The Real Deal New York

WATCH: A rezoning of Midtown East would be huge for owners at these 5 sites

City proposal would increase the permitted maximum density of office space by about 30%

August 31, 2016 10:51AM
By Alistair Gardiner

Midtown East may be on the verge of a growth spurt.

City Hall has released a draft proposal to rezone Midtown East, which would allow developers to build to a maximum density of roughly 30 percent more than it currently permitted in the area. The proposal, which would allow taller buildings to be constructed near to Grand Central Terminal, is ultimately an attempt to encourage the development of more office space in the neighborhood.

In order to take advantage of the proposed increase in maximum density, developers would have to purchase air rights from landmarked buildings or contribute money to public infrastructure projects. One Vanderbilt is currently leading the way, with developer SL Green Realty receiving zoning benefits in exchange for buying air rights from the Grand Central Terminal area and providing $210 million toward local subway station improvements.

The proposal specifically targets 16 sites in the area and breaks down how much office space could be gained by the rezoning–the combined potential of these sites is 6.6 million square-feet of office space.

To see the top 5 sites that stand to gain the most office space, watch the video above.

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