A rendering of the new mixed-use complex to be built on the corner of Main Street and North Country Road in Port Jefferrson. Photo from The Gitto Group
The Gitto Group is one step closer to starting the construction on its latest project in Upper Port.
Vice President Rob Gitto said that earlier this month the group received approval from the Village of Port Jefferson and the Town of Brookhaven Industrial Development Agency to finally close on an economic development package that will assist as the developer constructs a mixed-use project on the corner of Main Street and North Country Road. Gitto said the complex will include 36 rental units and two retail spaces below. It is to be located where the PJ Lobster House originally stood, as well as a former florist shop.
“We’re excited to have another project in the village,” Gitto said. “It’s a very important corner and we’re looking forward to building a nice product.”
The Gitto Group has built another development uptown, The Hills at Port Jefferson Village, which has been at a steady full capacity since opening. These projects are part of the continuous plan to revitalize Upper Port.
According to the IDA, Port Development, an affiliate of The Gitto Group, plans to demolish the two buildings, 4,400 square feet and 1,800 square feet respectively, and replace them with a three-story building totaling 48,660 square feet, spending $15 million to replace the now-vacant buildings.
The complex will have 32 one-bedroom apartments of approximately 750-850 square feet each and four two-bedroom units of about 1,200 square feet.
Resident amenities will include a fitness room, lobby and lounge spaces, an indoor garage, and a private outdoor patio and lawn/garden area.
The ground level of the proposed building, within walking distance of the LIRR’s Port Jefferson station, will include 1,800 square feet of commercial/retail space.
“There is currently a high demand for rental housing in the Town of Brookhaven and the Port Jefferson area and this project will add to the supply,” said Frederick C. Braun III, chairman of the Brookhaven IDA. “Also, this development will make a positive, long-term economic impact on the village and further the revitalization of Upper Port.”
The project is expected to generate 133 construction jobs and five full-time equivalent permanent jobs. Construction is expected to take 18 months.
Gitto added that people will begin to see more movement on the property now that approvals have been secured.
“We are starting the preliminary work,” he said. “We’re getting ready for demolition but we won’t be able to start construction until March.”
With the revitalization of Upper Port along with the changes downtown, people are choosing to downsize in Port Jefferson or start up their lives in the new Port Jefferson apartments.
Rob Gitto, vice president of The Gitto Group, said that his sites — and other places developed by Tritec Real Estate (The Shipyard), Conifer Realty (Port Jefferson Crossing) and The Northwind Group (Overbay) — are here to help people.
“That’s one of the big things,” he said. “That we’re trying to keep people here instead of moving off of Long Island.”
The Gitto Group currently has three locations between Upper and Lower Port: The Hills at Port Jefferson, The Barnum House and the recent The Brookport.
In September, The Brookport officially opened at 52 Barnum Ave. — the former Cappy’s Carpets — featuring 44 apartments that were 100% leased. The building is mixed-use and will soon be home to Southdown Coffee on the lower level.
“By having these walkable apartment complexes, we’re helping the stores and the restaurants by bringing more people into the village without a strain on the parking,” Gitto said. “To me, that seems like a win-win.”
Photo from The Gitto Group
He said he knows the concern about parking, but his buildings — and those of other developers — have created their own spaces on premise that don’t interfere with the traffic within the village. In fact, he said, he knows many of his tenants are taking advantage of all Port Jeff village has to offer.
“I know that I have at least two tenants here that are taking tennis lessons at the country club,” he said. “They’ve already been here a couple months and are trying to become part of the community.”
Many of those tenants — across all three of his locations — either chose Port Jefferson to establish their roots or had a home in the area and decided to stay but downsize as empty nesters.
“I can’t tell you how many tenants we’ve had, especially in The Barnum House, that moved here with a significant other or met someone while they were here, got married and had a child or children,” he said. “As they got older, they grew out of the apartment, but they fell in love with the community and became part of the community, so they ended up buying a condo, a townhouse or a home here.”
Gitto said they are filling a need that was never met in the community — giving people the opportunity to start up or slow down.
