LONG ISLAND CITY, NEW YORK — Rockrose Development has begun construction on a $750 million residential project in the heart of the Court Square area of Long Island City. The four-building project will include the development of more than 1,000 apartments and condominiums, as well as retail space.
The first phase, which is known as 43-10 Crescent Street, is under construction and contains a 42-story tower with 709 luxury apartments, as well as a 15,000-square-foot grocery store. Amenities include a basketball court, squash court, double height fitness center, valet service, coffee lounge, screening room, and a roof deck with a lawn, misting pods, barbecue grills and a bar. Additionally, 65 percent of the units will contain a washer and dryer and most will have a balcony.
The building will offer studio apartments, as well as one-, two- and three-bedroom units. Justin Elghanayan, principal of Rockrose, says rents will vary between $1,750 per month for a studio and $4,150 for a three-bedroom floor plan.
Part of the reason Rockrose chose this site for the development is the proximity to public transportation services. Seven subway lines are located within a three-block radius to the property. “This location is such an amazing transportation hub,” says Elganayan.
Two to three additional phases are planned, but at this time it is uncertain when they will begin. The remaining three buildings will contain as many as 1,200 to 1,300 units, and Elganayan says there is a possibility that up to 100 of the units will be condos. Also, there will be retail space for a health and beauty store, such as CVS/pharmacy or Duane Reade, as well as restaurants and bars.
A bank group consisting of Bank of America, Wells Fargo, Helaba and Capital One provided construction financing totaling $155 million for the first phase. Avinash K. Malhorta Architects designed the building’s exterior and Moed de Armas Shannon designed the interior. Mathews Nielson is the landscape architect.
Elganayan says historically, Rockrose has made money by building during downturns because construction costs are lighter.
“When you come to market if the market has turned, then you’ve built cheaply and [are able to get] good rents,” he says. “We’re hoping that’s the case. New York rents, despite the economic blood bath out there, are rising. Even now we are seeing 8 to 10 percent rent growth. So if there’s 8 to 10 percent rent growth in this economy, when it picks up it’s going to be astronomical. Not a lot of units have been created out there and there’s going to be a housing shortage when the economy gets into full over drive again.”
Completion on the first phase is slated for spring of 2013.
— Savannah Duncan