$17 million downtown Troy apartment complex will be built:
https://www.bizjournals.com/albany/n...s-landing.html
"It took two years, lots of design changes and overcoming other obstacles, but Cosmo Marifone cleared the last hurdle to build a $17 million market-rate apartment complex in downtown Troy.
"I feel good about it," said Marfione, managing partner at The BDC Group. "It's unfortunate it took so long to get to it, and now there's higher interest rate costs, but we feel some of the commodity prices have come down a little bit, such as lumber. That will compensate for some of the higher interest."
The Troy Industrial Development Authority on Thursday approved tax incentives that will offset the development costs for the 52-unit apartment complex, Kings Landing II, that will be built near the Green Island Bridge.
The location at the corner of Federal Street and Fifth Avenue is about a block away from the first phase of Kings Landing — also a 52-unit complex called Incite at Troy.
The new five-story building will incorporate three existing two- and three-story buildings on Fifth Avenue. A garage will be demolished and replaced with a three-story building.
The variation in the roof lines on the Fifth Avenue side of the development was the result of a series of design changes after some residents and city planners objected to the size of the new apartment building compared to existing row houses on the street.
Other features include a 600-square-foot commercial space with patio seating, indoor and outdoor parking and a rooftop terrace.
The Troy Planning Commission approve the site plan last September.
Demolition will start within the next month, and construction in the fall. The apartments are expected to be ready in 16 to 18 months. BDC Builders is the general contractor.
Rents will range from $1,500 to $3,000.
Marfione is anticipating tenants will include young professionals, baby boomers who want to downsize and college students. Many of the tenants at Incite at Troy are college students.
Kings Landing II joins a growing number of other new market-rate apartments in downtown Troy.
Across the street, for instance, Jankow Cos. is converting a vacant three-story office building into 43 apartments and commercial space.
And, a short walk over the Green Island Bridge is Starbuck Island, a large mixed-use upscale development by Luizzi Cos. on what was previously a polluted industrial site along the Hudson River.
"We love what they're doing with the redesign of Federal Street," Marfione said, referring to roundabouts that might be installed to slow traffic and improve pedestrian safety. "We believe our building would contribute to the walkability and trying to connect downtown Troy to areas north of Federal Street."
The IDA incentives include sales tax exemptions, a mortgage recording tax exemption and a 20-year payment-in-lieu-of-taxes arrangement (PILOT).
The estimated PILOT payments total $2.41 million, which is $3.8 million less than what would have been owed if the apartments were assessed at the full value for 20 years.
Even with the reduction, the city, county and school district will collect significantly more taxes over the term of the PILOT.
The six parcels on Fifth Avenue, Bridge Avenue and Federal Street now generate just under $30,000 annually in combined taxes for all three jurisdictions."
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