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LOWER MANHATTAN REAL ESTATE MARKET REPORT
Lower Manhattan Real Estate Market Report | Q1 2022
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Q1 2022
LOWER MANHATTAN REAL ESTATE MARKET REPORT The first quarter saw the second strongest quarterly leasing total in Lower Manhattan since the beginning of the COVID-19 pandemic. While leasing was relatively robust, rents continue to inch downward and vacancies are growing, particularly in Class B office buildings. Median apartment rents broke record highs for the third consecutive quarter as Lower Manhattan continues to attract new residents. The hospitality industry has reason for optimism, with new hotels opening, travel increasing and positive momentum in both occupancy and rates. Thirty-five retailers have opened so far in early 2021, surpassing open rates seen in early 2019, and a number of businesses thought to have permanently closed reopened their doors to guests.
Lower Manhattan Annual New Leasing Activity, 2017-2022 Source: CBRE
Commercial Office Leasing Activity Continues To Improve The first quarter saw Lower Manhattan record 884,000 sq. ft. of office leasing according to CBRE — the second highest quarterly total since the beginning of the pandemic. While activity continues to improve and is nearly double the square footage leased a year ago, leasing remains 21% lower than the five-year quarterly leasing average. Midtown Manhattan saw 3.38 million sq. ft. of leasing activity in the first quarter, down 39% from the previous quarter and 12% behind the five-year quarterly average. Despite the recent decrease in leasing activity, this is the second highest quarterly total since Q1 2020 and the third consecutive quarter over 3 million sq. ft.. Midtown South led the pack in improvement across Manhattan. Leasing activity continued to strengthen with 1.41 million sq. ft. — 13% above the five-year quarterly average and the third consecutive quarter above the historical average. This is Midtown South’s strongest start to the year since Q1 2016.
Lower Manhattan Real Estate Market Report | Q1 2022
884,000
Square Feet Of New Leasing In The First Quarter — The Second Highest Quarterly Total Since The Pandemic Began
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Variety of Industries Commit to Lower Manhattan MJHS, one of the largest nonprofit health systems in the region, signed a 138,274-sq.-ft. lease at 55 Water Street. The deal was the largest new lease signed in Lower Manhattan in the past 18 months (not including renewals or subleases). MJHS will consolidate several offices around the city and Long Island. A similar lease occurred across the street at 50 Water Street in 2019, where NYC Health + Hospitals consolidated several offices into one location. The tech and creative sectors were the primary industries relocating to Lower Manhattan. Two software firms signed leases at 195 Broadway, totaling nearly 84,000 sq. ft.. Code Climate signed a 41,878-sq.-ft.-relocation from Midtown South, while Lattice announced its first New York office, taking 42,059 sq. ft.. Other relocations include ProCore, a construction software company, moving from Midtown to 23,404 sq. ft. at 32 Old Slip and athletic retail brand Ten Thousand taking 8,435 sq. ft. at 61 Broadway, relocating from Midtown South. One World Trade Center announced the tower was 95% leased — the highest level in the building’s history. Capping off the milestone was the renewal and expansion of Celonis, a business analytics firm. The company initially signed in February 2020 for 34,000 sq. ft. and the new announcement doubles its footprint to 75,538 sq. ft.. Another 80,000 sq. ft. of leases were signed at the tower, including Jordan Park Group, LiveIntent and Capital Rx. There were a number of renewals that occurred during the first quarter, primarily in Lower Manhattan’s legacy industries. Berkshire Hathaway signed a 68,732 sq. ft. at 85 Broad Street, while SIFMA signed 25,824 sq. ft. at 140 Broadway. New York State renewed two 45,000-sq.ft. leases at 123 William Street and 26 Broadway. The National Urban League recommitted to 58,814 sq. ft. at 80 Pine Street until its new headquarters is finished in Harlem. Paperless Post also renewed its 36,750-sq.-ft. lease at 115 Broadway.