The Barnum House, which opened 20 years ago this year, still has tenants who moved in originally in August 2001. A mixed building, he said many are young working professionals but quite a few empty nesters as well.
“You’re checking a lot of boxes,” he said. “It’s easy living.”
A benefit his older tenants mention often is that they don’t have to worry about upkeep — if an appliance breaks or there’s an issue, they don’t have to worry about fixing it. They don’t have to landscape outside, and they are creating a home base for snowbirds who split their time between here and the South.
The Hills at Port Jefferson, however, has some more turnover, Gitto said, due to the type of clientele the apartments attract.
Located in Upper Port, the Hills was one of the first projects as part of Port Jefferson’s master plan.
“I do see there being a nice community uptown,” he said. “That connection to Stony Brook University and the two hospitals right there, there’s no reason why that can’t be a secondary community.”
And in that 74-unit building, Gitto said the majority of tenants are young, working professionals — many of whom work at Mather Hospital, Northwell Health, St. Charles Hospital and Stony Brook University — a 10-minute train ride from the LIRR station across the street to campus.
That being said, Gitto noted that “a couple of units will turnover” because of the residency programs at these places.
“I would say 80 to 85% of the people that live there are affiliated with Stony Brook,” he said.
A fourth project with The Gitto Group is currently underway on the corner of Main Street and North Country Road, where the PJ Lobster House used to stand before relocating. Gitto said that building will be smaller — roughly 36 to 38 units — and planning should be finalized by March.
Gitto mentioned that there is often concern or comment about the IDA benefits developers receive to build these properties but noted that neighbors need to look at it long term.
“Although our property taxes might be lower to start out, eventually, when the IDA program is over, we’ll be paying a lot more than this property would have ever given in terms of taxes if it had remained a boatyard, or the carpet store that it was,” he said. “It’s important to people to look at the long term — this is really going to help the school districts to have these tax bases being thrown into the mix.”
While he can’t talk about the other developers’ properties, he said that the addition of families and people into the community isn’t causing a strain on the school district at all.
“In the Hills uptown, in the 74 units, I believe we have one child who goes to Comsewogue,” he said.
Overbay
The Overbay apartment complex, which finally opened in September, had been in the process of being built shortly after The Northwind Group purchased the former Islander Boat Center building in 2013 for $1.8 million.
James Tsunis, managing member of Northwind, said that his family was “really excited” to bring a new complex to the village.
Photo from The Northwind Group0
“The Northwind Group has been in the family business and we’ve lived in Port Jeff our whole life,” he said. “We were really happy to bring a boutique luxury apartment community here for Port Jefferson.”
Tsunis added that the complex also was planned to bring more positive traffic to the downtown retail shops and restaurants — especially since many struggled throughout the COVID-19 pandemic.
“It’s a win for the village in general,” he said.
Located at 217 W. Broadway, the 54,000-square-foot “nautical style” apartment building consists of 52 rentals, with one-bedroom units ranging between $2,500 to $2,800 and two bedrooms starting at $3,500.
Each apartment features walk-in closets, custom built-ins, zero-entry showers with rain heads, a fireplace and a flat-screen TV. Other amenities include an 800-square-foot common room and a fitness facility.
The complex also contains an office area, concierge service and in-building parking with over 80 parking stalls for residents and their guests.
Leasing, Tsunis said, opened up in fall of last year, and sold out almost immediately.
“There was definitely a high demand for it,” he said. “We get calls about this every day and we have a long list of people waiting to get in here, which is good —it’s good for us and it’s also good for the village, because it means that people want to live here and that’s a very good sign.”
Jake Biro, Overbay’s property manager, said that like the other developments around the village, there is a good mix of different types of people living at Overbay.
“Honestly, it’s really diverse,” he said. “We have people all the way down to the undergrad at 19 or 20 years old to I think our oldest resident is about 94.”
Biro said the proximity to Stony Brook University and the hospitals helps.
