The wheels are in motion for Tavros Capital and Charney Companies’ long-gestating Long Island City development, but not without the entrance of another prominent developer.
Tavros and Charney landed $525 million in construction financing for their joint venture project at 24-19 Jackson Avenue in Long Island City, Queens, the Commercial Observer reported. The financing will allow the partners to move ahead on the 600-unit condominium in Long Island City’s Court Square neighborhood.
Madison Realty Capital provided a $425 million loan for the 55-story project. The rest of the financing came via a preferred equity investment from Kushner Companies and its capital partner, OneIm.
“They immediately saw the value, and they immediately saw the incredible opportunity,” Tavros’ Nicholas Silvers told the Observer, regarding the investment from Kushner; the primary joint venture already brought in Incoco Capital as an equity partner three years ago.
A Greystone Capital Advisors team led by Drew Fletcher, Paul Fried and Bryan Grover arranged the financing.
Tavros, Charney and Incoco closed on the long-stalled development site in the summer of 2022, paying $68.3 million for the site from Japanese hotel operator Toyoko Inn. The hotel owner spent $26 million cobbling together the assemblage between 2007 and 2014 before filing plans for a 50-story, 1,200-key hotel. The project, however, was ultimately doomed, in part due to a City Council measure to require special permits to build hotels.
Tavros and Charney already owned a neighboring parcel at 45-03 23rd Street, building the bones of a development that could span 900,000 square feet.
The development will include 80,000 square feet of retail space, which has already been pre-leased to Chelsea Piers Fitness and Whole Foods. Community amenities have not been announced, but it’s hard to imagine there won’t be any bells and whistles.
The project will break ground this month. Delivery is expected in the spring of 2028.
— Holden Walter-Warner
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