EDC failed to charge $511,500 in allowable rent and used City water and sewer services without paying. On June 6, 2008, City Comptroller William C. Thompson issued an audit report on the New York City Economic Development Corporation’s lease of the Brooklyn Army Terminal, concluding that it failed to charge Turner Construction Company $211,500 in allowable rent and lost $300,000 by charging some sub-tenants less than market rate rent. Also, EDC has not paid the City for water and sewer use at the Army Terminal since it took over in 1986 and has neglected to pass on those costs to its sub-tenants. The audit concluded, however, that EDC had complied with the major terms of its lease, paying its rent on time, submitting correct security deposits, and maintaining proper insurance coverage.

The City leased the 4-million-square- foot Army Terminal to EDC in 1986, making it responsible for its conversion into an industrial park and requiring payment to the City of 100 percent of the net operating income once EDC subleased it. EDC has renovated 3.1 million sq.ft. and has subleased space to 70 companies. (read more…)

Gourmet Guru to invest $4.9 million. On May 13, 2008, the New York City Industrial Development Agency awarded public subsidies to Gourmet Guru, a ten-year-old food-related company located at 660 Casanova Street, between Spofford and Randall Avenues, in the Hunts Point section of the Bronx.

Gourmet Guru specializes in the wholesale distribution of organic and specialty foods, development and manufacturing of branded food products, and marketing and brokerage services. The company began its operations in a 1,000-square-foot facility in Hunts Point, but was looking to expand and even considered moving its headquarters to New Jersey to save costs. (read more…)

Historic armory to become retail center, complete with movie theaters and restaurants. On April 21, 2008, the City selected Related Companies to convert the Kingsbridge Armory, a City landmark located on the corner of 195th Street and Jerome Avenue in the Bronx, into a $310 million shopping center. The center will include a large department store, up to 35 smaller shops, a movie theater, and restaurants.

The Armory features two battlement towers, Romanesque arches, and intricate brick and terra-cotta detailing. Reportedly the largest armory in the world, the main floor is larger than a full City block and consists entirely of an immense 180,000-square-foot open room with 110-foot-tall ceilings. The Armory’s two basements add an additional 312,000 sq.ft. of space, giving the entire building an impressive 575,000 sq.ft. (read more…)

Proceeds would help support the operations of the New York City Health and Hospitals Corporation. The New York City Economic Development Corporation is seeking proposals to develop and operate a hotel and conference center at the former Bellevue Psychiatric Building, located at 492 First Avenue between East 29th and East 30th Streets. The winning developer would enter into a 49-year lease agreement with the City with two 25-year renewal options. Currently, the building serves as a homeless shelter and intake center for the New York City Department of Homeless Services, a use which will come to an end by June 2009.

Built in 1931, the nine-story, 398,420-square-foot building was designed by Charles B. Meyers in the same Italian Renaissance style as neighboring buildings. It is eligible for listing on the State and National Register of Historic Places and any alterations to its interior or exterior are subject to New York State Office of Parks, Recreation, and Historic Preservation review. Any alterations impacting the first floor lobby’s murals, believed to be Works Progress Administration pieces, require New York City Art Commission approval.

The proposed hotel and conference center would serve Bellevue Hospital, the New York University Medical Center, the anticipated East River Science Park, and other institutions located within the First Avenue medical and life sciences corridor. Because the site is located within the corridor, it is restricted to hospital-related, neighborhood retail, and office uses. The winning developer, therefore, would have to seek new zoning approvals for the hotel and conference center.

EDC set a June 13, 2008 deadline for all responses.

EDC: Request for Proposals – Former Bellevue Psychiatric Hospital Redevelopment (Mar. 31, 2008).

EDC seeks a commercial building, parking and shuttle service to amusement area. The New York City Economic Development Corporation is seeking proposals for a developer to purchase and develop commercial space, with accessory public parking, on a 48,600-square-foot site on Stillwell Avenue in Coney Island.

The site is located three blocks north of the Stillwell Avenue subway station and immediately south of the Belt Parkway, within the Coney Island Creek Urban Renewal Area. It is zoned M1-2 for manufacturing, retail, recreational, and commercial uses. Currently, it consists of two adjacent lots, one of which is vacant, the other leased by the City for school bus parking. (read more…)