By Kristine Wolf, New York Real Estate Journal
After decades of preparation and planning, the $1 billion effort to reclaim city’s waterfront for the community is officially underway as RXR Realty broke ground on the Garvies Point development. The project is a partnership between RXR Realty and the city.
Mayor Reginald Spinello, public officials, business and civic leaders, executives from RXR Realty, and dozens of community members came together at the site to launch the five to seven-year construction process. The first phase, including 28 acres of public open space and amenities, is expected to be complete in 2018.
“Today’s groundbreaking is a milestone for the City of Glen Cove more than 20 years in the making,” said Scott Rechler, chairman and chief executive officer of RXR Realty, which is headquartered in Uniondale. “What has long been a hope of the Glen Cove community – a vibrant, publicly-accessible waterfront – will soon become a reality. We are grateful for the support and collaboration of the city – particularly mayor Spinello – the county, local businesses, community organizations, civic leaders and residents who together have helped create a vision for Garvies Point that will benefit all of Glen Cove. We look forward to creating a waterfront that this great city will be proud of for generations to come.”
“Today’s groundbreaking underscores the relentless pursuit of a new vision for the city of Glen Cove – a vision that celebrates the work of many city administrators, the industrial development agency, the community development agency, federal, state and county agencies with the patience and perseverance of our residents and businesses,” said Spinello. “This notable moment in Glen Cove’s history is reflective of a strong partnership with RXR Realty, a highly respected developer whose efforts to invest in Glen Cove’s economy and livability is critical to our city’s efforts to become a center of commerce for Long Island’s North Shore.” The transformative project, which received approval for its funding in August, will restore 56 acres on the waterfront to productive use, creating a public expanse with parks, playgrounds, esplanades, marinas, an amphitheater, dog park and 1,100 residences.
In total, Garvies Point is expected to generate hundreds of millions of dollars in economic activity, including hundreds of millions in new revenues to the City, School District, Library District and Nassau County; an annual economic benefit of $50 million to the City; $24 million annually in local spending by new residents; and the creation of more than 460 direct and indirect construction jobs per year during the construction period, and more than 540 permanent jobs.
The RXR platform manages 61 commercial real estate properties and investments with an aggregate gross asset value of approximately $18.5 billion, comprising approximately 24.4 million square feet of commercial properties, inclusive of a multi-family residential portfolio of approximately 2,600 units under operation or development, and control of development rights for an additional approximately 3,700 multi-family and for sale units in the New York Metropolitan area. Gross asset value compiled by RXR Realty in accordance with company fair value measurement policy and is comprised of capital invested by RXR and its partners, as well as leverage.