Developers Think Small, Affordable

339greene52011.jpgThe Wall Street Journal has a story saying developers are focusing on smaller townhouse projects, as well as rentals and affordable builds, in Clinton Hill and Bedford Stuyvesant these days. For example, a developer has signed a contract to build four three-family homes at 37 Lexington, a site that had approved plans for a 24 unit condo. Commercial brokers say townhouses are easier to finance than large condo projects, and the expiration of the 421-a tax exemption has also made bigger projects more difficult to pull off. Meanwhile, a couple developers are planning to build affordable rentals, such as a 78-unit building slated for 482 Franklin Avenue. While plans for these projects move forward, there are more than a dozen stalled construction sites in the area, according to DOB stats, like 333-339 Greene, pictured above.
Smaller Buildings Plow Ahead [WSJ]

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  • expiration of the 421-a tax exemption has also made bigger projects more difficult to pull off –

    impossible is a better word

  • When does the abatement expire? And is it impossible because when it does, no one will want to buy an apt with exorbitant taxes?

  • Post should have said ELIMINATION of the exemption

    without 421 A and with full taxes, you have 18-25 dollars a sf in taxes on property from the get go

    421A period should have been reduced in certain areas, amount of abatement cut

    baby thrown out with bathwater

  • I hope that building pictured (on Greene btwn Classon and Franklin) is never completed and gets torn down. It is so out of scale with the neighborhood.

  • Perhaps the market has spoken, and developers will realize that what makes these neighborhoods desirable is their low scale. Clinton Hill and Bedford Stuyvesant are townhouse neighborhoods. Even the older apt buildings are no more than 4-6 stories. Especially on the inner blocks. Seems like the projects that sell out the fastest are those that don’t try to impose themselves on the neighborhood like an unwanted guest.

  • Bed-Stuy needs more people so 6-10 stories ok. No worries, there are over 4,000 1-3 family houses there, most land spoken for, won’t make much difference.

  • The building on Greene just west of Franklin (pictured above) is virtually finished. I don’t think anyone is going to tear it down at this point.