Judge values condemned Atlantic Avenue property at over $9 million
Issues surrounding the land along Prospect Heights’ Atlantic Avenue, including the land upon which the Barclays Center rests, continue to play out in court. Earlier this month, a judge valued at a portion of the property at approximately $9.2 million, opening the possibility for the development of a 12-story budget hotel.
The property at 730-40 Atlantic Avenue was condemned by New York State via the Empire State Development Corporation to make room for the Atlantic Yards Project. The surrounding property has been designated an M1-1 district—an industrial use zone that allows automotive uses—and a gas station was operating at 730 Atlantic Ave. until 2001. The property has since remained vacant. 730 Equity Corp took over the property and applied to have it rezoned as mixed commercial residential C6-2A with the goal of building a hotel on the grounds.
ESDC fought the rezoning asserting in its legal motions that the highest and best use of the property is “auto related use such as a gas station, parking lot, or garage.” The value of which was appraised by ESDC at $2,075,000. 730 Equity Corp disagreed and countered that if the property was rezoned as C6-2A, the property would easily be valued at $20,650,000.
Brooklyn Supreme Court Justice Wayne Saitta reviewed the respective appraiser reports and concluded that the true value of the property is closer to $9 million. Saitta reached this number by first discounting much of the information provided by ESDC’s appraiser.