The Golden Age of Transit in Lower Manhattan

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ALLIANCE FOR DOWNTOWN NEW YORK

THE GOLDEN AGE OF TRANSIT IN LOWER MANHATTAN One hundred and ten years ago, the first underground line of the New York City Subway opened on October 27, 1904. In 1910, the great lost public temple of Pennsylvania Station was erected. In 1913, Grand Central Station took its iconic place in New Yorkers’ lives and imaginations. Writing for the New York Times in 2012, Michael Kimmelman noted: “to pass through Grand Central Terminal, one of New York’s exalted public spaces, is an ennobling experience, a gift.” The opening of the Fulton Center heralds another great development in our transportation history. This new station will soon become a significant hub in its own right. It will radically reinvent and uplift the commuting experience for more than 300,000 daily transit riders in Lower Manhattan. The station house, with a soaring light-filled interior and 66,000 square feet of retail and office space, reaches down into the Manhattan schist and rationalizes the intersection of the 4/5, 2/3, A/C, J/Z and R lines. This hub is solving problems left over from a century ago when the IRT, BMT, and IND companies competed and didn’t connect. Fulton Center serves as a marquee among the $6.4 billion of post-9/11 investments in enhanced transit and transportation infrastructure in Lower Manhattan. The coming months will usher in a new golden age of transit in New York, one concentrated in Lower Manhattan. The scope of the investment---- and the dramatic transformation it has made for those who take the subway, PATH, ferry, bus or Citi Bike to the one square mile below Chambers Street in Lower Manhattan----is of a scale not seen in New York since those halcyon days of public transit investment in the early 20th century. Just a block away from Fulton Center, and connected by a new underground walkway, the Santiago Calatrava- designed World Trade Center Transportation Hub will be making a game-changing statement as well in late 2015. The dramatic winged complex will connect the interstate PATH train and 9 NYC subway lines. Surrounding the hub will be 350,000 square feet of magnetic retail and dining experiences. Additionally, the WTC station will be linked with Battery Park City’s Brookfield Place to the west by an underground concourse, which opened a year ago. This will, for the first time, make for a seamless East West connection across most of Lower Manhattan. These two projects are the most visible investments remaking the transportation landscape of Lower Manhattan. They do come with a steep price tag, but their benefits are real and will be measured over generations. Investments in public transportation on this scale confer lasting dignity and elevate the daily commuting experience of millions and, just as importantly, they provide lifeblood for the economy of the area, city and the region. 1


ALLIANCE FOR DOWNTOWN NEW YORK

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*Opened in 2009, the MTA invested $530 million to lengthen tracks and improve capacity. The station is closed currently while the MTA rebuilds the station due to the effects of Hurricane Sandy and to improve future storm resiliency.

2


ALLIANCE FOR DOWNTOWN NEW YORK

Lower Manhattan’s Rich Transit Infrastructure

Selection of Lower Manhattan Transit Improvements Since 2005

LOWER MANHATTAN’S TRANSIT NETWORK SERVES

127 MILLION Annual Riders

12 Subway Lines

30 Bus Routes & 1 SBS Route

6 Ferry Stops & 20 Routes*

2 PATH routes to NJ

7 Downtown Connection Buses

28 CitiBike Stations

*Includes seasonal ferry routes

3


ALLIANCE FOR DOWNTOWN NEW YORK

ACCOMODATING A HUGE AND GROWING LABOR FORCE WITH A ONE-SEAT RIDE The importance of these transit investments is clear, especially in light of the more than 3.6 million potential workers who can reach Lower Manhattan via a one-seat ride. These investments also serve an area that has seen robust growth in the labor force. Between 2006 and 2013, the period roughly concurrent with the construction of the Fulton Center, the labor force with direct transit access to Lower Manhattan grew by 314,000, or 9.5%. That’s nearly 2.5 times the growth rate elsewhere in the New York City Metro Region. That represents 50% of the labor force’s growth in the NYC Metro Region. (See table on page 5)

These transportation enhancements directly benefit a growing labor force of more than

3.6 Million

potential workers directly connected to Lower Manhattan by a one-seat ride

Currently, there are 350,000 daily riders and 127 million annual riders coming from fast-growing information worker-saturated neighborhoods like Newport/Grove Street in Jersey City, Greenpoint/ Williamsburg and Dumbo/Boerum Hill/Brooklyn Heights. The labor force in each of these neighborhoods grew by more than 20% since 2006. This network also connects job seekers in areas like Brownsville, Bushwick and Bedford-Stuyvesant in Brooklyn and Fordham and Parkchester in the Bronx directly to Lower Manhattan. Lower Manhattan is a growing, major employment center for jobs across all industries and functions, including the office, residential, retail and hospitality sectors.