“We get a lot of doctors and nurses,” he said. “But then we also have a bunch of empty nesters — people that are taking advantage of the real estate market and selling their houses right now, then renting for a year or two and reassessing.”
“Port Jefferson has been our home and we want our residents to call it their home,” Tsunis said. “We want to help them try to transition that process as hard as possible and as best as possible.”
Tritec and Conifer did not respond to requests for interviews by press time.
Robert Gitto of The Gitto Group cuts the ribbon with members of the Port Jefferson Chamber of Commerce. Photo from PJCC
Robert Gitto with son Ryan and wife Kerry. Photo from The Gitto Group
Robert Gitto with mother Meryle Gitto and son Ryan. Photo from The Gitto Group
Peter Capobianco and his wife Marlene. Photo from The Gitto Group
From left, Councilmember Jonathan Kornreich, Rob Gitto, Tony Gitto, Peter Capobianco and Mayor Margot Garant. Photo from The Gitto Group
Councilmember Jonathan Kornreich, Rob Gitto, Tony Gitto, Peter Capobianco and Mayor Margot Garant. Photo from The Gitto Group
The Port Jefferson Chamber of Commerce hosted a ribbon cutting for the grand opening of The Brookport on Tuesday, Sept. 28.
Located at 52 Barnum Avenue in Port Jefferson Village, the complex features 44 apartments (100% leased) and two retail stores, one of which will be Southdown Coffee. Located at the former site of Cappy Carpets, the mixed-use project by The Gitto Group has won the Vision Long Island Smart Growth Award and features amenities including a fitness center, parking garage and furnished rooftop.
A second ribbon cutting for the community was held on Wednesday, Sept. 29 and was attended by Port Jefferson Mayor Margot Garant, Brookhaven Town Councilmember Jonathan Kornreich, Rob and Tony Gitto, Peter Capobianco of Cappy’s Carpets, and members of the community.
PJ Lobster House is just one of several local businesses whose owners say inspectors have repeatedly shown up to the restaurant around dinner time in a small, two-week period. Photo by Kyle Barr
Port Jefferson’s Uptown could soon be losing one of its premier restaurants, though one won’t have to look far for that seafood dinner experience.
The PJ Lobster House is moving from its spot on the corner of Main Street and North Country Road and will be moving downtown into the location that used to be Ocean 88, a Japanese restaurant, just east of the Mill Creek Road parking lot across from Rocketship Park.
Rob Gitto of The Gitto Group. Photo from Gitto
In its place, local developer The Gitto Group is planning to add another apartment complex to a growing slate of living spaces both uptown and downtown.
Discussions on the new property have been going on for about a year. James Luciano, owner of the PJ Lobster House, said he had originally proposed to landlords for the property about purchasing it, but was rebuffed. As time went on, he inquired with The Gitto Group about potentially moving into alocation in one of the company’s new spots downtown, and was told that the local developer was buying the uptown property. He said he wasn’t given the option to purchase the land, and that the decision was made before his lease was up.
“I have all my money invested into this place, everything was paid here, and now I have to start over,” Luciano said.
The developer already owns The Hills at Port Jefferson Village across from Port Jefferson train station and The Barnum House at the corner of Barnum Avenue and Main Street. The Gitto Group is also in the middle of creating The Brookport, an apartment complex going up where the old Cappy’s Carpets building once stood.
Both Rob Gitto, vice president of The Gitto Group, and Luciano are members and officers of the Port Jefferson Business Improvement District board. Gitto said in a phone interview that he has tried being “upfront and transparent” with Luciano since the property was purchased. Though he attempted to find a way to fit him into the upcoming Brookport site, the space simply wouldn’t work for him.
“It ended up working out, and its great to have him downtown,” he said.
Though Luciano said Gitto had been considerate in helping him find a new space, the move has been financially and physically costly to both him and his business, as he has to pick up everything that isn’t nailed down and transport it downtown. Work has already started at the Ocean 88 site, where he has to do some major renovations, including replacing the wood on the outside porch and the tiling on the inside, also removing the entire Japanese hibachi area.
