Durst Advises Halt to Completion of Halletts Point Development

In a recent development, The Durst Organization has announced a pause on the final phase of its Halletts Point project in Queens. The decision comes as a response to challenges they advised are posed by the newly introduced 485-x tax incentive. According to Durst, the requirements for higher wages for construction workers and an increased quota of affordably priced homes make the project financially unfeasible under this new framework.

The project was initially planned to add three residential buildings with a total of 870 units, 25% of which were to be affordably priced under the previously effective 421-a tax incentive. However, this incentive expired in 2022 and was replaced by the 485-x, which has significantly altered the economic landscape for new developments.

Durst has expressed that development will not resume until a more favorable tax incentive is implemented. This development hiatus highlights possible broader implications of state policy changes on the real estate sector and underscores the uncertainty facing such large-scale projects.

As members of the Old Astoria Neighborhood Association (OANA), we are committed to seeing the proposed developments on the peninsula come to fruition, enhancing Halletts as a vibrant destination for all New Yorkers. After 14 years of periodic delays since the original 2010 zoning approvals, it’s clear that Western Queens has not yet reached its potential. We call on city, state, residents, and developers to engage in dialogue aimed at finding mutually beneficial solutions that will allow the neighborhood to develop and mature.

While it is up for debate whether these new tax incentives are too burdensome, OANA remains neutral on the validity of the developers’ stance. Our focus is to end the ongoing delays and promote the creation of a community that meets the housing market’s needs, keeps costs manageable while providing a quality of life unequaled in NYC for all of our diverse residents.