Jonathan Rose, a descendent of the real estate dynasty behind the Rose Associates empire, has bought a Mitchell-Lama property on Halletts Point by Astoria Cove for around $35 million.
Rose’s firm, Jonathan Rose Cos., will maintain the Astoria property as an affordable rental project under the so-called Mitchell-Lama law passed in the 1950s to create affordable housing for NYC’s middle class.
“We have come up with a program to protect current tenants,” advised Nathan D. Taft, managing director of acquisitions, for Jonathan Rose Cos.
The purchase of the 202-unit Goodwill Terrace Apartments — by a fund operated by Rose’s company — is being accomplished through a $28.5 million mortgage from the New York City Housing Development Corp. The building has income restrictions and below-market rents along with a tax exemption.
Rose, whose family name adorns many NYC institutions including the New York Public Library, expects to invest $18 million in equity that includes $10 million in renovations. These are targeted toward upgrading the lobby and hallways, along with energy efficiency and modernization.
“We use energy models and audits to see how the building is performing and design the program around that,” Taft explained.
It will also create new resident amenity and social services spaces as part of Jonathan Rose Cos.’ Communities of Opportunity programming which advises on and brings city programs, health care and healthy food options to residents. This building has a community room that will be rehabbed and an empty space that will be reactivated.
The project at 4-21 27th Ave. at 9th Street in Queens was sold by Goodwill Industries of Greater New York and Northern New Jersey through the Transwestern team of Stephen Powers, Lindsay Ornstein, Jake Cinti, Dean Sigmon and Justin Shay. Goodwill will use the funds to further its charitable work in the region.
The wide, 15-story building of 136,000 square feet is on a huge L-shaped lot surrounded by project parking. The building sits across from the NYCHA Astoria Houses but is in a changing area that is seeing new buildings, including some from the Durst Organization, rising along the waterfront.
Rose owns 15,000 units of affordable housing around the country.