Lighthouse Point - Staten IslandStaten Island, NY Triangle Equities held a ground breaking for Lighthouse Point – a $200 million, mixed-use project on the St. George waterfront. Additionally, Triangle along with its partner, Lubert Adler LLP has secured construction financing for the first phase of this transformative project. The developer has also signed Regus, a shared workspace provider, as its anchor tenant. Regus will occupy 30,000 s/f of the 65,000 s/f space dedicated to retail and office. Construction of the first phase of Lighthouse Point began in late 2015 and is slated for completion in 2017. Lighthouse Point will participate in HireNYC, a local jobs program and is expected to create 226 permanent jobs and over 400 construction jobs.
“We’re thrilled to have our financing in place and for all of the pieces to come together on this very complex and exciting project,” said Lester Petracca, president of Triangle Equities. “We are grateful to everyone who has worked so hard to reach this critical point in this truly public, private partnership – the New York City Economic Development Corporation, Empire State Development, borough president Oddo, Former borough president Jim Molinaro, assemblymen Matthew Titone and Michael Cusick, State Senators Diane Savino and Andrew Lanza, councilwoman Deborah Rose, and all the other local elected officials and community groups involved in getting this accomplished. We now look forward to delivering this multi-faceted development to the local community, New Yorkers from all over the city, and visitors alike. We are confident that Lighthouse Point will be transformative and serve as a true destination that will greatly impact this waterfront area of Staten Island and the greater New York region.”
BP Oddo said, “I fell in love with the Lighthouse Point project from the first time I learned of all the details. What’s not to love? It will provide a unique blend of retail, dining, open space, entertainment space, housing options right next door to the Staten Island Ferry, as well as the preservation of Staten Island’s history. With the commencement of this project, all of the so-called ‘Core Four’ projects that will transform our St. George/Stapleton waterfront are now underway. For decades there have been discussions about how to revitalize this area, and it is finally happening right before our very eyes.”
“Lighthouse Point will do so many things: it will create hundreds of jobs, include affordable housing, rehabilitate and revitalize a national historic site, and it will create public, open space on Staten Island’s waterfront,” said Howard Zemsky, President, CEO & Commissioner of Empire State Development. “Empire State Development approved a $15 million New York Works loan, as well as a $1.5 million loan from the REDC Capital Fund, because the project will spur economic growth on Staten Island that will benefit all residents, and it’s a great fit for the goals laid out in the REDC’s Strategic Plan.”
“This milestone represents the next step in the transformation of Staten Island’s North Shore,” said New York City Economic Development Corporation President Maria Torres-Springer. “By providing the community with quality jobs, housing and amenities, Lighthouse Point will serve as a critical driver of the local economy and help reconnect Staten Islanders to their waterfront.”
The project will be financed through a partnership of private and public sector groups including $30 million of construction loans and tax credit equity from the Goldman Sachs Urban Investment Group, $29 million of construction loans from Citizens Bank, $16.5 million from Empire State Development, $6.2 million of capital from New York City, along with joint venture equity from Triangle & Lubert Adler.
Additional financing for the project was facilitated utilizing the Community Development Financial Institution’s New Market Tax Credit Program as authorized by the US Treasury. The project benefits from $35.5 million in New Markets Tax Credit (NMTC) allocation from Triangle’s partners – United Funds Advisors (UFA), the Goldman Sachs Urban Investment Group (Goldman Sachs), and CCG Community Partners (CCG). UFA is also providing up to $20 million of take-out EB-5 financing. Lighthouse Point is the 2nd project on which Triangle has partnered with Goldman Sachs and UFA to catalyze the transformation of a New York City neighborhood.
“Without the tremendous support from our financing partners – Lubert-Adler, Goldman Sachs, Citizens Bank, UFA, and CCG – this project would not be possible,” said Petracca. “This marks a truly historic day and a turning point for the north shore of Staten Island.”
“We have a great respect for Triangle Equities and are happy to be in business with them,” said Michael Phillips, principal at Lubert-Adler Partners, L
“We are thrilled to continue our partnership with Triangle Equities with this transformative investment,” said Margaret Anadu, managing director at Goldman Sachs. “We believe in the revitalization of St. George through smart, transit-oriented developments that create job opportunities for local residents. We are proud to include a substantial job training program that will target underprivileged youth in Staten Island, as well as a partnership with HireNYC. In the past few years, we have invested more than $150 million to create economic opportunity in Staten Island.”
