Harrison Adaptive Reuse Project in Line for Nearly $6.6M in Incentives

John Jordan | November 26, 2019

A vacant office building will be demolished to make way for a new 45-unit apartment property at 3 Westchester Park Drive in Harrison.

WHITE PLAINS—A developer that is seeking to redevelop a vacant office building into a 450-unit rental apartment complex secured a preliminary inducement of $6.57 million in mortgage and sales tax exemptions from the Westchester County Industrial Development Agency.

The Westchester IDA granted the incentive package to 3 WPD Apartments LLC, an affiliate of Marcus Partners Inc. and Trammel Crow Residential, at the agency’s session held on Nov. 21.

The Marcus-Trammel Crow partnership’s $195-million project involves the demolition of a 160,000-square-foot vacant office building at 3 Westchester Park Drive. The developer will then replace it with a five-story, two-building rental apartment complex. A total of 5% of the apartments would be affordable to those making 80% of AMI.

The project would include 6,000 square feet of retail/local service space and fully enclosed parking with electric charging stations. The project will also include a shuttle service to the White Plains train station. There will be a half-mile walking trail around the 10-acre property. The project is expected to break ground in the summer of 2020 with occupancy in the first quarter of 2022.

The development is projected to create 150 construction jobs and eight permanent jobs. The developer is seeking a sales tax exemption of $5,402,000 and mortgage tax exemption of $1,168,000 from the IDA.

“The IDA is very pleased to provide financial incentives for this exciting project that is helping to transform a vacant office building along the I-287 corridor into a new residential development. The continued repurposing of Westchester’s office parks is adding new vitality to the county’s economy, creating jobs, housing and retail uses,” said Westchester County Office of Economic Development Director Bridget Gibbons.

The property is in the same office park as the Life Time Athletic facility and is near the new Wegman’s Food Markets under construction on Corporate Park Drive. Earlier this year, the IDA approved financial incentives for Simone Healthcare Development for the repurposing of a vacant office building on Corporate Park Drive in Harrison into a new pediatric specialty care center to be leased to Montefiore Health System.

John Jordan
Editor, Real Estate In-Depth