How transit-oriented developments are helping Long Island downtowns thrive

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The dearth of available housing has had a noticeable effect in local communities, where many share concern about the exodus of young working-age people leading to economic decline.

According to a 2019 report from the Long Island Community Foundation, 55% of Long Island residents aged 20 to 34 live with their parents or other older relatives. The same report also states that an average Long Island household spends 23% of income on transportation costs, due in large part to the scarcity of rental housing options that are close to work, which increases reliance on cars.

“Long Island’s new housing production has failed to meet demand,” says developer Greg DeRosa, founder of G2D Group in Halesite. “We are certainly at a tipping point, and if this trend continues, we will continue to lose more young professionals. This will lead to higher property taxes and lower home valuations.”

To help stem the tide of fleeing working-age residents, G2D Group has built transit-oriented developments, (or TODs) on Long Island, including Station One in Riverhead and Gateway Plaza in Huntington Station. With additional projects in other areas as well, these buildings offer upscale, modern apartments along with enticing perks such as co-working spaces and cafes.

While TODs support a diverse population of residents, their marketing is often aimed at young people, who tend to be critically affected by short supply of rentals.

“Our current housing stock was built for a different demographic,” says Kelley Heck, executive vice president of development for Tritec Real Estate in East Setauket. The firm has gone all-in on transit-oriented development locally, with a portfolio that counts projects in Patchogue, Lindenhurst, Port Jefferson and Ronkonkoma among its successes.

“TODs create an environment that is beautiful and accessible, without the monetary hurdles associated with home ownership,” Heck says.

Rental developments close to transit also address the housing shortage in a way that promotes smart growth by offering a sustainable model for planning that fits the current needs of communities, explains Heck. “A vibrant neighborhood center near downtown or with an active ground level facilitates social interaction and creates a sense of place,” she says.

Heck also acknowledges that the approach to housing in our communities is in need of updating to address today’s environment. “Long Island has beautiful scenic landscapes, but our development history has created significant suburban sprawl,” she says. “TODs allow us to protect Long Island’s remaining open space without sacrificing the ability to grow as a region.”

Anthony Bartone, managing partner at Terwiliger & Bartone Properties in Farmingdale, also sees transit hubs as prime redevelopment opportunities. “Many times, the train station is the gateway into a town or village,” he says, “and a vibrant, walkable mixed-use or residential development creates that environment.”

Bartone believes that building rental housing is imperative for healthy communities. “Long Island only offers about 20% of its housing stock as professionally managed rental,” he says. “Our next generation wants to live in a downtown where they can walk and use mass transit for either work or recreation, and TOD creates this housing option.”

Terwiliger & Bartone has built two successful TOD projects in Farmingdale and Lynbrook, with more to follow in Westbury, Kings Park and Hicksville.

The housing that TODs provide is tailored to the needs of modern young professionals, according to Heck, who lists pools, rooftop decks, fitness centers and sleek lounges as just a portion of the extensive amenities offered at two of their developments on Long Island. “In both projects, the surrounding downtown and transit options are some of the greatest amenities these projects offer,” she says.

It isn’t only renters who enjoy the benefits of transit-oriented developments, however, since TODs are also a win for their surrounding communities and local merchants.

“TODs benefit downtowns because they create foot traffic, make downtowns safer, and eliminate the need for patrons to rely on cars to visit local shops and restaurants,” says DeRosa. “They also provide different housing options, which is critical to Long Island’s future.”

Bartone also touts the increase in business TODs bring to merchants in their communities. “Introducing residents directly into the downtown area creates vibrancy, which is palpable when you visit successful downtowns,” he says.

Heck agrees that location is a key factor. “When it comes to everyday consumer purchases necessary to sustain our lives and lifestyles, proximity is often the essential consideration involved in a consumer’s decision to patronize a merchant,” she says.

Still, TOD projects often face challenges on Long Island. According to developers, the permit process is tedious, there are often obstacles due to zoning and coordinating infrastructure can sometimes be cost-prohibitive.

Often, they also face public opposition, even given the positive effects TODs have been shown to have on communities. Bartone believes this can be overcome by educating residents about the real impact of transit-oriented development. “The spread of misinformation is the biggest challenge,” he says. “We encourage everyone to get involved and learn the facts of what TOD offers a community, and once they do we find that opposition tends to be far less.”