“Citizens Bank is very supportive of a project that has been in the development phase for many years, that is financially well capitalized and will be a great residential rental alternative for both Staten Island and Manhattan residents as well as a retail destination. The Bank is appreciative of all the public sector partnerships that have enabled the development of the project,” said Bill Butler, Senior Vice President at Citizens Bank.
”We are proud to support the transformative work of Triangle Equities,” said Cam Turner, Principal of UFA. “It is a rare developer that can successfully navigate the development and financing complexities of transformative projects like Lighthouse Point. Triangle’s expertise with public-private partnerships, as well as its dedication to serving low-income communities, make it an ideal partner for our investment platform.”
“Triangle Equities is to be commended for its years of perseverance and dedication in bringing Lighthouse Point to life for the residents of Staten Island and greater New York City,” Paul Hoffman, Managing Director, CCG Community Partners. “CCG is excited to be a partner in this development and we are humbled to know that the critical gap financing need was met with capital facilitated through the New Market Tax Credit Program. We look forward to the energy and vitality that Lighthouse Point will contribute to the St. George waterfront.”
Significantly, leasing for the first phase of Lighthouse Point is off to a strong start. Regus, which signed a 15 year lease, solidifies the St. George waterfront as a viable option for businesses to operate and further enhances the commercial business district in the area. Regus will provide the opportunity for residents to work closer to home and will attract out-of-town users who may need short term meeting or office space, therefore positively affecting the interest and patronage of surrounding hotels, retailers, and restaurants.
“We are thrilled to bring Regus on as our anchor tenant; they are a true testament to Staten Island’s readiness for this area to be a true live, work, play environment,” said Mr. Petracca. “We expect to see other major companies and retailers follow suit.”
In addition to Regus, Triangle Equities plans to bring a mix of unique retail shops and restaurants, as well as outdoor eating and entertainment space. Phase I also includes the development of a 12-story residential tower with approximately 116 rental units. Additionally, over an acre of waterfront public open space will be programmed for outdoor concerts, art exhibits, food festivals, etc. and an approximately 300-space parking garage will be added to the development.
Following Phase I, the developer will rehabilitate and repurpose the four historic structures, the historic wall, and multiple underground vaults currently situated on the site. The complex is listed on the National Register of Historic Places and Triangle and its team plan to restore the property’s sense of history, while also incorporating the historic structures for modern uses. This will allow for more than 23,000 square feet of restaurant, office and hospitality space, including a new 145,000 s/f, 175-room hotel tower featuring approximately 15,000 square feet of event space.
“We see St. George as a harbor town destination not only for tourists, but Staten Island residents as well,” said Elysa Goldman, Director of Development at Triangle Equities. “The mix of increased activity from tourists, new residents, and Staten Islanders will all greatly influence local job creation and economic activity throughout the community and help it to thrive. Having Regus as Lighthouse Point’s anchor tenant will enhance the Borough’s Central Business District and help to create a live, work, play environment, just steps from a 25 minute ferry ride to Lower Manhattan.”
In addition to driving foot traffic to the waterfront, Lighthouse Point will offer significant benefits for New York City residents. Twenty percent of the residential units have been designated as permanently affordable for New Yorkers earning 60% or less of the area median income, reflecting the de Blasio administration’s commitment to creating 200,000 affordable housing units across New York City. Triangle has committed to work with HireNYC – a free City program that provides connections between business owners and job seekers to afford local community members access to jobs available in the area – to develop a targeted local hiring and workforce development plan to fill the jobs created by the project. The development is expected to create approximately 226 permanent jobs and over 400 construction jobs.
“As is the hallmark of Triangle Equities, Lighthouse Point is an ambitious and challenging project, which will unlock significant value for the St. George area in Staten Island and the New York City region. We are thoroughly excited and eager to move forward,” said Mr. Petracca
Along with the New York Wheel and Empire Outlets, Lighthouse Point is a key element of the City’s ongoing effort to transform the St. George waterfront into a dynamic civic hub that will drive economic growth, create thousands of jobs, support existing waterfront amenities, and provide new waterfront uses to the benefit of visitors and residents alike. Lighthouse Point is consistent with the goals of the New York City Regional Economic Development Plan and was identified as a priority project by the New York City Regional Economic Development Council in Round III, as it will significantly contribute to the ongoing revitalization of the St. George neighborhood.
Additionally, Lighthouse Point, which is designed by Cooper Carry and Garrison Architects and is being constructed by Hollister Construction Services, was a 2015 winner of the Public Design Commission’s Annual Awards for Excellence in Design. The project was recognized for its innovative integration of new buildings, new exterior gathering spaces, and historic structures.
Sign up is quick, easy, & FREE.