Dive Brief:

• A local advisory board gave the go-ahead last week to the full redevelopment plan for Willets Point in Queens, New York. The 62-acre district, located near the Flushing River and next to the New York Mets’ Citi Field stadium, has long been known for its auto shops and junkyards.
• The Willets Point Revitalization Plan calls for the construction of 2,500 units of affordable housing, as well as a hotel, a 650-student public school, retail and 40,000 square feet of public space. It will also include a new, 25,000-seat stadium for the New York City Football Club soccer team, which is expected to open in 2027.
• The project team, Queens Development Group, is composed of New York City-based developer Related Cos., Great Neck, New York-based real estate operator Sterling Equities and the NYCFC.The first phase, which includes 1,100 of the affordable housing units, was approved in 2021. The residential component is set to begin construction in the coming weeks.

Dive Insight:

Willets Point, also known as The Iron Triangle, has been the subject of redevelopment plans dating back to the 1950s, according to The New York Times. The project had its formal groundbreaking in June 2021, when Queens Development Group began environmental cleanup and remediation at the site, which had also been used as an industrial ash dumping ground in the early 20th century. This work has since been completed.

The most recent full development plan was unveiled in November 2022. Following the community board’s vote, the project will be sent to the Queens Borough President’s Office, the City Planning Commission and ultimately the City Council for review. The specifics of the residential developments are not yet available.

The new layout will include a main street lined with retail and small businesses, intended to foster community and economic growth, according to the press release.

The $780 million NYCFC stadium will be privately financed and will also host the club’s City in the Community foundation, which builds community soccer fields across New York City and serves 30,000 city youth.

“This game-changing project, embracing 100% affordable housing, smart urban planning and the cutting-edge NYCFC stadium, resonates with our shared goal of nurturing a vibrant and robust community,” said Francisco Moya, a New York City councilmember, in the release.

New York City has some of the highest rental costs in the country, at a current average of $5,370 for a one-bedroom apartment, according to Rent.com — up 22% from one year ago. Willets Point, which does not currently have any residential structures, is a part of the Northeastern Queens neighborhood, which currently has an average rent of $2,100 for a one-bedroom apartment.

City government attributes the high prices to a severe shortage of housing. This is especially acute in affordable housing, as the waitlist for apartments managed under the New York City Housing Authority is over 250,000 households long. In October, Mayor Eric Adams unveiled a proposal to add 100,000 new housing units to New York City over the course of 15 years. Strategies include eliminating parking mandates, permitting more affordable and supportive housing and enabling conversion of apartment buildings.