Brooklyn was the focus of an event sponsored by the investment sales brokerage firm TerraCRG. Key themes of the day were Mayor Zohran Mamdani's rent freeze and the revitalisation of retail on Fulton Street. "The Only Brooklyn Real Estate Conference" took place at BRIC (formerly Brooklyn Information & Culture) at 647 Fulton Street in Downtown Brooklyn. The event opened with contributions from Brooklyn Borough President Antonio Reynoso and Deputy Mayor for Housing and Urban Development, Leila Bozorg.
In her keynote speech, Bozorg emphasised that the city is entering a new era of housing development. This is due to the accelerated Uniform Land Use Review Procedure (ULURP) being applied in twelve city council districts. Bozorg pointed out that over half of the city's tenants are considered "rent-burdened" as they spend more than 30 percent of their income on rent; a significant proportion even pay 50 percent. The impact of this crisis is heartbreaking, as people postpone dreams and starting families, homelessness increases, and families accept overcrowded or unsafe living conditions.
The Mamdani administration is addressing this problem with programmes such as "Block-by-Block: The Housing Plan for New Era". This plan includes a budget of $5.6 billion and aims to create 200,000 new affordable homes and preserve another 200,000.
Debate on the Rent Freeze and the Future of Multifamily Housing
The first of two panel discussions, "The Future of Brooklyn Multifamily", was moderated by Max Gross, editor-in-chief of Commercial Observer. Speakers included Jay Greenberg from Z+G Property Group, Rick Gropper from Camber Property Group, Matthew Cosentino from TerraCRG, and Peter Hungerford from PH Realty Capital. Mamdani's rent freeze, which came into effect on 1 October, was a central topic. Panellists expressed doubts about the legality of this decision by the Rent Guidelines Board, as it faces a lawsuit and significant negative impacts on the affordable housing market are feared.
Matthew Cosentino commented that if he were mayor and wanted to push such a measure, he would have manipulated it and proposed an increase of half a percentage point or one and a half percentage points. He believes that the rent freeze will be found illegal but will not have a large impact. He elaborated that even an increase of one percent, if one owns thousands of units, might be helpful. He added that even if the measure is declared illegal, the increase will not be significant enough to make a big difference.
Retail Revitalisation in Downtown Brooklyn
The second panel, "The Downtown Brooklyn Market Boom", was moderated by Andrew Barrocas from MNS Real Estate. Speakers included Jamie Anthony from Lonicera Partners, Jared Della Valle from Alloy, Albert Laboz from United American Land, and Dan Marks from TerraCRG. Albert Laboz spoke extensively about his 40 years of activity in Downtown Brooklyn, which is currently undergoing a retail revitalisation. A former Macy's building at 422 Fulton Street is being converted into a four-storey retail atrium. The 440,000 square foot entertainment complex will be known as BKX.
Laboz expressed the view that the development will be a catalyst for change on Fulton Street. He stressed that he could immediately attract tenants like T.J. Maxx or Ross Dress for Less for spaces. These are good tenants whom he would place in any other location, but not in this specific spot, as he is pursuing a different strategic direction here.
- —422 Fulton Street
- —647 Fulton Street
- —Zohran Mamdani
- —Leila Bozorg