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Lower Manhattan Top Leases, Q1 2022 Source: Downtown Alliance, CBRE, Colliers, Newmark Knight Frank, CoStar
Tenant Name
SF Leased Transaction
Sector
MJHS
138,374 Relocation
Healthcare
75,538 Renewal & Expansion
TAMI, Information
Location
1 2
1 New York Plaza
Celonis
55 Water Street
3
Berkshire Hathaway
68,732 Renewal
FIRE
4
National Urban League
58,814 Renewal
Nonprofit
5
NY State Divison of 45,350 LIcensing Services Renewal
TAMI, Technology
6
NY State Court of Claims
43,769 Renewal
Government
42,059 New NYC Location
Government
Code Climate
41,878 Relocation
TAMI, Technology
Paperless Post
36,750 Renewal
TAMI, Technology
36,124 Move Within LM
Professional Services, Law
SIFMA
25,824 Renewal
FIRE
Procore
25,824 Relocation
TAMI, Technology
20,487 Renewal & Expansion
FIRE
17,454 Move Within LM
Professional Services, Law
14,752 Move Within LM
FIRE
7 8
9
85 Broad Street
80 Pine Street
123 William Street
26 Broadway
Lattice
195 Broadway
195 Broadway
115 Broadway
Carter Ledyard & 10 Milburn 28 Liberty Street
11 12
140 Broadway
32 Old Slip
Jordan Park Group 13 One World Trade Center
Furman Kornfeld 14 & Brennan 88 Pine Street
NY Property Insurance 15 Underwriting Assocation 80 Pine Street
Lower Manhattan Real Estate Market Report | Q1 2022
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Vacancy Rates Continue To Rise Across Manhattan, Particularly Among Class B Office Buildings Despite an increase in leasing activity, Lower Manhattan’s overall vacancy rate ticked up to 21.6% from the past quarter, according to Cushman & Wakefield. The overall vacancy rate has grown over seven percentage points from early 2020, during the onset of the pandemic. In the past quarter, over 330,000 sq. ft. from Meredith at 225 Liberty Street and 144,000 sq. ft. from Teach For America at 25 Broadway were made available for sublet. Over the past year, Class A vacancy grew by over six percentage points to 21.7%. The Class B vacancy rate rapidly rose over the past year, going from 12.8% to 23% —the highest point since 1996. Of particular concern is the dramatic increase in overall vacancy rates in the Insurance District (roughly east of Broadway, north of Maiden Lane) where rates have increased over 18 percentage points to 30.8% over the past year. This high vacancy rate is driven primarily by three buildings. Midtown’s overall vacancy rate hit a record high, increasing to 21.2% —on par with Lower Manhattan. Class A office vacancy in Midtown jumped to 20.5% as 2.4 million sq. ft. became available; class B office vacancy also increased dramatically to 23.3%, up 3.8 percentage points from Q1 2021.
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Overall Vacancy Rates by Submarket Source: Cushman & Wakefield 21.7% 21.2% 19.7%
Class A Vacancy Rates by Submarket Source: Cushman & Wakefield 21.6% 20.5%
17.2%
Midtown South’s overall vacancy increased three percentage points to 19.7%, a slower pace than Lower Manhattan and Midtown. Class A office vacancies in Midtown South also saw increases to 17.2%, albeit much slower due to the high demand for top quality buildings in this submarket. This is evidenced by IBM’s recent announcement to consolidate several offices into a 328,000-sq.-ft. lease at One Madison Avenue, a new office building that won’t be completed till late 2023. Mounting vacancies citywide are anticipated on the horizon. Recent data from JLL noted that many office leases set to expire in 2020 or 2021 were extended on a short-term basis to ride out the storm from the pandemic, rather than sign a typical full ten-year term. These short-term renewals coming due, combined with the natural cycle of lease expirations, could pose challenges for commercial real estate. Tenants may consider downsizing due to remote or hybrid work, as well as the continued flight to quality. Lower Manhattan Real Estate Market Report | Q1 2022
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Office Asking Rents Continue to Inch Downward
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Overall Asking Rents by Submarket Source: Cushman & Wakefield
Recent rent trends in Lower Manhattan are beginning to diverge from trends in Midtown and Midtown South. Over the past two quarters, overall and class A office rents in the other Manhattan markets are either stabilizing or showing increases. This is the second consecutive quarter where rents have inched downward in Lower Manhattan. Though leasing is increasing, the market still remains fragmented. As companies evaluate their future space needs, many are taking advantage of a tenant’s market. Class A towers are driving office leasing, as the flight to quality trend takes hold of the market. Tenants are more willing to pay higher rents in exchange for better located buildings with strong amenities and updated building systems. According to Cushman & Wakefield, Lower Manhattan’s overall average asking rent fell by 6.1% to $57.18 per sq. ft. over the past year — the second consecutive quarter below $60. Sublease asking rents dropped further year-over-year, decreasing 12% to $47.90 per sq. ft.. Class A asking rents inched downward over the quarter and a full 4% over the year, to $61.10 per sq. ft. as lower-priced space continued to be added to the market. Class B average asking rents were stable over the past quarter at $52.45, but down nearly 10% yearover-year.
