City Agencies Broker New Deal With Developers to Bring 5 WTC to Market

5 World Trade Center, via YIMBY Reader5 World Trade Center, via YIMBY Reader

State agency The Port Authority and Lower Manhattan Development Group have agreed to issue a joint RFP and divide proceeds generated from the development of 5 World Trade Center. A lengthy dispute between the parties had prevented any progress on the final remaining site within the World Trade Center complex, though it still remains unclear what future property will rise from the parcel, which could yield a tower spanning over one million square feet.

According to Crain’s New York, which first broke the story, The Port Authority and LMDC will conduct independent appraisals of 5 World Trade Center. If the appraisals are within 10 percent of each other, the entities will officially move forward with RFPs.

LMDC first purchased 5 World Trade Center, formerly referred to as 130 Liberty Street, after the 9/11 attacks. Considering the extensive damage and contamination, the property was deemed unfit in its existing state to accommodate any redevelopment and was demolished. The Port Authority, however, still retained a partial stake in the site and could not agree with LMDC on its future use. LMDC’s former president David Emil sought to redevelop the plot of land for residential use, but according to regulations, The Port Authority is not allowed to retain residential assets.

If plans to issue an RFP move forward, developers will be invited to submit proposals that include both residential and commercial use. According to Crain’s, the site would most likely be sold if a residential plan was selected as the winning bid. In that event, The Port Authority retains the option to lease the commercial portion of the property.

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TFC Horizon

3 Comments on "City Agencies Broker New Deal With Developers to Bring 5 WTC to Market"

  1. David in Bushwick | June 4, 2019 at 9:14 am | Reply

    Given all the new class A office buildings in Midtown, Hudson Junkyards and the WTC, this property would much better be served as residential or mixed use. How about 30 floors of low-income/veteran housing and 30 floors of elitist class above? They didn’t become wealthy without stepping on those below.

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