The mortgage to a 3.5-acre piece of land in Flushing, in the midst of a foreclosure lawsuit, is expected to be sold within two weeks, officials said.
According to David Schechtman, executive managing director for Eastern Consolidated — who represents the lender and is supervising the sale of the defaulted mortgage — owners of the site, located on Janet and Roosevelt Avenues, did not pay the $37 million loan last December, so the bank sued for a foreclosure.
Schechtman said the bidding process for the land concluded last Friday, March 16, and he said offers are currently being reviewed.
“We’re pleased with the results. The market has demonstrated once again that the demand for both real estate and mortgages secured by real estate in Queens and Brooklyn remains incredibly strong,” he said.
Schechtman could not comment on the proposals in consideration.
However, Dian Yu, executive director of the Flushing Business Improvement District, said he hopes the New York City Economic Development Corporation (NYCEDC) will purchase the mortgage as part of the ongoing Willets Point Redevelopment project.
Plans to turn Willets Point into “New York’s next great neighborhood” — with retail and entertainment amenities, a hotel and convention center, mixed-income housing, public open space and community use — was announced by Mayor Michael Bloomberg in 2007.
Since then, the city has been able to acquire nearly 90 percent of the land, officials said.
“I think that would be great. Many people would agree that junkyards in Willets Point are an eyesore for the community. We want this place to develop and attract more business and more tourists to visit Downtown Flushing,” Yu said. “It’s really going to connect Downtown Flushing and Willets Point.”
Abs Flushing Development, the former property owner who bought the land in 2006, did not return calls for comment as of press time.