The elementary school courtyard, the public housing playground, the market-rate condo, and the backyard garage sale are part of a three-block neighborhood on the brink of transformation.
The diverse region from 97th to 100th Streets between Columbus and Amsterdam is nearing the end of the three-year construction of the Columbus Village development project, which involves building over 14 new retail spaces and five residential towers—one already penetrating the Upper West Side skyline.
The developers, Stellar Management in partnership with the Chetrit Group, purchased the entire seven-building Park West Village complex and commercial space in 2000, and since the fall of 2006 have overseen construction to take down and rebuild this area.
Three-and-a-half years after the first stone was laid, the neighborhood faces a definitively different economy, and as vacancies persist and increase two avenues west, uncertainty looms over the slow parade of new retailers making their new homes on Columbus Avenue.
New mix to the neighborhood fabric
“Welcome to the West Side. We have such a diverse group of people with such a wide variety of income levels,” Helen Rosenthal, chair of Community Board 7, said. “It makes this area such a desirable place.”
The wide range of demographics in this neighborhood will be appropriately matched by the assortment of retailers who have signed leases with Winick Realty, the broker for the development. From a small kosher bakery to the next installment of the Upper West Side’s procession of banks, the businesses and organizations moving in are eclectic in both their function and their target markets.
Whole Foods Market, TJ Maxx, Bank of America, the Solomon Schechter School, the Mandell School, Borders Bookstore, Modell’s, Duane Reade, Crumbs Bakery, Chase, Manhattan Bank, Associated Supermarkets, and Ryan Medical Center have all signed contracts for space in this development, said Kelly Gedinsky, one of the brokers for the project.
“We get calls every day, and we hear from every kind of business, sometimes people who even want to start their own businesses,” Gedinsky said of inquiries for the remaining 10 percent of the space that has not been leased, including one ”big-box,” 20,000-square-foot location at 805 Columbus Ave.
While Whole Foods Market is scheduled to open late this summer on the corner of 97th Street, “each of these buildings is on a slightly different timeline,” Gedinsky said.
According to Peter Rosenberg, director of development at Stellar Management, the entire retail project will be completed by the end of 2010.
“We tried to balance fairly large retail spaces with smaller uses that appeal to the neighborhood,” Rosenberg said of the deals they made.
Rosenberg added that although they are “not close with anybody right now,” the firm has spoken with a variety of retailers, including furniture, hardware, pet stores, apparel, and food services.
Many of the businesses moving in said they were excited about the opportunities of this neighborhood specifically and of the development at large.
“Each Whole Foods is unique to that neighborhood. They all have a different look and feel, and even different products,” said Fred Shank, Whole Foods spokesperson.
“We want to sell food to anyone who eats. Whether you are on a budget or not,” he added.
Shrank also noted that the incoming Whole Foods branch hopes to replicate the partnership the market has with New York University in Union Square, to become part of Columbia’s “college town.”
Some businesses said that the typically affluent demographics of the Upper West Side made the location an attractive place to open a new store. ``
“We look for places with homeownership and families with children,” said Thea Houghton, TJ Maxx spokesperson. “We generally go into middle-upper-class areas.”
Uri Cohen, director of development of the Solomon Schechter School, a Jewish private school currently located on the East Side, said that this new neighborhood—into which Solomon Schechter will be expanding its facilities—will be a good local fit.
“They are going to get an authentic Manhattan experience,” Cohen said. “They can use the surroundings as a case study, for economic development, urban planning, for example.”
Response to change
Area residents and community activists agree that there are both positive and negative implications of this large influx of retail.
“The neighborhood now is cut off from the northern end of Columbus,” said Peter Arndsten, executive director of the Columbus Amsterdam Business Improvement District. Arndsten said of the lack of commercial activity from 100th to 104th Streets, “it is a dead zone coming down that hill,” adding that this new development could help fill the gap.
“I think for residents, it is always helpful to have active street life, and with this thriving retail, I think it will be great,” said CB7 Chair Rosenthal.
Local Park West Village residents expressed cautious optimism. “It is New York City, what are you going to do?” said Trudy Oothout, PWV resident for 44 years. Oothout said she was looking forward to shopping at Whole Foods.
Developer Peter Rosenberg said that this retail influx was necessary for this street. “Take any 10-block stretch like this—there is nowhere with such little retail,” he said of the current lack of activity on Columbus.
Rosenberg added that there would be a huge employment opportunity for the community. “I know I have a stack of resumes on my desk of people interested in the building and the retail,” he said.
Frederick Douglass resident Daniel Rivera confirmed that this was the case. “I am excited. I am going to try to get a job there, and it would be great—right across the street from my home.”
Rivera added, “I mean I kind of hate big businesses, but I think it is actually really helping us.”
Existing businesses nearby said they were looking forward to the potential increase in foot traffic as a result of the incoming retail.
Dario Martinez, an employee at Maxine Cleaners on 97th and Columbus, which has been in the area for 15 years, said, “It will be great for business. More people will come here. I think it will really increase the flow.”
Some locals were less enthusiastic. “They don’t say ‘Whole Paycheck’ for nothing,” Park West Village resident Robert Dinkelmann said of the high prices he expects at Whole Foods.
Working together
The economic interests of the developers and local interests of the residents have not always overlapped, though representatives on both sides have agreed that their goals are not mutually exclusive.