“I had to take all kinds of loans out to do this,” Luciano said. “I would have never done that during this situation [with the pandemic], but it’s either that or close up shop — it was move or you’re done.”
Things are not all bad. Overall the PJ Lobster House owner said he is optimistic for the future, especially as the number of seats goes from 90 at the uptown location to around 140. He is keeping the current fish market at the front of the house in his new space, and now has plans for a bar to add a liquor selection to the current slate of beer and wine. There may be an opportunity in the future for an oyster bar.
The move downtown will likely bring his current regulars into the downtown portion of the village.
“I think with our following, we’ll do just fine,” he said.
Gitto said the new uptown building will likely be slightly smaller than the 46-unit Brookport site, and plans have the new space at three stories. Like other local apartment developments, parking is planned to be on-site with a retail component on the ground floor.
The Hills at Port Jefferson opened in upper Port in 2018. Other Uptown projects include the Port Jefferson Crossing and now a new project at the corner of North Country Road and Main Street. Photo from Rob Gitto
Gitto considers the corner of North Country onto Main “one of the entrances into the village,” adding they are working to make sure it fits into that space without being an impediment.
The new development would be located on the Port Jefferson side of the school district line with Comsewogue. In terms of adding children to the school district, the Port Jeff developer said so far none of theirs or other projects have added more than one family each with school-aged children. It’s likely this one won’t make a dent in local enrollment either.
“I think it’s going to make our community stronger,” The Gitto Group vice president said. “The schools as well as the village are going to need to lean on new projects to help out with the loss of the [Port Jefferson power plant tax revenue] to help keep our uptown vibrant.”
Plans are still early, and Gitto said they are waiting to submit their formal application within the next few months.
Luciano added that while it’s a shame to see the loss of retail uptown, he still thinks The Gitto Group will do a good job.
“They do good work, this building is going to be beautiful,” he said. “They maintain all their properties really well, and it’s going to be a good look for the corner.”
Reps of Vision Long Island, Port Jeff Village, former property owners and The Gitto Group were there to receive an award for top mixed use developments. Photo by Kyle Barr
The Brookport complex, the planned apartment and retail building slated for Port Jefferson, was visited by redevelopment advocacy group Vision Long Island and was presented one of its Smart Growth Awards Aug. 12.
Rob Gitto, the Vice President of The Gitto Group accepts a mixed use award from Vision Long Island. Photo by Kyle Barr
At a press conference, representatives of Port Jefferson Village, the Brookhaven Industrial Development Agency and developers on the project, The Gitto Group, were present to receive the award for mixed use projects.
Eric Alexander, the director of Vision Long Island, said that such developments with both living and retail elements were the future for Long Island’s downtowns. The director said the Gitto family has paved the way for such mixed use projects on Long Island downtowns.
“[Rob Gitto and The Gitto] family and his company invested in a mixed use project on a main street long before it was popular,” Alexander said.
Rob Gitto, vice president of The Gitto Group, said foundations are in place and the outer walls are beginning to take shape. They hope to be constructing the interior by the fall and hope to have people inside by this time next year, barring another coronavirus shutdown.
“We’re going to expand the main street of Port Jefferson further south — we’re excited about it,” Gitto said.
Construction continues on the Brockport apartment complex. Photo by Kyle Barr
Village residents living near the construction of The Brookport apartment complex on the old Cappy’s Carpets site have been hearing the hammering of pilings going in, signaling construction starting on the long-awaited project.
Some residents have complained about the noise of the pilings hammered into the ground, comparing the noise to what residents heard when the original Shipyard apartment complex was being constructed.
Rob Gitto, of The Gitto Group, the developer behind the project, said that, weather permitting, the significant construction noise should cease by around Wednesday, Nov. 27.
“We are also very sensitive to the noise issue as our office building is on the north side, adjacent to the project and our Barnum House/CVS property is located directly south and adjacent of the project,” Gitto said in an email.
He said the next phase of the project will include helical piles, which are drilled into the ground and make significantly less noise.