MAJOR PROJECTS UPDATE
$75.45
$71.34
$57.18
Class A Asking Rents by Submarket Source: Cushman & Wakefield
$90.31
While rents in Midtown were down 1-2% year-over-year, overall and class A office rents in Midtown increased over the past quarter at $75.45 and $81.51, due to higher-priced space entering the market at 550 Madison Avenue and 425 Park Avenue. In Midtown South, overall asking rents increased nearly one percent over the quarter and year to $71.34 per sq. ft.. Class A rents in Midtown South rose 4% over the past year to $90.31 due to higher-priced sublease pace entering the market at 63 Madison Avenue.
$81.51
$61.10
Return to Office and Pedestrian Traffic Continues to Tick Up According to Kastle Systems, New York City office occupancy rates (based on key fob swipes) have rebounded strongly from the Omicron variant, logging around 38% by early April. Return to work rates in New York still lag below the 10-city average in the U.S. at 43%, but are comparable to other markets in the northeast. While hard to pin down, many major employers have made firmer return to work policies that have dovetailed with the removal of many local mask, testing and vaccine Lower Manhattan Real Estate Market Report | Q1 2022
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requirements. Governor Hochul and Mayor Adams continue to encourage in-person work a key part of their COVID recovery strategies.
14 Maiden Lane: Frank Savino purchased the 14,645 sq. ft., 10-unit rental building at 14 Maiden Lane from seller Michele Kahn for $9.5 million.
Recent pedestrian counts in Lower Manhattan have also increased considerably. In March, total monthly foot traffic was up 32% from February and the weekday average was up 22% month-over-month. Stronger return to work, coupled with growing tourism, is contributing to the busier feel on the streets.
Hotel Sales 75 Wall Street: The Hakimian Organization sold the 253room Andaz Wall Street hotel at 75 Wall Street to Blue Sky Hospitality for approximately $85 million. The hotel portion of the building occupies the lower floors, while the upper floors contain 346 condominium units. Hakiminan still owns the residential upper floors. The hotel portion was rebranded as the Hyatt Centric.
