Amazon’s Attention Raises Hopes, Fears for Long Island City’s Infrastructure



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With its waterfront views of the East River, proximity to Midtown Manhattan and ample space to develop residential high-rises, Long Island City has become the fastest-growing neighborhood in all of New York City.

But some longtime residents and elected officials say it could become a victim of its own success, especially if Amazon moves into the neighborhood.

The online retail giant has Long Island City on a shortlist of possible locations for one of its two new headquarters, according to people familiar with the selection process. But if Amazon plants its flag there, it would bring 25,000 new employees to the area, further straining local infrastructure.

The Citi building in the Long Island City section of Queens, where a swelling population is pressuring rents and real-estate prices.

The Citi building in the Long Island City section of Queens, where a swelling population is pressuring rents and real-estate prices.


Photo:

Kevin Hagen for The Wall Street Journal

The neighborhood’s school district is among the most overcrowded in the city. Its sewer system is over 100 years old, can’t handle the current population and occasionally overflows, according to city officials. Parts of Long Island City are also located in a hurricane evacuation zone, and streets and buildings flooded during superstorm Sandy in 2012.

About 60,000 people were living in the neighborhood in 2013, and the Long Island City Partnership, a local business advocacy group, forecasts that number to top 100,000 by 2021. The swelling population is pressuring rents and real-estate prices, and many residents fear displacement in an already expensive community.

“This is a community that is bursting at the seams,” said State Sen. Mike Gianaris, a Democrat who represents the neighborhood. “There are significant concerns about overdevelopment and gentrification.”

A 7 train leaves the Court Square subway station. Rush-hour commutes are often plagued by overcrowding and delays, residents say.

A 7 train leaves the Court Square subway station. Rush-hour commutes are often plagued by overcrowding and delays, residents say.


Photo:

Kevin Hagen for The Wall Street Journal

Long before it caught Amazon’s eye, Long Island City was an industrial hub for New York City. Its transition to a booming residential market began nearly two decades ago, according to Penny Lee, a former senior planner with the Department of City Planning who spent nearly 30 years focused on the area.

A portion of the neighborhood was rezoned in 2001 to encourage the building of millions of square feet of mixed-use buildings, with a focus on commercial space, according to Ms. Lee. Although some residential buildings were planned in Long Island City, officials at the time largely envisioned it as a commercial hub similar to lower Manhattan.

“Leading up to the zoning changes, when property owners and developers were coming in, they weren’t coming in to talk about zoning changes for housing,” Ms. Lee said.

But multiple factors, including the Sept. 11, 2001 attacks, slowed commercial construction. Developers with empty plots of land shifted toward residential construction, building tall glass towers and more than 16,800 new apartments since 2006.

‘We’ve been waiting for something like this to happen,’ said local restaurant owner Gianna Cerbone, of Amazon’s possible move to the neighborhood.

‘We’ve been waiting for something like this to happen,’ said local restaurant owner Gianna Cerbone, of Amazon’s possible move to the neighborhood.


Photo:

Kevin Hagen for The Wall Street Journal

“In 2001, we did not foresee 20,000 apartments,” said Ms. Lee, who now works as an independent city planner. “It does have implications on the infrastructure.”

Transit infrastructure is a top concern. The neighborhood has multiple subway lines, the Long Island Rail Road and two stops on the NYC Ferry service, but rush-hour commutes are often plagued by overcrowding and delays, residents say. Continuing signal upgrades on the 7 train could improve some of those issues, potentially allowing the Metropolitan Transportation Authority to run more trains.

“I think we have the resources available, but the concern is the current state of the infrastructure and what improvements need to be made and upgraded,” said Denise Keehan-Smith, chair of the local community board.

Last month, Mayor Bill de Blasio announced a $180 million investment in the neighborhood, with a focus on new sewers and schools.

Long Island City’s school district is among the most overcrowded in the city. Its sewer system is over 100 years old and occasionally overflows.

Long Island City’s school district is among the most overcrowded in the city. Its sewer system is over 100 years old and occasionally overflows.


Photo:

Kevin Hagen for The Wall Street Journal

City officials have been working for a long time on major improvements to the community unrelated to Amazon’s pitch, Mr. de Blasio said, adding that the opportunity for the new headquarters would be a boon to the entire city.

“Long Island City is going through a huge amount of development. We’re working with the community and the to make them work,” Mr. de Blasio said at an unrelated press event on Tuesday, referring to Jimmy Van Bramer, who represents the neighborhood in the New York City Council.

A spokesman for Amazon declined to comment.

While some fear overdevelopment, lifelong Long Island City resident Gianna P. Cerbone said Amazon would invigorate the area’s commercial district.

The 50-year-old restaurateur owns Manducatis Rustica, an Italian eatery on Vernon Blvd. Her parents opened the family’s first Long Island City restaurant, Manducatis, 48 years ago.

“We’ve been waiting for something like this to happen,” Ms. Cerbone said.

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