Long Island City development site sold for $88.5 M
JLL Capital Markets arranged the land sale and joint venture equity for the site acquisition and project development
NEW YORK, September 24, 2021 - JLL Capital Markets announced today that it has completed the $88.5 million sale of a development site and arranged equity capitalization for the site acquisition and project development within an Opportunity Zone in Long Island City, New York.
JLL worked on behalf of the seller, a private property owner. Additionally, JLL arranged the joint venture equity partnership on behalf of the developers, The Domain Companies, L+M Development Partners and The Vorea Group, for the land acquisition and project development. Bridge Investment Group provided the LP equity for the acquisition and development of the project.
The 76,000-square-foot opportunity zone development site is located at 2-33 50th Ave. on the west side of 5th Street between 49th and 50th avenues and allows a total buildable area of 444,000 square feet. The site enables the developer to create a highly attractive ground-up, mixed-use residential project in Hunter’s Point, Long Island’s City’s premier waterfront area.
The location offers easy access to multiple mass transit options with swift access to Midtown Manhattan and stands in proximity to neighborhood amenities and greenspaces, including the recently renovated Gantry State Park on the waterfront. The site is positioned within an Opportunity Zone.
The JLL Capital Markets investment sales advisory team that represented the seller was led by NY Investment Sales Chairman Bob Knakal; Vice Chairmen Stephen Palmese and Brendan Maddigan and Managing Director Jonathan Hageman.
A JLL Capital Markets Equity Advisory team working on behalf of the developers included Senior Managing Directors Christopher Peck and Andrew Scandalios, Managing Directors Rob Hinckley and Jeff Julien and Director Nicco Lupo.
“The site presented Long Island City’s best rental residential development opportunity in a neighborhood ready to transcend its existing rental product,” said Knakal. “A rental property is positioned to achieve record pricing for the borough, as the site benefits from proximity to mass transit and other neighborhood amenities.”
“The development team’s creativity, shared vision and swift execution was crucial to the capitalization,” Lupo added. “This development will deliver a transformative project of scale in the heart of one of New York’s most excited neighborhoods, Hunter’s Point.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales advisory, debt placement, equity placement or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 80 countries.
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About JLL
JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $16.6 billion in 2020, operations in over 80 countries and a global workforce of more than 92,000 as of June 30, 2021. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
About The Domain Companies
The Domain Companies is one of the nation’s leading real estate development and investment companies specializing in sustainable, mixed-use development. Since their founding in 2004, Domain has been involved in over $2 billion of impactful, mixed-use real estate across a diverse range of product types and markets. The unique skills and experience of their people and the driven, entrepreneurial spirit of their organization have allowed them to develop solutions for the most challenging projects, creating properties that stand apart through innovative design and extraordinary management. The result is the creation of more than exceptional properties – it is the evolution and enhancement of the communities in which they build.
About L+M Development Partners
L+M Development Partners is a full-service real estate development firm which develops, invests, constructs, and manages properties with industry-leading innovation. Most recently ranked #17 on Affordable Housing Finance’s Top 50 Developers list nationwide, L+M is responsible for approximately $10 billion in development and investment, and has acquired, built, or preserved nearly 35,000 high-quality residential units in New York’s tristate area, Washington, D.C., the West Coast and Gulf Coast regions.
About The Vorea Group
The VOREA Group (VOREA), established in 2009, is a multifaceted real estate company, equipped to perform mid to large scale development projects throughout the Tri-state area. VOREA’s uniquely vertically integrated enterprise includes a thesis-based investment team, a construction management division focused on marrying best-in-class management with best-in-class technology, and an end user platform focused on weaving small business into the fabric of community. VOREA’s corporate culture is defined by its Core Values of accountability, critical thinking, efficient execution, innovation and teamwork. With a proven track record and an active pipeline of developments throughout the metropolitan area, VOREA’s Business + Community outlook is defining the next generation of real estate companies.
About Bridge Investment Group
Bridge Investment Group is a leading, vertically integrated real estate investment manager, diversified across specialized asset classes with approximately $28.7 billion in assets under management as of June 30, 2021. Bridge combines its nationwide operating platform with specialized teams of investment professionals focused on select U.S. real estate verticals: multifamily, office, seniors housing, affordable housing, opportunity zones, logistics net lease, logistics properties, debt strategies and agency mortgage-backed securities. For more information, visit www.bridgeig.com