The state of Bayside commercial development

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Bayside has seen a flat year over year in terms of property sale volume.  UnlikeFlushing, Bayside has yet to see some of its several larger stalled construction sites come to fruition.  There are still a handful of vacant land locations on Northern Boulevard which were purchased between 2005 thru 2008 that have seen no movement and will probably not move forward in the foreseeable future.  The disparity between acquisition cost back then and current day end value after project completion is too great that most owners of these development sites have been flirting with mortgage delinquency and a struggle with their respective banks to renegotiate the debt.  These issues will eventually be solved but we should see another year or two of stagnation.

The Bell Boulevard corridor has seen four sales this year ranging between $450 to $550 per sq. foot  and all under the $2 million mark.  This pricing has been in-line with the past three years of sales for this area.  Retail rental rates have also seemed to stabilize ranging from $25 to $45 per sq. foot depending on the block.  The amount of vacancies has been cut in half to about 5 percent for most of the retail sections of Bayside.  The slim Bayside office market has been stable with rents in the $20 – $25 per sq. foot range.  And for the second year in a row, there was a complete lack of multi-family sales as none traded in this past year of 2011.