Amazon is not coming to Long Island City, and we still win

“This is devastating”, was repeated by real estate executives after Amazon cancelled its plans for Long Island City, and yet, just 9 months later, Long Island City has moved on.

To understand Long Island City’s resiliency, it is helpful to understand the evolution of Long Island City, one of the city’s top neighborhoods for innovation and one that has been decades in the making. Long Island City began its transformation years ago through rezoning initiatives that aimed to create a mixed-use neighborhood after manufacturing moved away. The neighborhood was appealing because it is located one subway stop from Midtown, the largest business district in the country. Initially, developers focused on rentals and then condominiums to address demand from Manhattan office workers, who were priced off the island. According to the Long Island City Partnership, 20,000+ residential units have been completed since 2006 and another 10,600+ residential units are projected to open by 2021.

In 2013, Long Island City began its transition from a bedroom community to a live, work, play neighborhood with the opening of the first phase of Hunters Point South Park, a 5.5-acre riverfront park that is connected to the original 12-acre Gantry Plaza State Park. Twenty thirteen also saw the opening of PS/IS 78Q, a highly regarded public school that accommodates grades K through 8, the first in a series of new schools that will open in the neighborhood. More recently, the number 7 line, one of Long Island City’s eight subway lines, was extended to the new 34th Street Station in Hudson Yards, an area which is expected to accommodate more than 100,000 office workers.

Fast forward to 2018 and yet another park opened, Hunters Point South Waterfront Park Phase 2, a 5.5-acre park that has been celebrated for its design excellence and environmental practices. Two NYC Ferry landings were also added along with the Hunters Point Community Library. At the same time, the neighborhood experienced an increase in private sector employment growth from both existing and new businesses (that are eligible for tax credits) and the city has committed $180 million to improve the neighborhood’s infrastructure. Cornell Tech and LaGuardia Community College are leading the way on education and research for the digital age.

The pipeline reveals notable projects that were planned long before Amazon and that are full steam ahead even without Amazon. Two examples include Tishman Speyer’s 1.2 million square foot office complex, The Jacx and The Durst Organization’s 978,000 square foot mixed-use development, SVEN. Substantial investments in the area are also expected under the Opportunity Zone community development program.

Regarding affordable housing, our waterfront is the neighborhood’s most highly valued real estate and it will see 5,000 new units of residential housing in Hunters Point South, a public-private partnership spearheaded by the city, under the Bloomberg administration, where 60% of the apartments will be permanently affordable.

While there has been great progress, there are important issues that need to be addressed including creating a plan for the vast expanse of underutilized land along the east river at the former Amazon sites and the Con Ed training facility. We also need to consider the highest and best use of Sunnyside Yard, the Arch Street Yard, the Borden Avenue Yard and a potential new Sunnyside LIRR station as part of East Side Access, along with all the private as-of-right development.

After the missteps that were made with Amazon, developers are engaging with the community early and often on planning and workforce development initiatives through groups such as “Your LIC”, which is led by former LaGuardia Community College President, Dr. Gail Mellow. At Sunnyside Yard, the city’s Economic Development Corporation is hosting multiple public meetings where attendees take part in a variety of informational and interactive activities and where residents will help shape the future of the yard.

To build on the progress that we have already achieved and to ensure the best possible future for residents of Long Island City and the surrounding region, we must put aside the uncompromising tendencies of those individuals who were for or against Amazon under any circumstances and we must work together to find the best possible solutions for the exciting opportunities and complex challenges that lie ahead.

Patrick is a leading New York City real estate broker, new development specialist and Long Island City expert. In 2019, he was the 1st Place winner of REBNY’s Deal of the Year. thesmithteam.nyc/