Real estate investors continue to devour development sites in Queens, with their sights set on above-average returns. As land in some neighborhoods in NYC look pricey, builders will seek land in regions that are best positioned to appreciate, such as Jamaica, with an expansive rezoning and attractive land values destined to make it a developer’s dream. As the U.S. economy strengthened this year, so did the development market in the “world’s borough.” During the first three quarters, Queens saw 86 development transactions totaling $831.7 million in gross consideration, according to Ariel Property Advisors’ investment research division. Transaction and dollar volume were 30% and 110% higher, respectively, than the same period in 2017.
As I wrote and predicted in my article, “Four More Years, Four More Years,” published in Real Estate Weekly in August 2014, the $10 million and above condominium and housing market in New York City and other major cities have declined sharply and will continue to do so due to the substantial oversupply that will continue to come on line in 2019 and 2020. As I pointed out at the New York City Real Estate Expo in April 2018 and later in, “A Time For Pause & Urgency,” published in REFI Magazine in September 2018, if you are in construction— hurry, finish, and cut prices early before the next guy. If you have dirt, sit on it, and think about redesigning your project for the realities of the next cycle.
The Benchmarking season is about to start. However, a heads up is needed because of additional requirements for this year – which follow:
• First, the Benchmarking Platform has expanded. It now includes smaller buildings.
A recent report from the United Nations’ Intergovernmental Panel on Climate Change found that if greenhouse gas emissions continue at the current rate, the atmosphere will warm up by as much as 2.7 degrees above preindustrial levels by 2040. Fortunately, many companies that generate huge amounts of electricity, including data centers, have pledged to switch to renewable energy. This is great news, since it is estimated that by 2030, data center demand will increase up to 10 times its current levels, equaling 13% of global electricity consumption. More good news: Solar power electricity generation pricing is the cheapest electricity you can get every single day at noon in many places across the U.S. Much of that price drop is driven by more efficient solar modules, cheaper and smarter inverters, as well increased levels of productivity.
In 2009, mayor Bloomberg’s administration launched the Food Retail Expansion to Support Health (FRESH) program with the ambitious and noble aim of encouraging new grocery stores to open in underserved communities (primarily Jamaica Queens, Central Brooklyn, the South Bronx and Upper Manhattan) and long-time grocers in these neighborhoods to renovate existing stores and include a healthier food selection by providing zoning and financial incentives to eligible grocery store operators and developers.
New York, NY Professional Women in Construction (PWC) concluded its 2018 events on December 4th, with a holiday party at the Bryant Park Grill, where 20 women under 40 were recognized for their achievements in the construction industry. With over 200 people in attendance, the evening was a successful celebration of this year’s achievements for PWC, its members and supporters. Honorees included the following:
The past year has been an exciting one for the design and construction industry in New York City. We witnessed remarkable growth in many market sectors especially in residential construction. Meanwhile, new government policies may significantly alter the type of projects being worked on over the next few years.
New York, NY The Center for Architecture will open “Design and the Just City” on Thursday, January 10 at 6 p.m. The exhibition, curated by the Just City Lab at the Harvard Graduate School of Design and its director Toni Griffin, asks whether design can help correct urban injustice by examining five case studies in NYC.
Albany, NY ACEC New York has confirmed policy priorities for the upcoming 2019 legislative session. ACEC New York continues to highlight the efficiencies, flexibility and capacity brought by private engineering design firms which provide greater value for the taxpayer. A 2011 NYU Polytechnic Report documents a 15%+ savings when private engineering firms are utilized. This administration’s focus on nimbly and responsively delivering infrastructure improvements demands strong partnership between public clients and the state’s professional design communities.
New York, NY According to the Greater New York chapter of the Institute of Real Estate Management (IREM), they have selected Matt Duthie, regional director of management services at Newmark Knight Frank, as Real Estate Person of the Year, honoring his accomplishments including his leadership, dedication, commitment and service to the real estate industry throughout the course of his career.