The $1.5 billion Hallets Point project broke ground last month promising Astoria a new mini-neighborhood with 2,000 apartments — 483 of them affordable — along with a supermarket, school and waterfront esplanade to rise over the next 7 years.
A day later, key pieces of the project stalled.
With the expiration of the state’s 421-a tax abatement program the day after the Hallets Point groundbreaking, the project’s developer, the Durst Organization, said it would cost too much to build.
“Without a new 421-a or a replacement program, we can't continue with the project. Nothing can be done,” Durst Organization spokesman Jordan Barowitz said. “Without the abatement, the economics for the project collapse and we couldn’t get a construction loan.”
The first building in the multi-phase project started construction before the tax abatement program expired, so that component — which will include roughly 400 units with more than 80 affordable units, as well as the supermarket — will move forward as planned, Barowitz said.