First Quarter 2022 Property Sales Mixed-Use Building Sales 112-113 South Street: The Fogliano family sold a portfolio of two loft-style commercial buildings spanning 10,400 SF at 112-113 South Street to a private investor for $4 million. The buildings, which have been vacant since 2005, were listed in Feb. 2021 for $5,995,000. 25-27 Peck Slip: REDA Holdings also purchased the 10,635 sq. ft., 6-unit building at 25-27 Peck Slip for $8.65 million from seller Peck BZ. The building contains four residential units and two retail spaces. 80-88 West Broadway: 6R Group purchased a five-building portfolio located at 80-88 West Broadway (aka 70-74 Warren Street) for $36.1 million from seller Mark Jaffe. The portfolio contains six retail spaces, 17 rental apartments, and a parking lot. Retailers currently open in these spaces include Homemade by Miriam, JR Sushi, AKS Eyecare, The German School of Manhattan, and a Western Union. Office Building Sales 1 Hanover Square: SomeraRoad purchased the 25,000 sq. ft. landmarked commercial condo at 1 Hanover Square for $6 million. The seller was India House, a social club and event space, that has owned the building since the 1920s. The developer will spend $19 million to convert the club and event space into boutique office space. Harry’s will continue to own and operate its restaurant out of the basement space. Residential Property Sales 23 Peck Slip: REDA Holdings purchased the 36,000-sq.ft., 20-unit rental building at 23 Peck Slip for $24.5 million from seller Churchill Real Estate Holdings. The building was last purchased in 2014 for $23 million. 23 Peck Slip also contains a vacant retail space that was previously occupied by ACQUA restaurant, which closed in 2020. Lower Manhattan Real Estate Market Report | Q1 2022
Recent Pending Sales Announcements 8 Spruce Street: In December, Blackstone entered into contract to purchase the 899-unit rental building at 8 Spruce Street for $930 million from Brookfield Asset Management and Nuveen Real Assets. Blackstone anticipates closing on the purchase in early 2022. 80 South Street: China Oceanwide Holdings is marketing the development site for $200 million. The site, which also includes air rights from nearby lots, can allow for one million sq. ft. of development and a height up to 1,500 feet. Oceanwide Holdings purchased the combined parcels and air rights from the Howard Hughes Corporation for $390 million in 2016. 99 Washington Street: The 492-room Holiday Inn Manhattan - Financial District at 99 Washington Street was listed for sale by developer Jubao Xie. The hotel is reportedly delinquent on $87 million in outstanding loans and facing foreclosure. It is being listed along with the adjacent 8,500 SF building at 103 Washington Street that houses the St. George Tavern. The developer is seeking $187 million for the properties. 19 Dutch Street: Carmel Partners began marketing the sale of 19 Dutch Street for $500 million. The 483-unit, 330,000-sq.-ft. rental building was completed in 2018. 47 Broadway: In early April, buyer Hiu Ian Cheng purchased the 5,122 sq. ft. commercial building at 47 Broadway for approximately $12.3 million from The Riese Organization. Two vacant retail spaces in the building include China Chalet and T.G.I.Friday’s.
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RETAIL Thirty-five retailers opened in the early months of 2022 — surpassing open rates seen in early 2019 — and half of which were food and beverage businesses, including: • Blue Ribbon Sushi Bar & Grill at 84 William Street, replacing Blue Ribbon Federal Grill that closed in 2020;
• Ito, a high-end Japanese omakase restaurant, at 75 Barclay Street;
• ZAZA Diner at 102 Greenwich Street; and • Pi Bakerie opened a Greek bakery and cafe at 35 Cedar Street, replacing Financier Patisserie;
• Kim’s Video, the famous independent movie rental store from the East Village, reopened in the Alamo Drafthouse at 28 Liberty Street; and
• QC NY Spa debuted on Governors Island. The
74,000-sq.-ft. facility includes all the luxurious amenities of day spa, including outdoor pools with skyline views of Lower Manhattan;
Additionally, over 20 retailers made plans in the first quarter to open a storefront in Lower Manhattan. Among those who announced during the first quarter:
• Hey Thai and Shinjuku Japanese Deli at 127 John Street, replacing Plaza Deli
• La Pulperia, a Hell’s Kitchen-based restaurant serving Latin cuisine, will open at 90 Chambers, replacing Takumi Sushi;
• About Coffee and Variety Coffee announced plans to open at 222 Front Street and 140 Nassau Street, respectively. Mah-Ze-Dahr, a West-Village based bakery, will open this spring at Brookfield Place.
A few notable Lower Manhattan retailers that were thought to have permanently closed during the pandemic reopened or announced plans to reopen. They include:
• Manhatta reopened its penthouse restaurant at 28
Liberty Street in March, shifting towards a more barfocused menu;
• Racines wine bar at 94 Chambers Street will reopen as Chambers in May;
• Parm at 250 Vesey Street; and • GAP at 172 Broadway, pivoting towards GAP Factory.
