BJH is working with the Council of Fashion Designers of America (CFDA) to create a set of multi-faceted business support programs for fashion producers interested in remaining and growing in New York City. BJH's role has been to provide primary research into the needs of fashion production companies, as well as to understand how designers and manufacturers might more closely cluster in Brooklyn, both physically and through other business model synergies. BJH also worked with the Harvard School of Design to study innovative design ideas that reimagine a new, modern industrial production center in Sunset Park, Brooklyn.
The Brooklyn Brewery has engaged BJH to assist it in siting and developing a new 400,000 to 1,000,000 barrel brewery. The Brewery is seeking to expand capacity primarily to serve overseas markets in Northern Europe where demand is growing exponentially. Ideally, the Brewery is seeking to locate within close proximity to the Port of New York and New Jersey, and at a site that either has rail or where rail can easily be activated. BJH’s project scope involves undertaking location analysis, including performing tax and economic development program and benefit level comparisons across jurisdictions, as well as negotiating with land owners, determining timeframes and processes for obtaining discretionary land use and other development approvals, interfacing with public partners, and analyzing capital requirements and potential for investor returns.
BJH is currently undertaking a series of tax and payment-in-lieu-of-tax or PILOT analyses for New York State public clients for large-scale infrastructure projects. BJH is responsible for constructing PILOT models that include full-tax runs including as-of-right tax policy (e.g. 421-a), as well as sensitivities with discretionary tax policy built-in, including the Industrial and Commercial Abatement Program and Hudson Yards Uniform Tax Exemption Policy programming. The tax/PILOT analysis is meant to feed into full development pro formas, as well as to provide the basis for better understanding debt capacity and funding streams that may be used by the public entities to pay for infrastructure and other project related elements.
BJH has been advising the Cypress Hills Local Development Corporation for the past 2 years on implementation of strategies outlined in its BOA proposal to the State of New York and in a separate 2013 Report entitled “Manufacturing Opportunity Analysis.” Implementation strategies include working to repurpose underutilized City-owned manufacturing zoned land with New York City based food manufacturing and distribution firms that are seeking to expand, identifying key economic development programming to support industrial development, and working on financial feasibility analysis regarding various development scenarios for the construction of new, model urban industrial facilities.
The pricipals of BJH have worked on various aspects of the Hudson Yards redevelopment project since 2002.
In 2015 BJH prepared a development analysis and revenue estimation report of the district for an investment bank. The study included a survey of residential, hotel, office and retail buildings completed, in construction and planned in the district, and estimation of current and future real property tax revenues, PILOT payments, and zoning bonus payments.
BJH was the project manager and prime consultant for the State of New York, managing a multi-disciplinary team that developed a Downtown Revitalization Strategic Action Plan for the Village of Westbury in Nassau County, Long Island. The Downtown Revitalization Initiative is a $100 million initiative of Governor Andrew Cuomo which provided 10 towns throughout New York State with $10 million in downtown revitalization funds. Westbury, a 2.4 square mile Incorporated Village in Nassau County along the Long Island Rail Road, was selected for the initiative by the Long Island Regional Economic Development Council. BJH led a team in coordinating a committee of local stakeholders, executing public engagement events, studying existing conditions, and identifying projects to help bring about the revitalization of the downtown. Once projects were identified, BJH and its team prepared an implementation plan that identified the cost of the project, regulatory processes, and partners to implement each of the projects. Projects included a rezoning that would promote transit-oriented development and increased residential density near the train station; a commercial attraction program that would provide grants to new, targeted retailers for fit out; a comprehensive streetscape improvement plan that included street plantings, benches, new lighting, among other streetscape elements; and a redesign of the key intersection that connects the Long Island Rail Road station to the downtown. The funded projects are expected to be implemented between 2017 and 2020. The final plan can be found here.
