The Real Deal New York

Key component of St. John’s project could be majorly delayed

Sputtering luxury market could lead to Westbrook Partners, Atlas Capital pressing pause on the construction of apartments

November 03, 2016 07:30AM

Renderings of the redeveloped St. John's Terminal site

Rendering of the proposed St. John’s Terminal redevelopment

The developers behind the proposed 1.7 million-square-foot redevelopment of the St. John’s Terminal are apparently considering delaying a major element of plan, which includes five buildings holding a mix of luxury condos and market-rate and affordable housing.

At a City Council meeting over the rezoning that would allow the project at 550 Washington Street to move forward, the local councilmember Corey Johnson said developers Westbrook Partners and Atlas Capital Group were apparently exploring a “hybrid plan” due to the choppy luxury market. This plan would delay the development of some of the housing, Johnson said.

The councilman was concerned that the delay will prevent the Hudson River Park Trust from getting the funds it needs to repair the pilings under Pier 40, according to DNAinfo. The Trust has agreed to sell the St. John’s developers $100 million worth of development rights and planned to use the funds for the badly-needed repairs.

The project has already undergone several iterations, and the developers nixed plans for a retail center and an elevated park due to community concerns in September.

Johnson, meanwhile, put forth several conditions that must be met if Atlas and Westbrook TRData LogoTINY want his vote for the rezoning, including an expansion of the West Village Historic District, and a promise that the Trust won’t sell it’s remaining 383,000 square feet of development rights in CB2.

The City Council will not vote on the rezoning until it’s clear what the developers’ plans are. [DNAinfo] — Chava Gourarie

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