By David Cruz 

The Norwood News has learned rents have doubled for small business owners just across from the Kingsbridge Armory, in a move that’s considered a first major push to weed out retailers on the eve of the Armory’s redevelopment. The move foreshadows a possible trend in the working class neighborhood that could see an exodus of existing retail tenants.

Retailers at over a dozen diners, stores and other retail establishments were sent a letter by New Kingsbridge LLC informing them that rents will double come August 1. The news has stunned many business owners in the working class community, unsure of their future at this point. For the past few years, many have been without a lease.

It’s news that’s hurt George Vangelatos, the owner of New Capitol Restaurant, a diner at the southwest corner of Jerome Avenue and Kingsbridge Road. He learned of the high rent after a phone call from a real estate owner.

“He says we’re gonna double your rent,” said Vangelatos, whose rent will go from $7500 to just over $14000 a month. It’s now unclear whether he intends to leave.

A few doors down Gene Bass, the owner of Forever Young Health Food, sees this as an early sign of gentrification.

“It’s frustrating. You don’t know if you’re coming or going,” said Bass, who feels as though it’s a type of legal eviction. “I’m seeing a lot of vacant stores on Kingsbridge.”

The timeframe–given only three weeks before August 1–is unfair, according to Bass, who’s owned her boutique store for 23 years. “That’s just giving us three weeks to increase our rent, make a decision, get out, stay. This is really horrible. And these are families trying to stay.”

Daisy Discount Stores by University Avenue and Kingsbridge Road is gone. A local liquor shop has also closed up following the announcement of the Armory’s redevelopment.

Remaining Bullish On The Neighborhood
The new management company of the property is First New Kingsbridge LLC, an offshoot firm belonging to Yonkers-based Levites Realty Management, a major real estate player in the Bronx. The firm was extended the lease by Kambia Real Estate and Hios Real Estate, with a combined mortgage of just over $3 million, according to records from the city Department of Finance. Levites has the option of becoming a full-blown owner in the next couple of years.

No sooner that First New Kingsbridge LLC purchased the property that it began advertising while forwarding letters to established owners. On LoopNet, a real estate website, Levites listed the leasing price as $100 per square foot should new retail merchants sign a one-year lease. The maximum floor space per new tenant would be 1000 square feet.

A representative for Levites did not return repeated calls as of press time, as neither did the attorneys representing Levites.

The price change adds further proof of major interest along the Kingsbridge corridor, a community where the median income stands at just under $33,000, according to data from the US Census Bureau. The neighborhood is primed for major changes following the development of the Kingsbridge Armory. The project, considered one of the biggest in the Bronx, has become part of the new narrative for the re-surging Bronx, with borough politicians utilizing the development as part of its talking points.

Members of Community Board 7 are expected to meet with impacted merchants next week, hashing out other alternative sites for them in the future.

“We care and are there to support,” said Adaline Walker-Santiago, chairwoman of Community Board 7.