MFY Legal Services and Housing Conservation Coordinators engaged BJH to conduct an analysis of the interaction between the short-term residential rental market, primarily short term units listed on Airbnb, and the traditional rental housing market in New York City. In order to carry out this analysis, BJH created a classification system using third-party listings data that isolated a category of units it referred to as Impact Listing. In conjunction with providing an analysis of the neighborhood and price effects of Impact Listings, BJH analyzed broader neighborhood and housing trends in the neighborhoods with high concentrations of these listings. The analysis demonstrated high correspondence between areas with growth in Impact Listings and increases in housing prices and constrained supply. The full report, which was issued in June 2016, is available here.
BJH Advisors was the real estate and financial advisor for the Radson - Kingspoint Heights winning submission to the NYCEDC for development of 495 Eleventh Avenue (the former Slaughterhouse site) in Hudson Yards. The project comprises approximately 700,000 square feet in a 45 story tower, including NYPD space, retail, community facility, Class A office, dormitory, and approximately 230 affordable housing units. BJH helped assemble the project team, including the architect, geotech and structural engineer, and land use and real estate counsel. BJH project managed the submission package and helped align the program with Mayoral and community priorities. BJH performed project underwriting, and assisted the developers in discussions with debt and equity sources. Radson – Kingspoint Heights was advised by BJH throughout the negotiation with NYCEDC over program, scale, real property tax obligations, ground rent, and affordability levels of the residential units. In addition to undertaking Uniform Land Use Review Process for the disposition and rezoning, the project will require ongoing and significant coordination with public agencies.
BJH participated on a team of architects, engineers, and historic preservationists to reimagine the “Parsonage Parcel” at Historic Richmond Town (HRT) in Staten Island. HRT aspired to better utilize their unique real estate assets, increase foot traffic on the campus and create more retail opportunities to support their operations and programming budget. BJH created an economic implementation strategy for the new master plan design, highlighting financial feasibility, development tradeoffs, and potential funding sources. The plan allows HRT to prioritize development projects across the Parsonage Parcel to fit their organizational goals and resources and leverage additional funding sources.
BJH worked with the Long Island City Partnership and Public Works Partners on the LIC Comprehensive Plan, which was released in November 2016. BJH was responsible for the existing conditions and incentives recommendations sections of the Plan, which include a study of demographics, market trends across a variety of real estate types, and business sector changes over the past 10 years. The report highlights the recent and significant development of apartment units in LIC, as well as the challenges arts organizations, industrial companies, and commercial office users are experiencing in finding affordable space. The Plan's recommendations seek to enhance the area's revitalization, leverage the district's market potential, and retain the mixed-use fabric of the neighborhood. Find the Plan here.
BJH Advisors worked with an urban design and planning firm to analyze the financial feasibility of a new, state-of-the-art, USDA compliant food distribution hub that supports regional Michigan farmers for the Detroit Eastern Market Corporation. The proposed hub includes a multi-building campus that would house large and small distributors, provide dedicated wholesale space for local farmers, and include on-site food processing. BJH created a financial model to estimate the construction costs necessary to build such a project, assess the revenue associated with the project based on market demand, and ultimately, project the gap associated with development of this hub. The analysis also tested the impact of conditions such as changes in demand, real estate tax obligations, or access to funding resources on feasibility. BJH also prepared economic impact analysis to estimate the number of jobs and the values of wages and total economic output associated with the proposed hub. The findings of the analysis will help Eastern Market Corporation negotiate with prospective public and private partners, funding sources, and tenants.
BJH conducted market research, funding identification, and economic impact analysis on behalf of the Office of Research and Economic Development at Rutgers University. The “Innovation Park@Rutgers” will catalyze university-industry-government collaboration, support innovators and entrepreneurs, and create tangible economic growth and community benefits. BJH’s work allows Rutgers to right-size the project for the University and surrounding area and understand the economic impact of its future activities. BJH conducted broker and developer interviews, described existing supply and demand of technology and life sciences real estate in the area, and quantified direct, indirect and induced impacts using input-output multipliers. A copy of the final report can be found here.
BJH advised Gilbane Development Co. in its submission to the New York City Economic Development Corporation for development rights to the Spofford Live/Work campus in the Hunts Point section of the Bronx. Gilbane, along with the Hudson Companies and Mutual Housing NY, was designated as the development team in late 2016. The program includes affordable housing, relocation of the Head Start program on site, an industrial presence related to food uses prevalent in Hunts Point, as well as retail and other commercial space. The project will break ground in 2017. For additional information, click here for the Wall Street Journal article about the project.