• Trinity Boxing Club announced its return to Lower Manhattan, moving to 20 Vesey Street;
• A new 20,000 sq. ft., two-story food hall from Todd
English at 15 Park Row, in a space once occupied by J&R Music and Computer World;
Lower Manhattan Real Estate Market Report | Q1 2022
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HOTELS + TOURISM Tourism Begins to Rebound Lower Manhattan welcomed 5.7 million tourists in 2021 as domestic travel began to resume and international travel restrictions eased. While still far below 2019’s 14 million visitors, 2021’s tourism number was nearly double the visitation seen in 2020. The share of international visitors steadily increased to 28% and is anticipated to rise higher throughout 2022. The share of international traveler origination remained skewed toward Latin America, as traditional western European markets and Canada continued to face travel restrictions until November 2021. Nearly 33 million visitors came to New York City in 2021, less than half the record total for 2019, but still up from 22.3 million in 2020. Looking forward, NYC & Company forecasts that international travel will triple in 2022 and domestic travel will exceed pre-pandemic levels by 2023.
Lower Manhattan’s Hotel Development
Lower Manhattan Hotel Pipeline Source: Downtown Alliance
Hotel / Address 1
2
3 4
5
The current hotel inventory in Lower Manhattan stands at 8,062 rooms across 38 hotels, including two hotels that opened in 2022:
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• Hyatt Centric Wall Street debuted at 75 Wall Street.
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The property was rebranded from the Andaz Hotel Wall Street, which never reopened since the pandemic began, after the Hakimian Organization sold the 253room hotel to Blue Sky Hospitality for approximately $85 million in early 2022. The hotel is wrapping up a refresh akin to the hotel being rebranded, as well as a reopening of the hotel’s restaurants.
• Hotel Indigo NYC Downtown - Wall Street opened at 120-122 Water Street. The 127-room hotel will also include an on-site restaurant and rooftop bar that will open in summer 2022.
Lower Manhattan Real Estate Market Report | Q1 2022
The Fidi Hotel
Owner/ Developer
Rooms Open Date
11 Stone Street
Premier Emerald LLC
143
2022
The Wall Street Hotel
Actium Development
180
2022
Union Investment Real Estate
326
2022
Fit Investment Group
173
2022
The Warren Street Hotel
Solil Mgmt/ Firmdale
57
2023
The Ned Hotel at American Stock Exchange
Yucaipa Companies
174
2023
AC Hotel
Hidrock Realty
230
TBD
Tempo by Hilton
Hidrock Realty
296
TBD
TBD Hotel
The Moinian Group
172
TBD
88 Wall Street
Motel One
133 Greenwich Street
Aloft Hotel
50 Trinity Place
86 Warren Street
123 Greenwich Street
8 9
112 Liberty Street
140-142 Fulton Street
7 Platt Street
Total Hotels in the Pipeline
9
Total Hotel Rooms in the Pipeline
1,751
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There are over 1,700 hotel rooms across 9 hotels under construction or in development in Lower Manhattan. Nearly 650 rooms across three hotel developments are anticipated to open later in 2022. They include:
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Hotel Occupancy in Lower Manhattan and New York City Source: CoStar/STR
• The Wall Street Hotel at 88 Wall Street with 181 rooms and a signature restaurant and rooftop bar;
• The Fidi Hotel at 11 Stone Street with 143 rooms; and • Motel One at 133 Greenwich Street with 326 rooms. The property was formerly a Courtyard that closed in 2021 and will be rebranded.
Occupancy and Average Daily Room Rate Continue Recovery Though citywide hotel occupancy metrics remain below prepandemic levels, occupancy improved markedly over the last year. Citywide occupancy levels rose by 28% and Lower Manhattan recorded levels 20% higher than the first quarter of 2021, noticeably before mass vaccinations began. While citywide average daily room rates remained 26% below 2019 levels, they rose 12% year-over-year. Lower Manhattan saw average daily room rates rise a substantial 65% higher than at the beginning of 2021 at $206 per night, likely spurred by the recent addition of new luxury properties to the neighborhood’s hotel inventory.
Hotel Average Daily Room Rate (ADR) in Lower Manhattan and New York City Source: CoStar/STR
5.7 MILLION
Tourists Visited Lower Manhattan in 2021 - Double The Number of Tourists in 2020, but Still 60% Lower Than 2019 Estimates.
