GSA Sells Former Federal Warehouse To NYC Economic Development Corporation

News Release
Northeast and Caribbean Region


August 15, 2011

GSA Sells Former Federal Warehouse To NYC Economic Development Corporation

NEW YORK CITY - The U.S. General Services Administration today announced the successful sale of Federal Building #2 in Sunset Park, Brooklyn to the New York City Economic Development Corporation (NYCEDC). The formal closing took place early this afternoon in NYCEDC's offices in lower Manhattan. The New York City Economic Development Corporation concurrently closed its sale of the building with Salmar Properties, who will redevelop the 1.1 million square foot warehouse building into a state-of-the-art industrial center.

In May 2011, NYCEDC announced that it had selected Salmar Properties to develop the site which is located in the Southwest Brooklyn Industrial Business Zone, across from the South Brooklyn Marine Terminal. The project is expected to create 1,300 permanent jobs and 400 construction jobs.

"By successfully disposing of this warehouse building GSA is supporting President Obama’s mission to achieve fiscal responsibility for our nation and to operate a federal property portfolio that is effective, efficient and saves taxpayer dollars. With the sale of this building, GSA has not only enabled an underutilized federal property to be removed from the federal inventory, but has also provided a great opportunity for an exciting redevelopment of the building that will help drive an economic engine in the local area," said GSA Regional Administrator Denise L. Pease.

“Today marks another important step forward in the reinvention of Federal Building #2 into a state-of-the-art industrial center,” said New York City Economic Development Corporation President Seth W. Pinsky. “When the redevelopment is complete, this site will sustain over one thousand good paying permanent jobs, and serve as a shining example of how Sunset Park and other waterfront industrial areas can once again thrive.”

“The successful transfer of this building begins the process of job creation primarily through a large light manufacturing facility that can serve as a model for urban industrial renewal and community development,” said Rep. Nydia M. Velázquez (D-NY). “Sunset Park, where the building sits, has a large diverse immigrant walk-to-work community where such opportunities are essential. This project will generate stable, good-paying industrial jobs critical to our city’s economic health.”

“Today’s successful sale marks a critical step in remaking what was a dormant property on Sunset Park’s waterfront into a manufacturing hub,” said Rep. Jerrold Nadler (D-NY). “This project will bring much-needed industrial jobs and economic development to Brooklyn’s waterfront, and I am very glad that Congresswoman Velázquez and I were able to help make this a reality.”

“By creating over a thousand new jobs and helping revive New York’s long-suffering industrial sector and the Brooklyn waterfront, this cutting edge industrial center is a huge win for New Yorkers and the local economy,” said Sen. Charles Schumer (D-NY). “Taking this property off the hands of the federal government so EDC can use it more effectively is a great example of the innovative thinking we are going to need to create jobs and get our economy back on track.”

Federal Building #2 was built as a warehouse for the Department of the Navy in 1916. This WWI-era building was originally part of an extensive Navy operation in Brooklyn and has served largely as a warehouse for the federal government. Last year the building was featured on a White House web-blog as an example of one of the many federal properties the government was working to dispose of. The federal government received $10 million for the property through this negotiated sale to the NYCEDC.

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About the NYCEDC:
The New York City Economic Development Corporation is the City's primary vehicle for promoting economic growth in each of the five boroughs. NYCEDC's mission is to stimulate growth through expansion and redevelopment programs that encourage investment, generate prosperity and strengthen the City's competitive position. NYCEDC serves as an advocate to the business community by building relationships with companies that allow them to take advantage of New York City's many opportunities. Find the NYCEDC on Facebook to learn more about NYCEDC projects and initiatives.

About the U.S. General Services Administration:
As the federal government's workplace solutions provider, the U.S. General Services Administration works to foster an effective, sustainable and transparent government for the American people. GSA’s expertise in government workplace solutions include:

  • Effective management of government assets including more than 9,600 government-owned or leased buildings and 215,000 vehicles in the federal fleet, and preservation of historic federal properties;
  • Leveraging the government’s buying power through responsible acquisition of products and services making up approximately 14 percent of the government’s total procurement dollars;
  • Providing innovative technology solutions to enhance government efficiency and increase citizen engagement; and,
  • Promoting responsible use of federal resources through development of government wide policies ranging from federal travel to property and management practices.

For more information about GSA and the agency’s programs, visit www.gsa.gov.

 

Last Reviewed 2016-04-08