Urbane Development (Urbane) engaged BJH Advisors to conduct a market analysis and provide recommendations regarding the redevelopment of the Flatbush Caton Market. Urbane, in conjunction with BRP Development, was selected by the New York City Economic Development Corporation to redevelop the 32,000 square foot parcel that now includes the public market. BJH’s work included analysis of retail supply and demand in the area through primary and secondary data, case studies of successful national and international public markets, and a compilation of viable funding sources and tax incentives that could support development and operation of the public market. BJH’s final report will help Urbane develop a business plan for the redeveloped market – including its vendor composition and leasing strategy – and support Urbane in its efforts to secure public support and funding for the project.
The Hugo Neu Corporation engaged BJH Advisors to provide market analytics, financial feasibility, and tax analysis for its campus in Kearny, NJ. The campus was badly damaged by Superstorm Sandy and, through a series of planning studies subsequent to Sandy, was positioned for significant new investment. The analysis began with a market scan, providing important demand indication for the campus and competitor markets that helped the company identify a new leasing approach. Next, BJH provided Hugo with a cash flow model to determine the impact of various redevelopment scenarios on developer returns. Finally, BJH provided Hugo Neu with economic impacts and tax analysis to guide an incentives discussion for future investment options.
Regional Plan Association (RPA) engaged BJH Advisors to conduct an analysis of commercial market opportunities for Jamaica, Queens, particularly those connected to John F. Kennedy Airport (JFK). The analysis was designed to support the planning efforts of the Jamaica NOW Action Plan and the Greater Jamaican Development Corporation. BJH’s analysis focused on identifying retail, office, and industrial opportunities and unmet demand based on economic and real estate trend analysis and a literature review of airport-related economic development strategies and impacts. The resulting report and recommendations presented market-based strategies to leverage JFK airport to generate economic growth.
NYC Economic Development Corporation and Amtrak led a study on the feasibility of the decking over of Sunnyside Yard. As a part of the analysis, BJH Advisors prepared estimates of potential development values and property tax revenues under various phasing scenarios for the redevelopment of sections over Sunnyside Yard as well as adjacent areas. The analysis relied on BJH’s expertise in tax policy, financial feasibility, and land use policies. A copy of the report can be found here.
BJH was retained by the Friends of the BQX, a group led by property owners and business interests along the Brooklyn-Queens waterfront, to study the financial feasibility and determine optimal financial structuring for a new streetcar that would stretch from Astoria, Queens to Sunset Park, Brooklyn. BJH estimated development scale along the 11 neighborhoods in the corridor and applied the concept of “transit premiums” to real estate values and development pace. The computed value was then compared to the cost of the system. BJH’s work was presented to the City of New York, who subsequently hired BJH as part of the initial team to test design, engineering and financial/economic feasibilities.
The Southwest Brooklyn Industrial Development Corporation received a Brownfield Opportunity Area (BOA) grant from the New York State’s Department of State to create a revitalization plan for an approximately 343-acre area of Red Hook, Brooklyn. The plan is designed to incite economic and industrial business growth in Red Hook by reactivating vacate and under-utilized sites. BJH Advisors, LLC was currently part of the team studying the opportunities and challenges in activating under-utilized brownfields in Red Hook. BJH Advisors conducted real estate market analysis for the industrial and commercial sectors in Red Hook and identified financing structures that will support the rehabilitation and/or development of industrial facilities in Red Hook, given the market conditions and challenges related to brownfield status and resiliency planning.
BJH worked with United Methodist City Society (UMCS) on a repositioning/disposition strategy for an underperforming property in Harlem. Over the course of the engagement, BJH provided market and demographic analysis to inform development of UMCS’s strategic goals, provided a highest and best use analysis for the property comparing several likely redevelopment strategies, and facilitated discussions between UMCS and agency staff to discuss various partnering opportunities.