Westbrook Partners and Atlas Capital Group have finally struck a deal with city officials to buy 250,000 square feet of air rights from the crumbling Pier 40 for just over $100 million.
The agreement, years in the making, will fund renovations at the former cargo terminal, which is in danger of falling into the Hudson River. It will also allow the developers to proceed with their 1.7 million-square-foot St. John’s Terminal project.
A bill permitting the transfer passed the state legislature in 2013, but negotiations over the sale broke down last year in the face of vehement community opposition.
Westbrook and Atlas are planning to build five buildings on the St. John’s Terminal site, at Houston Street, across the West Side Highway from the pier. The project will contain 1.3 million square feet of housing, with about 1,586 units planned. Thirty percent of those units will be designated as affordable housing, the New York Times reported.
The planned sale will be subject to public review by Manhattan Community Board 2, the borough president, the Planning Commission and the City Council. [NYT] – Ariel Stulberg