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Expanding in the Empire State: Callahan’s Tri-State Outlook

Callahan is proud of the progress we’ve made growing our footprint in the Tri-State area. When we opened our White Plains office, we were determined to bring the quality we’re known for to new clients across the markets we know best—multi-family and affordable housing, mixed-use and retail developments, and senior living communities.

Like any region, there’s some level of uncertainty everywhere you look—but we’re excited about what the future holds in the Empire State. Here are a few trends and developments we’re keeping a close eye on:

PACT – Permanent Affordability Commitment Together

PACT is a NYCHA program designed to leverage private and non-profit partners to convert eligible public housing properties to Project-Based Section 8. This allows for much-needed capital improvements while maintaining affordability for residents.

Since 2016, more than $7B has been invested into PACT projects, but NYCHA estimates it will take $78B to fully fund the program. There’s a massive opportunity here for meaningful public-private partnerships, though there’s still a lot of work to do.

At Callahan, we routinely work with developers and public agencies to bring affordable housing to life—and we’re optimistic about the positive impact PACT can have in the years ahead.

Market-Rate Housing Outside Manhattan

It’s no secret it’s expensive to live in Manhattan. Over the years, more and more people have looked outside the five boroughs for housing—especially along the Metro-North corridor—finding better value in communities where they can still commute into the city if needed.

We’re expecting to see continued growth in market-rate housing across the suburbs north and east of NYC, extending into upstate New York and parts of New Jersey. This trend opens the door for residents to get into the market without needing to change jobs just to afford it.

Callahan recently completed Alexander Crossing in Yonkers, a project that supports work-from-home lifestyles while still offering proximity to transit. It’s the type of flexible, future-ready development we expect to see more of.

Taller MDUs in Re-Zoned Communities

If you can’t build out, build up. That’s the mindset taking hold in places like Port Chester, New Rochelle, and White Plains, where local leaders are updating zoning to allow for taller residential buildings.

In many of these small-to-mid-sized cities, there’s limited space to expand outward, but increased height allowances for MDUs (multi-dwelling units) could help unlock more housing supply where it’s needed most.

This kind of local policy shift could be just the spark needed to get some long-anticipated projects moving, and we’re watching it closely.

Office and Retail to Residential Conversions

This isn’t unique to New York: cities everywhere are dealing with how to repurpose underutilized office and retail buildings.  And it’s a bigger issue in Westchester because some of these buildings are so large.  Converting them to residential sounds great in theory, but in practice, it’s not always that simple. Between the size and shape, structural constraints, zoning, and cost, it can be a real challenge to make the numbers work.

One potential solution? Blending retail and residential. That’s the approach behind two of our projects, New City and Bay Terrace, where we’re helping turn traditional shopping centers into mixed-use destinations that better reflect today’s living and shopping habits.

Battling the Elements – A Buffet of Outside Forces

Since COVID, our industry has dealt with its fair share of curveballs, from supply chain disruptions and labor shortages to shifting immigration policies and the ever-present wildcard of interest rates and tariffs.

It’s a lot to navigate, which is why strong preconstruction services are more valuable than ever. At Callahan, we help our clients get a clearer picture up front so budgeting and planning doesn’t turn into guesswork. And when it makes sense, our ability to self-perform sitework can create efficiencies that help control costs and improve quality at the same time while most importantly mitigating as much risk as possible.

Bottom Line

The New York market and the surrounding Tri-State area represent real opportunity for Callahan. We’re excited to continue working alongside our public and private sector partners to get much-needed projects out of the ground despite the headwinds our industry continues to face.

To learn more on happenings in the New York market or how Callahan can help with your next construction proejct please contact David Morrow or Phil Dinan.

Rose Associates residential development met aggressive timelines for occupancy goals amidst supply chain challenges

WHITE PLAINS, NY – March 10, 2025 –  Callahan Construction Managers (Callahan), a  full-service construction management company headquartered in Bridgewater, Mass. with offices in White Plains, announced today that it has completed construction of the new Alexander Crossing apartment community in Yonkers, New York. The 7-story project was developed by Rose Associates, a premier multi-family real estate firm with multiple properties in the metro region.