Area with One-Seat Ride to Lower Manhattan

New York New York

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30 County NYC Metro Region 4


ALLIANCE FOR DOWNTOWN NEW YORK

Geography

One-Seat Ride Area

2013 Labor Force

3.3 Million 3.6 Million 9.5%

Absolute Growth (20062013)

314,000

8.0 Million

8.4 Million

3.8%

310,000

Total NYC Metro Region

11.4 Million

12.0 Million 5.5%

624,000

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NYC Metro Region excluding One-Seat Ride Area

Neighborhoods with More than 20% Labor Force Growth, 2006-2013

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S RE O T H E ETR N YC M

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50%

2006 Labor Force

Percent Growth (20062013)

O N E-S

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of the New York City Metro Region’s Labor Force Growth

Williamsburg/Greenpoint

Pier 11 - 10 Min

Newport/Grove Street - Jersey City Boerum Hill/Brooklyn Heights

WTC- 8 Min

Fulton Center - 6 Min

Source of Labor Force data: 2006 and 2013 American Community Survey 1-year Estimates. One-seat ride area includes all PUMAs (Public Use Microdata Areas) that have a one-seat ride connection by ferry, PATH, subway or bus to Lower Manhattan, excluding Red Bank/Holmdel NJ which has a ferry connection to Lower Manhattan but data was not available. NYC Metro Region includes the 30 counties included in the New York-Newark-Bridgeport,NY-NJCT-PA Combined Statistical Area (CSA), defined by the Census Bureau in the Office of Management and Budget as the “region”, excluding Pike County, where data was not available from the American Community Survey.

5


ALLIANCE FOR DOWNTOWN NEW YORK

ACCESSIBLE TO OFFICE CENTERS THROUGHOUT NEW YORK CITY Lower Manhattan enjoys unsurpassed accessibility. The area connects directly and easily to other NYC office centers, including the following 12 key office destinations that can be reached in less than 20 minutes from Fulton Center. Ten of those are accessible to Lower Manhattan by a one-seat ride.

Origin

Destination Metrotech Center (Brooklyn) 111 Eighth Avenue (Chelsea) 51 Astor Place (Greenwich Village/NoHo) One Vanderbilt Place * (Grand Central) 15 Penn Plaza * (Penn Station)

Fulton Center

330 Hudson Street (Hudson Square/West Village) 11 Madison Avenue (Madison Park/Union Square) 11 Times Square (Times Square) 10 Hudson Yards (Hudson Yards) 425 Park Avenue * (Park Avenue) 60 Columbus Circle (Lincoln Center) Rockefeller Center

Trip Time (minutes)

Route

6 minutes

A/C to Jay Street/Metrotech

8 minutes

A/C to 14th Street

10 minutes

R to 8th Street/NYU

10 minutes

4/5 to Grand Central

10 minutes

2/3 to Penn Station

11 minutes

C to Spring Street

11 minutes

R to Union Square

12 minutes

2/3 to 42nd Street/Times Square Station

16 minutes

*2 to Times Square, Transfer to 7 train to 34th Street and 11th Avenue

17 minutes

4,5 to 59th Street

17 minutes

A to 59th Street/Columbus Circle

20 minutes

4/5 to Grand Central,Transfer to 6 train to 51st Street

Source of Travel times: MTA.info, Assumptions: Route with shortest travel time to arrive by 11 am was selected, 7 train operational with 4 minute run time from Times Square to Hudson Yards and no transfer time is included. *Proposed/Planned 6


ALLIANCE FOR DOWNTOWN NEW YORK

MULTIMODAL NIRVANA The transit enhancements remaking Lower Manhattan are not just rail. Significant investments have been made to also improve the pedestrian, biking, and waterway networks in Lower Manhattan: • WalkNYC, a pedestrian wayfinding project by the New York City Department of Transportation, is being implemented in Lower Manhattan. • Beyond improvements to ferry terminals, there are now additional routes----these include the East River Ferry to Brooklyn and Queens, as well as a ferry to Pier 84 in Midtown West. • The reconstruction of Fulton Street from Church to South Streets concluded in 2014. • Other biking improvements in the area include the construction of a bikeway along the East River from the South Street Seaport to the Battery Maritime Building as part of the East River Waterfront Esplanade. Portions will connect north to Montgomery Street on the Lower East Side and around the southern tip of Lower Manhattan to Battery Park, connecting to the bikeway along the Hudson River. • Improved pedestrian crossings on West Street, including a new at-grade crossing at Vesey Street and an underground connection through the World Trade Center West Concourse, make it safer and easier to connect to and from Battery Park City.

AND MORE MAJOR PROJECTS TO COME Future major projects still planned to elevate Lower Manhattan’s network include at least $1.8 billion in investments. These include: • These include the extension of PATH service to Newark Liberty International Airport, which was approved for $1.5 Billion in February 2014 as part of the Port Authority of New York and New Jersey’s capital plan; • Implementation of storm proofing for Lower Manhattan subway stations, with a primary focus on the Rector N,R, and 1 stations, Broad Street J station, and the Whitehall N,R stations. $301 million allocated from federal funding; • A future, permanent $30 million West Thames Street pedestrian bridge to cross over West Street that is currently planned.

Visit WWW.DOWNTOWNNY.COM/RESEARCH for additional publications on the Lower Manhattan real estate market and economy. If you have questions or require additional information, please contact RESEARCH@DOWNTOWNNY.COM. 7


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