A former Prospect Heights property owner is claiming to own the air rights to a part of the site where Bruce Ratner plans to build his new Nets arena and is suing the state for trying to “steal” it. Peter Williams, who already handed over his property to Ratner in exchange for cash, said the state never condemned his air rights above and around 24 Sixth Avenue when it took the building through eminent domain and that the embattled Atlantic Yards project cannot move forward until the issue is settled.
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A Lower East Side co-op complex has discovered that it is in possession of one million square feet of air rights, a “previously unknown asset” valued at $100 million, a memo distributed by the co-op board to the residents said, according to Curbed. While the value of the land rights at Seward Park, located at 264 East Broadway between Clinton and Montgomery streets, is still an estimated figure, it could bring in big bucks if the board decides to sell the rights. [more]

Opponents of the proposed Jean Nouvel-designed 1,050-foot tower, set for 53 West 53rd Street, the space neighboring the Museum of Modern Art at 11 West 53rd Street between Fifth and Sixth avenues, have produced a television ad condemning the project. The spot, which reportedly hit the air yesterday, singles out Council Speaker Christine Quinn and asks her to oppose the tower development. “Air rights are sold off and the people are sold out. Christine Quinn: Say no,” the ad says. Quinn’s office said in a statement that it is trying to find “an appropriate balance” that will meet the needs of both developers and residents.

Two years ago, demand for air rights was, well, through the roof. “For residential use at the peak of the market, [air rights] were between $400 and $500 a square foot,” said Stuart Siegel, executive managing director at commercial real estate firm Grubb & Ellis.

The rights, often called development rights by those in the industry, were being traded by everyone from real estate giants like the Related Companies to small-time developers. The goal: to erect ever-taller buildings, with which to pull in more income.

Stephen Lefkowitz, a partner at Fried Frank, which handled the transfer of several hundred thousand square feet of air rights from the St. Thomas Church on Fifth Avenue to the MoMa Tower to be built at 53 West 53rd Street, noted that at the time sales for air rights were “very active.” more