(NEW YORK, NY) — The last World Trade Center site will be authorized for development by city officials after years of squabble between state agencies.
The Port Authority and the Lower Manhattan Development Corp. will release a request for proposals in the next few months for 5 World Trade Center, according to The Real Deal.
The property can accommodate at least 1 million square feet and go for hundreds of millions of dollars. The agencies will receive a split share of the proceeds.
A dollar value appraisal on the site hasn’t been done yet, though LMDC and the Port Authority will each evaluate the site independently.
LMDC bought 5 World Trade Center after the 9/11 attacks and demolished the building. The agency agreed to hand over the reigns to Port Authority as compensation for another World Trade Center site that the Port Authority transferred over.
But the agencies spent the next years arguing over development, with the Port Authority advocating a commercial use, while LDMC advocated residential, according to The Real Deal.
Developers can propose both uses in their response to the RFP’s, though the appraisals will only consider its value as a commercial site.
Broker confidence high this year, despite state policy decisions
A recent study on New York real estate broker confidence indicates high hopes going into the Summer, despite recent state policy decisions with potentially adverse effects on the market, according to the Real Estate Board of New York (REBNY).
“Overall confidence among both residential and commercial brokers showed marked improvement from a year ago and reflects a positive outlook on the real estate market heading into the summer,” said John H. Banks, REBNY President. “However, New York City brokers also expressed concern over the impact of recent policy changes and Albany’s proposed rent reforms.”
Commercial brokers have expressed concerns about post-Amazon anti-business sentiments, commercial rent control, rent regulation reforms in Albany, interest rates, and office and retail vacancies.
These concerns arise out of mixed public reception to the recent opening of the massive, 18-million square foot Hudson Yards complex, developed by Related Co.’s under Stephen Ross. Amazon.com, Inc’s recent botched plans to open a headquarters in Queens also drew scrutiny over Manhattan land use and real estate.
Despite these developments, the overall score of confidence among those Brokers surveyed in the REBNY report is higher this year than it was in late last year, the last time REBNY conducted this report.