Business
H&R Real Estate Investment Trust and Tishman Speyer Acquire Parcel for 1.2 Million Square Feet Mixed-Use Development in Long Island City, New York
TORONTO , June 16, 2014 /CNW/ - H&R Real Estate Investment Trust ("H&R") (TS...
About this update from H&r Real Estate Investment Trust
[{"type":"text","content":"\n\nTORONTO, June 16, 2014 /CNW/ - H&R Real Estate Investment Trust (\"H&R\") (TSX: HR.UN; HR.DB.D; HR.DB.E and HR.DB.H) announced today that it has agreed to participate as a 50% joint venture partner, with Tishman Speyer, in developing a landmark luxury residential rental development (the \"Project\") in Long Island City, New York.  Tishman Speyer will act as the developer and manager of the Project.\n\nThe parcel is zoned for 1.2 million square feet of mixed-used development, potentially accommodating up to approximately 1,600 rental units and approximately 30,000 square feet of retail space developed in three phases.  The site is located adjacent to 2 Gotham Center, a fully-leased, state-of-the-art, 670,000 square foot office tower that was developed by Tishman Speyer in 2011 and acquired by H&R later that same year. \n\nIn the initial phase of the new development, H&R and Tishman Speyer plan to construct a 42-storey tower, which will include 700 rental apartment units.  Construction is expected to begin in 2015 with occupancy expected to commence in 2017. \n\nH&R's share of the total land cost is US $55.6 million which was at a substantial discount to appraised value. Tishman Speyer has had an interest in its share of the land since 2003.  The total Project cost of all phases at the 100% level is expected to be approximately US $875 million.‎\n\nLong Island City has experienced remarkable growth, and will continue to be a highly sought after destination across New York.  The neighborhood's waterfront parks, popular restaurants and cafes, and a notable array of art and sculpture museums have made it one of the fastest growing mixed-use communities in New York City.  \n\nThe site, which offers sweeping views of the East River and New York City's iconic skyline, also benefits from immediate access to 8 subway lines and is a 5-minute commute to Midtown Manhattan.  Outstanding bus service, as well as easy access to the Ed Koch Queensboro Bridge, the Long Island Expressway and a Long Island Railroad station, add to the site's exceptional connectivity to Manhattan and the region.\n\n\"We are excited at the opportunity to participate with Tishman Speyer in the long-term growth and evolution of Long Island City,  at the intersection of two of the area's most imp...