Yonkers IDA Approves Resolutions to Provide Financial Incentives for Residential Projects Representing Over $391 Million in Private Investment

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Projects in Ludlow Area and Alexander Street Would Create Over 1,300 Construction Jobs and Nearly 1,000 New Rental Units   

YONKERS, NY — January 16, 2019 – The Board of Directors of the Yonkers Industrial Development Agency (YIDA) on January 11th approved resolutions of intent to provide financial incentives for three major residential projects that represent a total private investment of more than $391 million. It is estimated that the three projects would create nearly 1,300 construction jobs and add some 1,000 new units of rental housing to the city’s booming residential market.

Ludlow Point is situated at 150 Downing Street.

At the IDA’s meeting held January 11, Ginsburg Development Companies presented plans for two major developments in the Ludlow section of the city.  Ludlow Point, a $199.7 million investment, will be the centerpiece development of the new Ludlow Station Area Master Plan to be created by the City of Yonkers. Located at 150 Downing Street, the project consists of 520 proposed residential units in two ten-story and two eleven-story towers. The unit mix will be comprised of 80 studios, 320 one-bedrooms and 120 two-bedroom apartments. Building amenities will include a club lounge, fitness center, swimming pool, business center, bike racks and tenant storage lockers. Ten percent of the units (52) are to be affordable under the Yonkers Affordable Housing Ordinance. The Ludlow Street frontage will feature 10,330 square feet of retail space to be marketed to restaurant and neighborhood retailers.

Ludlow Point will feature a new Promenade Park overlooking the Hudson River and the cliffs of the Palisades that will connect to O’Boyle Park, which will be refurbished by GDC. A pioneering project, Ludlow Point will represent the largest private investment made in Southwest Yonkers in decades and will be an important gateway to the Yonkers Downtown and Waterfront District. It is estimated that the project will create approximately 600 construction jobs and 14 permanent jobs.  YIDA financial incentives for the project include $4,752,563 in sales tax exemptions and $2,520,000 in mortgage recording tax exemptions

The other GDC project, 70 Pier Street, is a $14.2 million mixed-use building to be constructed on the south side of Abe Cohen Plaza at the Ludlow Metro-North Train Station. It will be a new gateway entrance statement to the Ludlow neighborhood of Southwest Yonkers.  The project consists of a four-story building containing 36 residential rental apartments with a unit mix of 6 studios, 18 one-bedrooms and 12 two-bedrooms. Under the requirements of the Yonkers Affordable Housing Ordinance, one unit will be offered as affordable. In addition to the building’s lobby, the ground floor will include 3,125 square feet of neighborhood retail and indoor parking for 35 cars. Building amenities will include a lobby club lounge and a roof deck.

The City of Yonkers and GDC will jointly apply for New York State grants to renovate Abe Cohen Plaza concurrently with the development of 70 Pier Street. 70 Pier is part of the larger Master Planned redevelopment of the Ludlow Station Area being undertaken by the City of Yonkers. 70 Pier Street will create approximately 60 construction jobs and four permanent jobs. YIDA financial incentives for the project include $310,625 in sales tax exemptions and $180,000 in mortgage recording tax exemptions.

Alexander Street rendering.

The third project approved by the YIDA is 57 Alexander Street, a $177.3 million residential development featuring 440 apartments in a seven-story building with 443 parking spaces. The project, which is being developed by Rose Associates, would include 25,000 square feet of new waterfront open space including a waterfront walkway that will provide access to the Hudson River waterfront. The open space would have a walking promenade with seating and landscaping.

Located within the Alexander Street Urban Renewal area and part of the Alexander Street Master Plan, the project is an integral part of a conceptual land use plan for redevelopment of a critical segment of the city’s Hudson River waterfront. The project replaces an area that is now defunct and largely inaccessible to the public.

It is estimated that the project will create approximately 631 construction jobs and 10 full time jobs. YIDA financial incentives for the project include $3,807,375 in sales tax exemptions and $2,073,600 in mortgage recording tax exemptions.

The three projects have not yet received approvals from the city. Ludlow Point and 70 Pier Street will be part of a year-long Master Planning process with the city to develop a new plan for the entire Ludlow Station area.

In other business, the YIDA gave final approval for financial incentive to  Momentum Realty Acquisitions for its plans to convert a light-industrial building at 222 & 252C Lake Street into an office and entertainment complex called The Mill. The 55,000-square-foot building, which had been damaged by a fire in 2017, is to be completely renovated in two phases. YIDA financial incentives for the $11.7 million project include $240,513 in sales tax exemptions and $137,147 in mortgage recording tax exemptions. The project is being done as part of the Yonkers Opportunity Zone which is designed to spur development and create jobs.

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Yonkers Industrial Development Agency (YIDA)

Established in 1982, the Yonkers Industrial Development Agency is a public benefit corporation that provides business development incentives to enhance economic development and job growth in the City of Yonkers.

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SOURCE: Dean Bender, Thompson & Bender

eHeziYonkers IDA Approves Resolutions to Provide Financial Incentives for Residential Projects Representing Over $391 Million in Private Investment

Comments 10

  1. So these properties are sitting in most cases abounded and paying no taxes to the city. A developer comes in, yes, gets a tax reduction, but these properties are going on the books and creating jobs, economic growth in the city and yes, expanding the tax base. $5 million in new development is a good thing.

      1. IDAs always benefit developers and rarely benefit taxpayers. Old news and yet cities like Yonkers still use them because it allows the Spano admin to release misleading press releases like this one. Too bad Yonkers taxpayers don’t know any better.

        Tax-exempt IDAs in Yonkers, which is broke, is nothing short of fiscal suicide.

        “An analysis by the New York State Authorities Budget Office found “little correlation” between private-sector job growth and IDA projects, and that one in 10 IDAs that began projects in 2011 fell short on promised jobs five years later.

        Five projects actually lost jobs.

        Yet, last year [2015], more than 7,000 parcels of land in New York state, valued at nearly $34 billion, were exempted from state, county, local and school taxes by IDAs — leaving taxpayers to make up the gap.”

        https://www.poughkeepsiejournal.com/story/news/investigations/2016/10/30/tax-exempt-millions-breaks-idas-jobs/93003496/

  2. Do you think the developer pays nothing? That’s just not the case. They pay taxes. It’s in the form of a pilot. Upfront amount of money to the city. The city used to gives out 30 year pilots. That is no longer the case. People want to develop here now. IDA’s are all over across our state. It’s not just here. Costco, Home Depot, Ridge Hill, Stew Leonard’s, all the buildings going up in downtown area. $5 billion dollars in new development since 2012!! That is a good thing for the city. These pilots will end and these people will be paying full taxes. This is great for our city. Keep expanding our tax base, keep attracting new people to our city.

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        Author
    1. The developer will not adhere to one iota of the agreement as far as jobs, ownership, future payments and restrictions.
      On top of all this , there will be no oversight by government and yes, it does occur all over the state where other municipalities give away the store to friends and donors.
      Do people forget that soon about how other IDA projects have worked out?
      I may not be able to project out what will be but my history lessons are better than any spreadsheet you can produce.

  3. The City can’t balance its books so what could go wrong giving tens of millions of dollars of tax exemptions to real estate developers. Riiiiiight, makes perfect sense. Just hit property owners later this year with another tax increase to make it all gooooood.

    Has anyone been around Ludlow train station area recently?? Hope these windows are bulletproof. Forget the gym and pool…these buildings should come with an on site militia.

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