Alison LaPointe, the special village attorney for the Planning and Building department, said the developer had received the project’s site plans after sending them to another firm for additional review in October. The planning board received the site plans and had issued the developer a building permit last week. She confirmed the developer’s projection of finishing hammering the pilings by at least the end of the week.
“They are making good progress, no snags thus far,” she said.
Rendering of the Brockport apartment complex. Construction is expected to be complete in December 2020. Photo from the Gitto Group
As one of the latest apartment complex project in Port Jefferson inches closer to construction, another apartment complex has received tax breaks from an IDA.
Last month, the Brookhaven Industrial Development Agency approved an economic benefits package, which includes a 10-year payment in lieu of taxes, to the apartment complex expected to be built out of the current Cappy’s Carpets building, to be known as The Brockport. Construction is expected to begin this fall.
The site plan calls for a three-story structure with a total of 44 one-bedroom units and two two-bedroom units. The $16.5 million project headed by Port Jefferson-based The Gitto Group, will have stores, office spaces and a restaurant on the first floor and apartments on the other two floors.
The current taxes on the property, which was once occupied by Cappy’s Carpets and a boat storage lot are approximately $35,000 annually, according to Rob Gitto of The Gitto Group. The 10-year PILOT would see taxes increasing to $99,183 in the first year and then gradually escalate until the last year when it reaches $213,360. According to Gitto, the retail portion of the
property will be fully assessed as it is not part of the IDA program.
“We are planning to commence the construction on the site within the next 30 days and we anticipate to be completed with the project by December 2020 — all of this is dependent on what type of winter we have,” Gitto said.
Paul Casciano, Port Jeff Superintendent of Schools, made it clear he and the district are not against the planned project.
“We just had concerns and questions,” the superintendent said. “As a district we have to do our due diligence to see if there is any potential impacts — this is what we do. It doesn’t mean we are against the project.”
As part of the response to the SEQR referral for the project in November 2018, the district sent in a letter outlining their questions and concerns.
With the construction site close to the Port Jefferson high school, the district had concerns over access to the driveway on Barnum Avenue. Also, due to the close proximity to the site there were concerns of potential dust, fumes and noise from the construction.
Though questions were raised about how many students this particular apartment complex will bring, Casciano said it’s routine to ask how new developments will impact the district. Other complexes in the village have offered more two-bedroom options. The Shipyard complex has 18 and The Hills has seven. The upcoming complex on Main Street will have two.
The district sent the same letter for the July 17 Brookhaven IDA public hearing.
Casciano reiterated that they support the project, adding the information is important for them to know for a variety of things including future planning of the district.
“I think this project will benefit us [the Port Jeff community],” he said.
Responding to concerns from the community about the impact of construction on the area, Gitto said they do not anticipate any major issues relating to the construction of the complex.
“The project does not include any road improvements that would require us to close down the road,” he said. “There may be some minor work that needs to be completed by the utility companies, but that would really be it. We are the owners of the adjacent office building to the north [414 Main St.] and the mixed-use property located to the south of the subject property [464 Main St./50 Barnum Ave.] which will enable us to stage any construction equipment or materials without impacting the surrounding areas. The early stages of the project will include typical noise associated with a construction project.”
The development group, which also owns and manages The Hills and the Barnum House apartments, said Brockport will have a minimal impact to the student population of local school districts.
“The two properties [the Hills and Barnum House] combined have 104 apartments [one- and two-bedroom units] and our records are showing that we only have two school-aged children within these 104 units,” Gitto said. “The majority of our units are one-bedroom apartments which typically do not work well with families with school age children.”
Once construction on The Brockport is completed, Gitto said they are estimating the one-bedroom units to be around $2,650 per month and the two-bedroom units to be $3,800 per month. The building will be more than 65,000 square feet and have approximately 2,700 square feet of retail space.
Rob Gitto and his son Ryan ride The Gitto Group’s float during Port Jefferson Village’s 2016 Santa Parade. Photo by Alex Petroski
By Alex Petroski
A prominent Port Jefferson-based real estate development company opened a 38-unit apartment building in upper Port Jefferson earlier in 2016, but the father-son team behind the project is about much more than turning a profit.
