Development project falls in an opportunity zone
Goldman Sachs’Urban Investment Group (UIG) has provided the Gotham Organization with $83 million in financing for their massive apartment complex on the LIC waterfront, according to Bloomberg. The city chose Gotham and local nonprofit RiseBoro Community Partnership to develop Hunter’s Point South at 57th Avenue and Second Street last year.
Worth Noting: Upon completion, the affordable housing complex will consist of 1,120 units, and a retail component. About 80 percent of the apartments are earmarked as affordable for people earning between 30 percent and 145 percent of the area median income (AMI). The project will cost around $500 million.
Why it matters: Since the site falls in an opportunity zone, UIG will satiate investors’ demands for such opportunities. With this deal, Goldman also gained an equity stake in the project.