estate and development sector, long a powerful force in Albany politics. Top landlords and their advocacy groups traditionally are prolific donors, contributing millions of dollars each election cycle collectively to the campaign committees of governors and influential members of the Legislature, and the outcomes of policies like taxes and rent regulation can cost—or make—them fortunes.

Golden and Assemblyman Keith Wright, the Democrat who sponsored the bill in the Assembly, may also be questioned during the investigation. When initially questioned by the press as to why the five properties were included under the umbrella of the 421a benefits, Golden and Wright both pleaded ignorance.

“These projects were ready to go,” Golden told the Daily News. “I’m not sure where they came from,” Golden said in response to who earmarked the developments for special favor.

“These five properties — it was important that they benefit from the piece of legislation probably, and I don’t know why, because some of the folks in the Senate wanted them to be included,” Wright told the Daily News.

Source: Facebook

Site of the future BJs located at 1752 Shore Parkway. (Source: Howard Weiss via Facebook)

The ground for the new BJ’s Wholesale Club was broken this past December and it now appears that the actual construction is about to commence. Howard Weiss posted this image on Facebook showing the placement of the initial pillars.

As we’ve previously reported, the megastore will occupy the ground floor of a 200,000-square-foot space that will be known as the Bay Center. The center will be two stories tall with commercial units above the BJs. The project is being developed by Thor Equities and is expected to be completed sometime in 2014. The time table for construction was sped up to spur jobs in the aftermath of Superstorm Sandy.

Can’t wait to load up on massive boxes of Ring-Dings, Cheerios and motor-oil.

Source: w00kie via Flickr

While we didn’t plan on doing another Coney Island story today, with summer on its way and Coney Island still in a transitional period, there’s simply an above average amount of chatter out there. With so many changes on the horizon, we want to give Bensonhurst Bean’s readers a heads up on what to expect at the beach this summer.

Coney Island developer Joe Sitt – who has become very unpopular with preservationists in recent years – says the suburban mall-like building erected by his firm Thor Equities on the Stillwell Avenue site of an historic structure he had demolished is only temporary, and is just one of many changes (shudder) in store for the People’s Playground. Continue Reading »

The proposed site at 1752 Shore Parkway (from propertyshark.com)

While local groups continue to fight tooth and nail in order to prevent Walmart from opening up a store in New York City, another big box chain isn’t running into any trouble at all in Bensonhurst.

Joe Sitt’s Thor Shore Parkway Developers, LLC has applied for a change in zoning in order to build a two-story 214,000-square-foot retail space near Caesar’s Bay Shopping Center. The four-unit commercial project, to occupy 1752 Shore Parkway (at Bay 38th Street), is being called Brooklyn Bay Center, and the ground floor is  expected to house a BJ’s Wholesale Club, with the three remaining retail units on the second flood floor.

There is a land use hearing on the proposal scheduled for today at 5:00 p.m. in Borough Hall in Downtown Brooklyn. Continue Reading »