Hudson Cos. JV Advances $700M Queens Project
The team will develop a mixed-income community of nearly 1,000 units.
The partnership of Slate Property Group, The Hudson Cos. and Volunteers of America has won a Request for Proposals issued by the New York City Department of Housing Preservation and Development, advancing The Orion, a mixed-income project in Queens, N.Y. Marvel Architects will provide design services for the 980-unit property.
The team may break ground in the next 24 to 48 months. Estimates put construction costs at $650 million to $700 million, as reported by Bisnow.
Plans call for the construction of three buildings. According to the RFP specifications, at least one of them must be entirely income-restricted, while another should feature a mix of affordable and market-rate apartments.
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The Orion will feature 6,000 square feet of retail space and 8,900 square feet of community space, including a childcare center with an outdoor playground, as well as a workforce development center that is set to provide vocational training programs. Additional amenities will consist of a swimming pool, gyms and bike storage, among other features. Commonpoint Queens will operate all community services.
A resident survey informed decision-making for the RFP requirements, ultimately shaping the development. More than 1,300 residents participated, with a majority considering affordable housing should help local families with children. More than half also wanted a grocery store on site.
The gradual development of Hunter’s Point South
The community will take shape at 54-42 Second St., on one of the seven parcels making up the 30-acre Hunter’s Point South area along the East River, which was initially slated for industrial development.
The vision changed following a failed bid to host the 2012 Summer Olympic Games, and Hunter’s Point South pivoted toward residential use, with plans calling for 5,000 units. So far, developments on five of the seven parcels have reached completion.
One of them is Hunter’s Point South Commons, a 619-unit affordable community developed by Related Cos., Phipps Houses and Monadnock Construction. The venture secured $136.5 million in Fannie Mae bonds earlier this year.
First to use the Mixed Income Market Initiative
The Orion marks the first project to utilize HPD’s Mixed Income Market Initiative. This program supports the construction of communities where 70 percent of units are income-restricted, while the remaining 30 percent are rented at market rate.
The affordable units cater to households earning at or below 120 percent of the area median income. However, there are further restrictions, such as 25 percent of units set aside for residents earning up to 30 and 50 percent of AMI, including individuals experiencing homelessness.
As a result of MIMI, The Orion will encompass 658 affordable housing units. Out of them, 150 will be supportive apartments, in line with the local administration’s Block by Block plan and its efforts to enhance supportive housing.