Lower Manhattan Real Estate Market Report | Q1 2022
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• 7 Dey Street: developed by SL Green, the 31-story,
209 rental unit tower includes 63 affordable units. The tower will have 48,000 sq. ft. of retail and commercial office space, including a One Medical office; and
• One Wall Street: Macklowe Properties is finalizing
construction on the conversion of the landmarked office tower into 566 condominiums. The building will offer 157,000 sq. ft. of retail, including a 44,000-sq.-ft. Whole Foods and 74,000-sq.-ft. Lifetime Fitness, both expected to open in late 2022.
Several key residential developments progressed forward with notable milestones this past year:
Source: Downtown Alliance
Address Condo + Rental Units Under Construction
• 7 Platt Street:
Foundation work began on Moinian’s 38-story, 250 rental unit tower. The existing five story structure was demolished last year.
• One Park Row: Demolition is continuing of the
existing structure at One Park Row. Circle F Capital is developing a 23-story, 103,000-sq.-ft. tower with 58 condos. The building will also include 19,000 sq. ft. of commercial space.
Lower Manhattan Real Estate Market Report | Q1 2022
Lease / Building Type
Units
Total
1,506
Rental New Construction
1
7 Dey Street
2
One Wall Street New Construction
3
86 Warren Street
4
Open Date
209
2022
566
2022
Condo New Construction
12
2023
1 Park Row
Condo New Construction
58
2023
5
7 Platt Street
Rental New Construction
250
2025
6
8 Carlisle Street
Rental New Construction
400
2025
7
160 Water Street
Rental Conversion
586
2025
8
250 Water Street
Rental New Construction
270
TBD
9
161 Maiden Lane
Condo New Construction
80
TBD
10 45 Park Place
Condo New Construction
50
TBD
11 125 Greenwich Street
Condo New Construction
273
TBD
Liberty 12 130 Street
Rental New Construction
1,325
2028
• 160 Water Street: Vanbarton Group filed plans and
began construction to convert the 24 story, 482,000 sq. ft. office building into a 586-unit market rate rental building. Vanbarton partnered with Metro Loft to convert a similar building at 180 Water Street in 2017. The conversion plan calls for the addition of five new floors and the building will be reclad with glass curtain walls. Construction is scheduled for completion by late 2025 and
MAJOR PROJECTS UPDATE
Lower Manhattan Residential Pipeline
Inventory and Development Lower Manhattan has 33,650 units in 342 residential buildings. There are 4,575 units in 16 buildings under construction or planned for development, with about 71% currently planned as rental units and 29% as condos. In 2022, construction is expected to wrap up on 775 units across two buildings:
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TOTAL UNITS IN THE PIPELINE
4,575
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Residential Rental Prices Rise Dramatically
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Median Residential Rental Price Source: Miller Samuel/Douglas Elliman
According to residential statistics published by Miller Samuel/Douglas Elliman, the median rent in Lower Manhattan rose to a new record high of $4,400, up nearly 5% from the previous quarter and a drastic 47% from the pandemic trough seen in the first quarter of 2021. This is the third consecutive quarter where Lower Manhattan’s median rent broke record highs. Manhattan’s overall median rent also rose to a record high of $3,695, up 6.3% from the previous quarter and over 23% year-over-year. This was the first time during which Manhattan’s overall median rent surpassed pre-pandemic rates. Demand and prices appear poised to increase further as pandemic-discounted leases have expired and employers move forward with firmer return-to-office plans.
130
$4,400
Median Rent in Lower Manhattan — Another Record High And Up From $3,000 During the Pandemic Trough.
Median Residential Sales Price Source: Miller Samuel/Douglas Elliman
The sales market was more tempered in the first quarter in Lower Manhattan as median sales prices and sales volume both fell. The median sales price for co-ops and condos in Lower Manhattan fell to $1.26 million, down over 21% from the previous quarter and nearly 15% year-over-year. While still elevated from pre-pandemic pricing, this is the second consecutive quarter where median sales prices have dropped. Sales volume in Lower Manhattan dropped 29% over the previous quarter and is down 17% year-over-year. Conversely, median sales prices across Manhattan were up 2% over the past quarter and 11% year-over-year at $1.19 million. Sales volumes are up 2% over the quarter and 46% year-over-year.