Peter Arndsten of the BID said that he and other residents want a “small successful restaurant” to sign a lease, citing viable options such as Mama Mexico, Indian Café, and Café con Leche.
“We always think about what best fits in this place. You can’t put a square in a circle, and as much as the community would love a bar or a restaurant, there are certain things that prevent us from doing this,” said Gedinsky of Winick Realty, adding that zoning laws have made contracts with food services difficult to negotiate.
Local community groups said that they hope these new businesses will work actively with the community, and with one of the businesses, this relationship has already begun.
“Whole Foods has been a good neighbor even before they are here,” said Penny Ryan, district manager of CB7. CB7 Chair Rosenthal said she was particularly happy with Whole Foods’ plans for a “low cost food line” to serve neighborhood residents with lower incomes.
Lorraine Leong, Director of Community Relations and Advocacy of the affordable healthcare organization, the Ryan Center—which is located right across from the future Whole Foods loading dock—expressed concerns that vehicles passing through might pose a potential hazard to the center.
“I think there are ways for us to figure out how to work together,” Leong said. “Whole Foods is going to have social responsibilities.”
Leong explained that the Ryan Center will be opening its Women and Children’s Center and Mental Health Department in the new Columbus Village space on Amsterdam, and added that she would like to elicit support from the new businesses. She hopes Whole Foods will consider entering into a health partnership program with the center.
A different economy
“We began in a different economic climate, financing was much more readily available, and everyone had a rosier outlook,” developer Rosenberg said.
Despite minor concerns about the hard-hitting recession during a crucial period in his project’s progression, Rosenberg said, “I am extremely optimistic, I think that we have been aggressive about pricing our retail spaces to market and bringing in good and financially sound retail uses.”
Rosenberg was not overly concerned about the unsustainable commercial activity two avenues west. “I think that a lot of the landlords on Broadway maybe asked for much too much rent and let good, existing stores get away, when they probably should have had an eye towards renewing some of their existing tenants,” he said.
Many businesses admitted that their excitement to be a part of this development was clouded by fear of recession.
“We are moving ahead, though the job has certainly gotten harder,” said Cohen of Solomon Schechter.
Leong from the Ryan Center said that the new Columbus Village rent will become more of a burden to their budget. “I think it definitely poses more challenges for us, especially now that we are going to have this higher monthly expense,” she said.
“We are paying market rate. It is a sizeable increase,” Leong said.
Jason Bauer, CEO and President of all-kosher bakery Crumbs Bake Shop, said that though his business is up 25 percent, they were “growing out of March at a much greater pace,” at around 40 percent.
While opening a business with these kind of downward fluctuations can be disconcerting, he said that he was pleased that their numbers were still up.
Bauer also said that he foresees his business riding on the coattails of Whole Foods—a speculation he said he took into consideration when first signing the lease.
“We see Whole Foods as an anchor that will bring in a high volume of traffic and give us great exposure,” Bauer said.
Shank from Whole Foods said of the economic outlook, “We are watching every step, and controlling what we can control,” adding that they will be marketing more “value sets.”
Arndsten from the BID said he is uncertain about the future of this development with such a large, simultaneous flow of retail into one area. “It is going to need a strong draw to sustain the rents that they will charge,” he said.
Looking forward by looking back
Rewind five years to Columbus Avenue, pre-construction. In Central Park Café, on the corner of 97th street, locals are eating croissants and drinking coffee. The bodega next door is selling 25-cent bags of chips to fifth-graders from P.S. 163 around the corner. The rest of the block is covered by a Chinese takeout restaurant, a large discount retailer, and a C-Town supermarket.
Meanwhile, Tara Gill, owner of Tandoori Indian Restaurant, is preparing a platter of massaman curry. “Believe me, it was a very friendly neighborhood,” he said today.
Reflecting back, residents of this neighborhood agree that, for better or worse, their backyard has changed fundamentally.
“We were there for 12 years. I knew everyone,” said Gill, who opened a new restaurant on 94th Street after the development displaced him. “I would see people getting old, watch the young people start going to school. But one day we had to go.”
Some recalled traces of the old street with less enthusiasm. “I think the old area was a bit quieter,” CB7 Chair Rosenthal said, remembering the low foot traffic of the block.
“It was more homey, more comfortable,” Arndsten said. “It was little, low-rise brick buildings, with lots of windows facing Columbus and a maximum roofline of 20 feet.”
With the retail parade on its way and comparisons to Columbus Circle, which sports a Whole Foods and a Borders, one looming question remains: Will this development transform the area into a destination neighborhood?
Brenda Massy, PWV resident for 40 years, said, “The community has already changed so much. I have seen it transform from a semi-ghetto into something else quite different.”
Kyra Burstion, FDH resident said, “We like it. It is upgrading our neighborhood. It is changing our community, but definitely for the better.”
Fred Shank of Whole Foods said, “We are a destination shop for customers within the community and outside of the community.”
“I don’t think this is going to become a destination, but I do think you are going to see a lot more people from the rest of the Upper West Side,” Rosenberg speculated.
Ardnsten said he did not think the transformation would be on the scale of 59th Street, but he said the changes are here to stay. “It is a very different feel. It feels much more like an outdoor mall. Who knows, maybe I will be pleasantly surprised.”