On the same day as a scheduled public hearing about the controversial plan to build two residential towers at Brooklyn Bridge Park’s Pier 6, the corporation responsible for the park released via Crain’s an economic report that claims that income from the proposed towers are necessary for the park’s financial future.
Critics of the plan are not thrilled about the report’s timing or its findings.
The 35-page study by Barbara Byrne Denham, an economist at the real estate research firm REIS, is a challenge to digest in an afternoon before heading off to the community meeting. But one thing stood out: Denham writes that the predictions about the success of two other developments under way in the park, Empire Stores and 1Hotel, are overly optimistic.
“I believe Empire Stores will likely not lease up its space in two years nor earn the rents the model assumes,” writes Denham, adding that the stores “will not get the foot traffic in winter months that it needs to earn a strong profit.”
Yikes. That can’t be easy for the developers behind Empire Stores to hear. They’re like the oldest kid being pushed aside when the new baby comes along. (more…)