Q&A
Discussion on the workforce option for the 341 10th Street building
1:13:09
·
4 min
Council Member Alexa Aviles questions representatives from Stellar Management and Sheldon Lobel PC about the workforce option for the 10th Street building. The discussion covers the borough president's suggestion to remove the option, the challenges of the site, previous use of this option in Brooklyn, and concerns about filling the units through the HPD housing lottery.
- The applicant explains that removing the workforce option would not facilitate the development as planned
- They discuss the use of the workforce option in a previous Brooklyn project in 2017
- The applicant expresses confidence in filling the units based on past experience in Greenpoint
Alexa Aviles
1:13:09
The application proposes the workforce option for the 10th Street building.
1:13:13
So let's focus on on that.
1:13:16
The borough president has approved this application with the condition of removing the option.
1:13:21
Has this suggestion been considered?
Benjamin Rubenstein
1:13:24
Yes.
1:13:24
This has been considered, but this is not something that would then facilitate the development of of the proposal as planned and as proposed host with a 100% affordable Ninth Street building.
Alexa Aviles
1:13:37
And what are some of the driving forces of why you would Well, that's why you were not able to choose a various a different option.
Benjamin Rubenstein
1:13:48
It's really the challenges of the site.
1:13:49
The site itself is so difficult and so costly to build upon.
1:13:55
And we've we've, you know, shared some of these some of this information with with your office.
1:14:01
That there's no there's there's really you need to have some some income there too than facilitate the building of it.
1:14:10
And when we then give away 30% of that building for fully affordable HPD building, again, it's it's just the the trade off there.
1:14:19
It's it's too much, and it's something that we would then, you know, not pursue.
1:14:22
And frankly, no other developer would come in and pursue either.
Alexa Aviles
1:14:27
Would you do you know if this option has ever been used in Brooklyn?
Richard Lobel
1:14:32
Oh, yeah.
1:14:33
Sure.
1:14:34
We actually were responsible for an application which mapped this option on Flushing Avenue in Community Board 3.
1:14:41
And it was used in accordance with other options as well.
1:14:44
So, you know, at the time, there was an analysis and I think that on selected sites, it's less about the rezoning and more about the actual opportunity to develop a project and whether or not it's going to work.
1:14:59
And I think council member that that here, I mean, given the history of the site, the fact that it's so challenging to build over the MTA tunnel, You know, we've been involved, as you know, in hundreds of applications, and we've only come to the council for the workforce option, and I believe too.
1:15:19
And this is one of the 2 applications, and I think they really need it.
Alexa Aviles
1:15:24
Can I ask how long ago that was?
Richard Lobel
1:15:26
Sure.
1:15:26
That was after the creation of the program.
1:15:29
So it must have been in 2017.
1:15:31
It was termed the Rosecastle rezoning.
Alexa Aviles
1:15:34
I'm amazed that you remember that.
Richard Lobel
1:15:36
Oh, thank you.
Alexa Aviles
1:15:38
According to HPD's public information, rents at a 130 AMI range from approximately 28100 for a studio to over 41100 for a 2 bedroom.
1:15:50
Have you considered that the affordable rents that would be part of the workforce action are actually very similar to the market rate rents in the area.
Benjamin Rubenstein
1:16:02
We're more than happy to provide some additional market research But ACRF has has sent us some information that just looking at a a a swath of buildings in Park Slope, the average including new and old.
1:16:17
For one bed is above that threshold for a 2 bed, The average between ones and twos of split.
1:16:22
5050 is 46100.
1:16:25
When you take into account the new builds in the area, for example, the Deer Mar, which is right on the corner of the lot there at 9th Street And Fourth Avenue.
1:16:34
The average between 1 and 2 bed rents are 58100.
1:16:38
Which is extremely high.
1:16:40
Exactly.
1:16:42
So so we we do feel that these 130 AMI rents provide a pretty substantial, almost 30% discount to market, and provide folks with rent protections of being able to stay in that unit and not have to deal with the the fair market forces that can, you know, raise around as we're seeing all over the city.
Alexa Aviles
1:17:08
So given given that these units will need to be leased through the New York City HPD housing lottery, which is a very time consuming process that has a track record in other parts of New York City of discouraging moderate income rent to from applying, how confident are you that you can fill these units?
Benjamin Rubenstein
1:17:27
A 100% confident.
1:17:29
We have done so at a similar size, differently shaped building in Greenpoint.
1:17:37
We're actually very frankly we think the market rents are even lower than Park Slope.
