The Town of Smithtown’s preliminary subdivision approval for the 75-acre Flowerfield property in St. James has been upheld by a State Supreme Court decision.
State Supreme Court Justice Maureen Liccione dismissed the Article 78 lawsuit on Friday that was filed in May 2022 against the town, its planning board and Flowerfield owner Gyrodyne by the St. James-Head of Harbor Neighborhood Preservation Coalition and three area residents that challenged the preliminary subdivision approval.
The petitioners argued that the environmental review conducted by the town in advance of the preliminary subdivision approval was inadequate and did not include an analysis of the impact on the neighboring community and its character. However, the judge’s 13-page decision found that impact on neighborhood character was “considered extensively” in the environmental statement, which also imposed “a number of measures intended to mitigate potential adverse impacts,” including buffers of up to 200 feet, vegetation and restrictions on the location of structures.
The lawsuit also claimed that the planning board’s environmental review failed to take a “hard look” at the subdivision’s impact on traffic and water resources. The judge ruled that both of those claims, and a few others, lacked validity.
Attorney Tim Shea of Certilman Balin Adler & Hyman, who represents Gyrodyne, applauded the ruling.
“We are gratified with Justice Liccione’s thorough and well-reasoned decision validating the professionalism and hard work of the Town of Smithtown, Richard Zapolski and Rebecca Goldberg of IMEG and our entire development team and look forward to completing the subdivision process,” he told LIBN.
Attorney E. Christopher Murray of Rivkin Radler, who is representing the plaintiffs in the case, suggested the decision may be appealed.
“There are a number of issues which we believe warrant an appeal and we will be pursuing all appropriate actions with regards to the proposed development,” he said.
The eight-lot subdivision plan approved in March 2022 by the town and its planning board, had been scaled back and modified from the original nine-lot proposal submitted in Dec. 2017, after public comment and feedback from local stakeholders. The current preliminary subdivision approval from the town would allow for the proposed development of a 125,000-square-foot medical office building, 250-bed assisted-living facility and 125-key hotel with associated infrastructure improvements. There would be 35.4 acres, about 47 percent of the site, reserved for open space, including managed landscaping and 2 miles of walking and bicycle trails.
“We are extremely pleased with the court’s decisive ruling, which upholds the integrity of our subdivision approval process,” Gyrodyne CEO Gary Fitlin said in a written statement. “This decision represents a major milestone for Gyrodyne and reaffirms our commitment to responsible development. We remain focused on securing the final approvals necessary to unlock the full potential of the Flowerfield property and ensuring the best possible outcome for our shareholders.”
Once a helicopter and aeronautics manufacturer, publicly traded Gyrodyne ceased those operations in 1975 and turned some of its sprawling St. James property into an industrial park. The Flowerfield site, located at the intersection of Mills Pond Road and Flowerfield Drive, currently has four single-story, multi-tenanted industrial buildings with a total building area of 134,893 square feet that is about 80 percent occupied.
In 2012, Gyrodyne received about $167.5 million from the state as payment for undervaluing the state’s condemnation of 245.5 acres seven years earlier. State courts ruled that Gyrodyne was owed the money for the Flowerfield property that was taken by the state via eminent domain in 2005 and is now part of Stony Brook University.
Development of the remainder of the Flowerfield property has been opposed by local residents over the years, who have fought previous proposed plans.
St. James-based Gyrodyne, which owns and manages a portfolio of commercial real estate properties, has tried to increase Flowerfield’s value and attractiveness by securing municipal approvals for its future redevelopment. The Flowerfield property is currently being marketed for sale by a JLL Capital Markets team led by Jose Cruz, Ryan Robertson and David Leviton.
“The outcome of the Article 78 proceeding provides enhanced clarity on the potential future uses of the property for any prospective buyers,” Cruz said in the statement. “We believe that the approval of this subdivision addresses any concerns associated with development of the property and has a positive effect on our marketing efforts.”