The proposed redevelopment could be put off until the luxury market improves; this would adversely affect Pier 40’s plans for repairs
Following last month’s altered plans for the St. John’s Terminal redevelopment project, across from Pier 40, developers of the proposed project are anticipating delays that will affect the pier’s ability to make much-needed repairs, reports DNAinfo.
Developers Westbrook Partners and the Atlas Capital Group nixed plans to incorporate “big box” retail and an elevated park into their project after both the City Planning Commission and West Village residents expressed concerns. After submitting the modifications to City Council developers are anticipating a delay on the center portion of the St. John’s Terminal site, where five buildings with both market-rate and affordable housing is expected to be built. But, according to DNAinfo, developers are also hesitant to construct the luxury residential units amidst the current market decline and are considering postponing the project.
So how does this affect Pier 40? The Hudson River Park Trust, which manages the pier, had reached an agreement with Westbrook Partners and Atlas Capital Group to transfer 200,000 square feet of air rights from Pier 40 to the development project for $100 million. The money generated from the sale was to be used to repair the pier’s 3,500 deteriorating piles. The HRPT is now concerned that it won’t get the desperately needed funds after all.
“It’s frustrating for me that all of a sudden, something new is introduced into the picture,” stated Councilman Corey Johnson at a City Council subcommittee public hearing on zoning and the air rights deal.
City Council will not vote on the rezoning that was being considered for the project until developers are certain which direction they plan on heading towards.