The community features 440 units offered in studio-, one-, two- and three-bedroom configurations, with five levels of wood-frame over a two-level podium cast-in-place garage. Rose Associates’ communities are in high-demand, making firm deadlines for occupancy goals essential to the project’s success. Callahan worked hand-in-hand with the Rose team and the city of Yonkers to meet critical turnover dates and utilized a phased approach in order to begin marketing the available units as quickly as possible. The project represents the latest success story in revitalizing Yonkers’ waterfront and creating development opportunities in concert with the Westchester RiverWalk public pathway.

Despite the project kicking off as global supply chain issues challenged timelines, the Callahan team worked closely with suppliers and subcontractors to ensure project milestones were adhered to in accordance with schedule goals. With numerous amenities including an outdoor heated swimming pool, a roof deck with grilling stations and dining areas, a fitness center, a multi-sport simulator, and a game room, the pre-construction phase involved multiple stakeholders to ensure equipment, finishes, and technology components were delivered and installed as each section of the community was completed.

“Callahan has a long track record of making exciting residential developments come to life across the Northeast, and we’re particularly proud to see our New York team lead the way on the construction of Alexander Crossing,” said Dave Morrow, vice president of New York Operations for Callahan Construction. “As we continue to win more work in the Tri-State area focused on residential and mixed-use developments, we look forward to creating desirable living spaces for residents to work and play.”

Alexander Crossing is actively leasing, and more information is available here. To see Callahan’s residential building portfolio, click here.

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Mixed-use project will bring grocer-anchored shopping center into the modern age

WHITE PLAINS, NY – August 1, 2024 –  Callahan Construction Managers (Callahan),a full-service construction management company headquartered in Bridgewater, Mass., announced today that its New York office was selected to oversee a comprehensive renovation of the New City Shopping Center in New City, NY. When complete, the planned enhancements will provide shoppers with a 21^st-century shopping experience.

Located in the heart of New City, the shopping center has been serving the Clarkstown community since 1989. It is home to a diverse range of stores, restaurants, and service providers, dedicated to meeting the needs of local residents and visitors alike. The grocery-anchored retail asset currently contains a complementary tenant mix with strong demographics, traffic counts, and access. The center looks to become the premier retail destination in the area when the project is complete. Construction is expected to be completed in phases over the next 6 months to minimize disruptions to shoppers and businesses. The center will stay open throughout the renovation, and all businesses will continue to operate at their regular hours. The planned renovations will address all facets of redeveloping the plaza, from structural upgrades to aesthetic improvements, including new landscaping, updated lighting, and modernized storefronts. The anchor, Inserra Supermarket’s New City Shoprite, will also undergo interior renovations, all of which aim to create a more welcoming and accessible environment for visitors.  

“As our New York office continues to grow, we are proud to have the opportunity to oversee the significant improvements coming to the New City Shopping Center,” said David Morrow, vice president – New York, Callahan. “Callahan’s deep experience in both mixed-use and retail environments suit us well for this project, and our team in White Plains will work closely with the property development team to create a shopping experience like none other for Rockland County residents.”

New City Shopping Center, located at 44 North Main Street, is excited to announce that it will undergo a comprehensive renovation starting May 9, 2024. The planned enhancements are designed to provide a 21^st-century shopping experience.

Located in the heart of New City, New York, New City Shopping Center has been serving the Clarkstown community since 1989. It is home to a diverse range of stores, restaurants, and service providers, dedicated to meeting the needs of local residents and visitors alike.

The renovations are being overseen by Callahan Construction, a full-service construction management company, and will address all facets of the center, from structural upgrades to aesthetic improvements, including new landscaping, updated lighting, and modernized storefronts. The anchor, Inserra Supermarket’s New City Shoprite, will also undergo renovations, all of which aim to create a more welcoming and accessible environment for all visitors.

The project is expected to be completed in phases over the next 6 months to minimize disruptions to shoppers and businesses. The center will remain open during the renovation, with all businesses operating at normal hours.