Local Queens Developer Buys Prized OZ Development Site
Local Queens developer Gary Tsan has acquired a 200,000-square-foot development site situated in a qualified Opportunity Zone in the Downtown Flushing submarket for $58 million, or approximately $290 per buildable square foot. The one-acre development is located at 133-25 37th Ave., and is said to be one of the last large land parcels available in the submarket.
NEW YORK CITY- Local Queens developer Gary Tsan has acquired a 200,000-square-foot development site situated in a qualified Opportunity Zone in the Downtown Flushing submarket for $58 million, or approximately $290 per buildable square foot. The one-acre development is located at 133-25 37th Ave., and is said to be one of the last large land parcels available in the submarket.
Although there are a number of Opportunity Zone census tracts in the outer boroughs, mainly in Queens, it is rare to see a transaction for both the size and scale of the development site in an Opportunity Zone, Stephen Preuss, of Cushman who represented the seller, tells GlobeSt.com.
“Most of the Opportunity Zone transactions we’ve been seeing are smaller in nature. This asset is attractively located in the middle of Downtown Flushing, which is one of the most sought-after neighborhoods in Queens for new developments,” he said. “Additionally, this site has exceptionally flexible zoning, allowing for several different types of development concepts. We expect to see some type of mixed-use development with retail, residential and office to match the general feel of the neighborhood.”
Yihai Group, the seller in the transaction, was represented on behalf of Cushman & Wakefield. Seated on the property is a commercial building totaling 51,617 square feet. With the current C4-2 zoning, the allowable buildable square footage is 200,000 square feet. However, Yihai Group proposed plans for a 205,000-square-foot mixed-use development site, comprising residential, retail, hotel and community facility space.
“It’s no surprise this site sold at a premium considering Flushing’s booming development scene coupled with the fact the site is located in a Qualified Opportunity Zone,” Preuss said in a recent prepared statement.
Across from the property is Two Fulton Square, a F&T Group mixed-use project broken down into two phases that includes condominiums, retail and hotel space.