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Press Release

New York Works: NYCEDC Seeking Proposals for Commercial Office Space in East New York

Jun 22 2017

Human Resources Administration to Relocate up to 300,000 SF to East New York, Anchoring Development That Will Provide Space for Hundreds of Private Sector Jobs

Office Anchor Strategy is Part of Effort to Create 25,000 Jobs with New Office Space

Brooklyn BP Adams Has Championed Office Anchor as Strategy to Revitalize Broadway Junction

NEW YORK, NY—New York City Economic Development Corporation (NYCEDC) today announced the release of a request for proposals (RFP) for new commercial space in East New York that will be anchored by the Human Resources Administration (HRA), a strategy outlined in Mayor de Blasio’s New York Works plan to create 100,000 good jobs over the next ten years.

NYCEDC is seeking proposals for HRA to anchor one or multiple new developments, taking up to 300,000 square feet of office space. NYCEDC will prioritize proposals where at least 50% of the new development will be used by local businesses looking to grow and create jobs in East New York.

Through the City’s new Office Anchor Strategy, City agencies will serve as anchor tenants for new commercial developments in targeted neighborhoods that have demand for more office space but have a hard time attracting the type of larger tenant necessary to anchor a new building. The office anchor strategy is also intended to help the City plan for future space and tenanting needs in a cost-effective manner.

The strategy will focus on places such as Downtown Brooklyn and Long Island City where commercial growth has been priced out by residential development. It will also support more nascent commercial hubs such as Harlem, Flushing, and Jamaica, as well as neighborhoods with untapped commercial potential, including East New York.

As outlined in New York Works, the City expects to create 25,000 jobs over the next ten years through the Office Anchor Strategy and other initiatives aimed at growing commercial districts in neighborhoods across the city. The plan also includes major investments in cyber security, freight, life sciences, virtual reality, manufacturing, and other sectors with high growth potential to create good jobs and grow the middle class in New York City. Read the full plan.

Locating a City agency in Broadway Junction has long been a priority for Brooklyn Borough President Eric L. Adams. He has been a leading champion for this urban planning strategy as part of his vision for the revitalization of East New York, encouraging the City to utilize its tenancy as a strategic development tool.

"Bringing modern office space to East New York will help drive its continued growth as a job hub and bring hundreds of new private sector jobs to the neighborhood,” said NYCEDC President and CEO James Patchett. “This strategy is a key component of the New York Works plan, leveraging City investment to grow the middle class and create 100,000 good jobs over the next ten years.”

"This RFP represents a golden opportunity for us to revitalize Broadway Junction and spur complementary, community-driven job growth in East New York. I am pleased to see EDC President Patchett and the de Blasio Administration advance this smart urban planning strategy that will help seed economic opportunities across our borough," said Brooklyn Borough President Eric L. Adams.

“We are not only an agency that provides essential help to the community, we are also part of the community. The jobs for our staff and the office space we occupy are investments that benefit local communities and all New Yorkers,” said Department of Social Services Commissioner Steven Banks. “We are proud to work with NYCEDC, and look forward to being an anchor tenant in the East New York community.”

East New York is seeing tremendous public and private investment, largely focused on the creation of affordable housing. NYCEDC and the Department of City Planning will also be working in partnership with Borough President Eric L Adams and Council Member Rafael Espinal to continue to identify strategies to drive commercial and industrial business and job growth and to transform the area around the Broadway Junction transit hub into a center of economic activity.

There are many factors that make East New York attractive for new and growing businesses, including:

  • A great transit hub in Broadway Junction;
  • Comparatively low property costs;
  • Access to a strong local community that could serve as both workforce and customer base; and
  • Proximity to one of the largest remaining clusters of industrial businesses in New York City.

With commercial vacancy rates well below the national average, and new businesses starting or moving to the five boroughs every day, there is a clear and growing demand for flexible, modern office space throughout New York City. A 2015 analysis by NYCEDC found market demand for new commercial space could reach as high as 60 million square feet by 2025.

The analysis estimated that roughly 25-30 million square feet of the needed space could be generated in Manhattan, in part through projects such as Hudson Yards and the World Trade Center, and through proposed rezonings such as Midtown East. Another 25-30 million square feet could be generated by activating the untapped potential of communities like Downtown Brooklyn, Long Island City, Downtown Jamaica, Lower Concourse in the Bronx, and Staten Island’s North Shore.

New York City Economic Development Corporation creates shared prosperity across New York City’s five boroughs by strengthening neighborhoods and creating good jobs. NYCEDC works with and for communities to provide them with the resources they need to thrive, and we invest in projects that increase sustainability, support job growth, develop talent, and spark innovation to strengthen the City’s competitive advantage. To learn more about our work and initiatives, please visit us on Facebook, Twitter, or Instagram.