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The Albee Square Mall has been sold for $125 million, and the new owners plan to tear it down to build 1,000 rental units -- 20 percent of which would be for tenants of moderate income. Underneath this giant apartment complex, which will become one of the tallest buildings in Brooklyn, will sit three stories of office space and four stories of new retail. The plans call for a million square feet of retail space, up from 50,000; and about 125,000 square feet of Class A office space.

All of this can be done as of right, thanks to the comprehensive downtown Brooklyn upzoning passed by the city council in 2004. The city’s Industrial Development Agency is expected to approve $3.2 million in tax breaks related to the sale for the new owners, a coalition including a nationally prominent firm, MacFarlane Partners of San Francisco. The project, to be known as the Center at Albee Square, still must go through several layers of government approval, but the new zoning allows more than 1 million square feet of development on the site. The city owns the land under the mall and a tentative deal calls for the new owners to pay $28 million in rent over the next four years.

While the city promises that the development will provide hundreds of jobs and affordable housing, opponents are fearful that a "big-box chain" such as Wal-Mart might enter the retail section of the development and further question the use of subsidies on the valuable piece of land.

Deconstruction Begins at Albee Square Mall

Demolition of the parking garage has begun on the former site of the Albee Square Mall. A new mixed-use high rise tower is slated for the site. Development rights were obtained by Acadia Realty Trust, P/A Associates and MacFarlane Partners from Thor Equities at the beginning of the year.

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Another Target for Brooklyn

The newest Target in Brooklyn is scheduled to be built by 2011 in City Point, the tower in Downtown Brooklyn that will be built on the site of the former Albee Square Mall. City Point is expected to house residential, commercial and office space. Brooklyn Borough President Marty Markowitz says he is "working tirelessly to create a 2-4/7 downtown Brooklyn" and new retail is a good indicator of the progress that is being made.

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Downtown Brooklyn to Get New Park

The Economic Development Corporation has begun accepting proposals for a developer to build a new park in downtown Brooklyn with underground parking. The space is to be modeled after Bryant Park, with no playing fields but plenty of public seating. The park will border the former Albee Square Mall.

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Rezoning Sparks Downtown Brooklyn's Residential Boom

Thanks to the recent rezoning, over 7,000 residential units are the in planning stages or under construction in downtown Brooklyn, not including the nearby Atlantic Yards proposal — which calls for eight million square feet of high-rise housing, office space and a basketball arena on 22 acres. With nearly a dozen subway connections, close proximity to local attractions and relatively low housing prices, this once marginal community is on the verge of becoming a truly “24 hour neighborhood.”

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Borough President Promotes Tourism in Brooklyn

Speaking to joint community councils in southwestern Brooklyn, Borough President Marty Markowitz intimated that the major chain grocer Trader Joe's would come to Brooklyn in the near future. He also commented upon Brooklyn's increasing attraction to tourists because of the development plans occurring throughout the borough. In particular, Markowitz praised the new plans for Coney Island saying, "We want to preserve it for this and future generations." The president believes that adding a mix of retail, residential housing, commercial, and time-share space will achieve that objective. Markowitz also touted the entrance of an Ikea store in Red Hook, a Whole Foods Market in Gowanus, the redevelopment of the Albee Square Mall, and the Atlantic Yards Plan.

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Brooklyn Mall to be Replaced by Mixed-Use Tower

After purchasing Albee Square Mall last week, it appears that new owners have a plan to tear down the three-story structure to build rental units. The apartment tower will be built on top of several stories of both retail and office space, making it one of the tallest buildings in Brooklyn. The scale of the new building is possible after the upzoning of downtown Brooklyn in 2004. The new owners will also receive about $1.8 million in city tax subsidies through both sales tax exemptions and a mortgage tax waiver. The EDC supports the new development in the hopes that it will bring many new jobs, offices, and living space to the area. Critics do not feel that the developer should be receiving all of the subsidies, as they are already benefiting from the rezoning. Others are just happy that this means WalMart will no longer be able to move onto the premises.

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Mall Sold in Downtown Brooklyn

Developer Thor Equities sold the Albee Square Mall in Downtown Brooklyn this week for nearly $125 million. The property consists of two parts, a retail area of the Fulton Street Mall where Dekalb Avenue and Fulton Street intersect and a parking lot along Willoughby Street. Three years after a rezoning in Downtown Brooklyn that allows for more commercial space, the City hopes that the property will attract a mix of commercial, residential, and retail uses to the area.

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Wal-Mart May Be Considering Move to Fulton Mall

Wal-Mart may be considering the possibility of opening up a location in the proposed Albee Square tower. Plans have proposed tearing down the current Gallery and building a large mixed-use tower with office space, 800 apartments, and ground-floor retail space that could be a potential Wal-Mart site. So far Wal-Mart has met strong opposition from environmental and labor groups in its attempts to open up a New York City location.

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Developer Buys Storefronts near Fulton Mall

Developer Gregg Wolpert has purchased three properties on Lawrence Street between Fulton and Willoughby streets for $10.75 million. The developer’s hope is to expand the site. Some fear that Wolpert’s intention is to build residential condominiums, a possibility enabled by the 2004 rezoning of Downtown Brooklyn to accommodate more office space. The transaction leads some to believe that the expansion will rival the development of Atlantic Yards.

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