Port Jefferson native Tony Gitto, who now lives in Belle Terre, and his son Rob have been in the business of developing communities together since 2002, when Rob joined the family business.
Their apartment building on Texaco Avenue, which opened in July in upper Port, is not only a business venture for Rail Realty LLC, a division of The Gitto Group, but also a major step in a villagewide effort to revitalize uptown and turn it into a suitable gateway for Port Jefferson’s downtown, waterfront community.
For their impact on the Port Jefferson community and dedication to making it a great place in which to live, Times Beacon Record News Media names The Gitto Group as People of the Year for 2016.
Rob Gitto of The Gitto Group. Photo from Gitto
When the company decided to build The Hills at Port Jefferson on Texaco Avenue, the plan was to develop in two stages because they weren’t sure if there would be enough demand to fill the units. A month ahead of the designated opening of the first phase, which housed 38 units, a waiting list already existed for phase two. Thirty-six more apartments will be filled in the summer of 2017 when the building is estimated to be ready.
“I think they took a lot of risk to put the shovel in the ground,” Port Jefferson Village Mayor Margot Garant said in an interview. “It’s a huge undertaking to do a project like that.” Garant actually grew up across the street from the Gittos.
Rob Gitto said the group saw an opportunity to try to improve a part of the community that needed attention. Garant said the village is actively seeking state and county grants to aid in the development of Port Jeff, and 74 housing units could have a massive impact in achieving that mission.
“Our whole goal with re-branding upper Port was making sure when you came to the [train] tracks, you have that same sort of gateway that you get down the hill,” Garant said. “You can’t do it by yourself. You need that private sector person to be willing to make the investment and then you as a municipal government, you need to be there to support them if it’s the right project. I think a lot of times ‘developer’ just gets such a negative connotation. We’re building our future.”
Garant said she hopes the influx of residents will have a large impact on businesses in the village.
“Tonight is going to be a cold and quiet night in the village — these merchants still have rents to pay,” she said.
Rob Gitto, who has since moved to Poquott, acknowledged that lifting up a community where he and his family grew up is an added bonus to business success.
“We’re a business and we’re looking to make a profit, but at the same time we’re hoping it jump-starts revitalization up there,” he said. “A lot of our tenants go to [PJ Lobster House] and use the dry cleaner. Hopefully [the businesses] are feeling the effect of people living up there.”
The Hills at Port Jefferson opened in upper Port in July. Photo from Rob Gitto
The elder Gitto, who remains involved with the business, reiterated his son’s sentiments regarding the balance between business success and community service that the group has achieved.
“I believe that the village has the potential to be one of the finest communities on Long Island with all that it has to offer residents, visitors and businesses,” he said in an email. “The Hills development was an appealing option for The Gitto Group as it provided an opportunity to improve the uptown area, and provide facilities for young people to stay in the community and be the future of the community. In addition, the development was a great economic opportunity for our company.”
Barbara Ransome, the Greater Port Jefferson Chamber of Commerce director of operations, said she appreciates the Gittos for their impact on the village’s business world, but their love of landscaping and dedication to beautifying their properties and other village properties is part of what makes them so special to the community. Rob Gitto said they also contribute donations throughout the year to the village and local charities.
“The family is just first class,” Ransome said in an interview. “It’s not just a flash. It’s consistent. They’ve been very generous to this community and they’re a nice family.”
Ransome said their properties, like the CVS on Main Street near Barnum Avenue, are stunning in the springtime after thousands of flowers are planted.
Garant called the father-and-son team “perfect gentlemen,” and recognized them for embracing Port Jeff’s slogan and their efforts to make it come true. It encourages visitors to stop by the destination village “for a day, or for a lifetime.”
“The only way it’s going to work [in upper Port] is if everybody does their part,” Rob Gitto said. “Hopefully we can make it a better location for people to come visit and live. We don’t want people to just drive through uptown anymore.”