Lower Manhattan Real Estate Market Report | Q1 2022
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MAJOR PROJECTS UPDATE World Trade Center Ronald O. Perelman Performing Arts Center Construction on the Ronald O. Perelman Performing Arts Center topped out in the spring of 2021. Exterior facade work of the 4,900 marble panels wrapped in early 2022. The approximately 110,000-sq.-ft. cube-shaped building will feature three theaters of varying sizes which can be combined in different seating configurations and formats for an array of unique performance environments. The project is anticipated to open in 2023. St. Nicholas Greek Orthodox Church and National Shrine Construction of the Santiago Calatrava-designed St. Nicholas Greek Orthodox Church and National Shrine is nearing completion with white marble panels now installed on the exterior. The church, located atop Liberty Park, broke ground in 2014, but stalled in late 2017 after funding issues. In November, Orthodox Patriarch Bartholomew of Constantinople led a ceremonial dooropening service. The $80-million project anticipates opening in mid 2022. Site 5 In early 2021, a partnership between Brookfield and Silverstein Properties received approval from the Port Authority and Lower Manhattan Development Corporation to develop Site 5 at the World Trade Center, also known as 130 Liberty Street. The site currently serves as a Port Authority police depot and temporary plaza. The proposed 1.56 million-sq.-ft. tower is estimated to have over 1,300 rental apartments, of which approximately 25% will be affordable. Plans are still not finalized, but construction hopes to commence in 2023.
Transportation Infrastructure Broadway Bicycle Lane Fortified The New York City Department of Transportation NYC DOT announced a new project that will add concrete barriers to fortify half (20 miles) of the City’s dedicated bike lanes by the end of 2023. In one of the first projects, concrete barriers were installed along Broadway bike lane, between Barclay and Morris Streets.
Lower Manhattan Real Estate Market Report | Q1 2022
Ferry Capacity Growing
• In late December, the NYC Ferry Soundview route
added a stop at Throgs Neck/Ferry Point Park in the Bronx, further connecting the Bronx to Midtown and Pier 11-Wall Street.
• In early 2022, the NYC Ferry also began daily service
to Governors Island via the South Brooklyn Route, expanding direct access from Pier 11/Wall Street. Daily ferry service to Governors Island also continues via the Battery Maritime Building. The added ferry service to Governors Island coincided with the Island announcing it will be open year round.
• In 2022, the NYC Ferry will add a new Coney Island
route with stops at Pier 11-Wall Street, Bay Ridge and Coney Island.
• A new ferry route is scheduled to open this summer
connecting Elizabeth, NJ to Pier 15 in Lower Manhattan. The trip is anticipated to take 30 minutes. A shuttle bus will also launch, connecting the Elizabeth ferry to Newark International Airport.
Street Reconstruction Reconstruction of Front Street between Old Slip and John Street began in January 2020 and is scheduled for completion in Summer 2022. Greenwich Street reconstruction, between Barclay and Chambers Streets, began in early 2022 and will be completed in spring 2024; the adjacent sidewalks at 240 Greenwich Street will also be redone in tandem. Vesey Street reconstruction, between Church Street and Broadway, will begin in summer 2022, while Nassau Street reconstruction , between Pine Street and Maiden Lane, will begin in fall 2022. These projects, each lasting two years, will replace all underground infrastructure, including water mains, sewers, electric, gas and other utilities, as well as construct new streets and curbs.
Courtesy of NYC Department of Transportation
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Alliance for Downtown New York 120 Broadway, Suite 3340 New York, New York 10271 The mission of the Alliance for Downtown New York is to provide service, advocacy, research and information to advance Lower Manhattan as a global model of a 21st century central business district for businesses, residents and visitors. downtownny.com/business/research-statistics Lower Manhattan Real Estate Market Report | Q1 2022
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