The $77-million redevelopment is just a few blocks from the famed Coney Island Boardwalk. Last year, the city formed the Coney Island Development Corp. to create a plan to diversify the area and transform it into a year-round locale. Last month, the city sold a 25,900-sf lot that will be combined with two adjacent ones to become a Staples. The redevelopment also builds upon other recent economic initiatives such as the construction of the Keyspan Park minor league baseball stadium and the renovation of the boardwalk and Stillwell Avenue subway terminal.

Woodmere-based Arker and Related Capital will act as co-developers on the revitalization with Related and its affiliate, PW Funding Inc., providing the debt and equity financing. Arker, which has a concentration of affordable-housing developments in Harlem and East New York, will also serve as general contractor. Sea Park, originally constructed between 1973 and 1974, was part of the Mitchell-Lama program created by the state in the mid-50s as a means of providing affordable rental and cooperative housing to moderate- and middle-income families.

"Coney Island is experiencing a dramatic renaissance but affordable housing has not kept pace," says Patrick Martin, managing director of Related Capital. "This redevelopment will play a critical role in revitalizing the area." Arker principal Allan Arker adds, "Coney Island is densely populated, and the strong demand for housing coupled with a limited supply has led to few vacancies and high costs."