Rendering and map of Manhattan Greenway plan

Mayor Michael Bloomberg and the heads of the State Assembly and State Senate have agreed on a memorandum of understanding that will provide the financing framework to close the gap in the Manhattan Greenway on the East Side of Manhattan through a land deal with the United Nations, according to a statement released by Bloomberg this afternoon. The deal involves the sale of a portion of Robert Moses Playground to the U.N. for construction of a new building.

The complicated land deal was first put into motion by legislation signed by Governor Andrew Cuomo in July, but the city and state government leaders still had to come to an agreement on details by Oct. 10. Since then, city and state officials have been holding public forums about the plans, where they have addressed concerns from residents about the height of the new U.N. building and the loss of the playground space. — Miranda Neubauer [more]

Almost three-quarters of East Side residents approve of proposals to sell city-owned land — including the Robert Moses Playground next to the United Nations and U.N. Plaza 1 and 2, two city-owned building occupied by the U.N. on 44th Street — to finance the completion of a 21-block gap in the East River Greenway, according to the Friends of the East River Greenway, Crain’s reported.

Gov. Andrew Cuomo signed legislation in July calling for a decision to be reached by Oct. 10 between city and state officials to sell the 29,000-square-foot park at East 42nd Street and First Avenue.

David Cantor, a spokesperson for the Friends of the East River Greenway, said $200 million would likely be generated by the land deals to fill the greenway gap. [more]

Some Tudor City residents have expressed concerns about the East River
Greenways project at open forums, as the city and the state continue
to work on coming to a final agreement for their plan for the site by
Oct. 10, DNAinfo reported.

Under the plan the city would fund a park esplanade from 38th to 60th streets through a deal
with the United Nations. Under the terms of the deal, the U.N. will
purchase the western portion of Robert Moses Playground and build a
tower of offices there. Once that building is constructed, the U.N. will
vacate two city-owned buildings across the street. Funds from the sale
of those buildings and that of Robert Moses Playground between 41st and 42nd streets will finance
the extension of the waterfront. But for the plans to go forward, the
city and the state must finalize the details of their agreement by Oct. 10 with public involvement.  [more]

The Republic of Turkey has purchased a small five-story rental building at 342 East 46th Street and First Avenue near the United Nations headquarters for $5.1 million, according to public records filed with the city today.

Though a spokesperson for the Turkish authorities was not immediately available for comment, a representative of the seller, real estate investment firm Heritage Realty, based at 619 West 54th Street, said the Republic of Turkey bought the building to accommodate its New York City-based staff. It owns adjoining lots, including a parking facility at 344 East 46th Street, and plans to develop apartments at 342 East 46th Street, he said.

“They own adjacent lots and 14,000 square feet of air rights,” Michael Aryeh, manager of Heritage, said. He also said the transaction, which closed Aug. 24, had been a direct sale, with no brokers involved.  [more]

Sheldon Solow

Developer Sheldon Solow met with city officials last week in a last-ditch effort to plead his case for constructing the new United Nations building to make better use of nine acres he owns along First Avenue just south of the current United Nations site, Crain’s reported.

Solow’s plan to construct seven towers on his property has stalled, so he wants the city to consider it for the United Nations project, Crain’s said. Solow proposes that the city build the new tower on his nine-acre site, or across the street from the current U.N. building, at Robert Moses Playground on First Avenue and East 42nd Street, and replace the playground on his property. Solow already sold part of his massive First Avenue holdings to the city for $33 million in 2010. [more]

Rendering of esplanade plan

Local officials are seeking input from East Side residents on plans to develop new public park space along the East River as part of a land swap deal with the United Nations, DNAinfo reported. Last week, Gov. Andrew Cuomo signed off on a new law that would allow the U.N. to build a new office tower on the site of Robert Moses Playground, on First Avenue between 41st and 42nd streets, in exchange for improvements along the East River esplanade. [more]

The sale of Extell Development’s 16-story, 187,060-square-foot office building at 305 East 46th Street , between First and Second avenues, closed for $114.05 million May 27, according to public records filed last Friday. The buyer was Newton, Mass.-based Government Properties Income Trust, a real estate investment trust specializing in government tenants. This represents Government Properties’ first New York City acquisition.

As was previously reported, about 700 employees of the United Nations currently occupy the building, and will for some time, according to Gary Barnett, president of Extell, who leased the space to the UN for $50 per square foot in 2007. “They have a long term left on their lease,” he said, “so I think they’ll be there for some time.” — Katherine Clarke [more]

Gary Barnett’s Extell Development has reached a deal to unload its 16-story office building at 305 East 46th Street, currently occupied by some 700 United Nations employees, for $114 million, Crain’s reported. The buyer, sources said, is Newton, Mass.-based Government Properties Income Trust, a real estate investment trust that specializes in government tenants and does not yet own property in New York City. Its first Manhattan acquisition, which sits between First and Second avenues, is being used by the U.N. while it renovates its landmarked Secretariat Building. [more]

Four loans with an unpaid balance totaling $18.75 million are up for grabs at a stalled development site near the United Nations that has the potential to become a new hotel or consulate, according to the Observer (note: clarification made). The loans, which are being marketed by David Schechtman of Eastern Consolidated, are secured by the retail, residential and commercial properties at 844 Second Avenue, 302 East 45th Street, 303 East 44th Street and 304 East 44th Street. Plans for a high-end hotel or consulate there never got off the ground because of the tight construction market, but the current owners did consider moving air rights from the Second Avenue and 45th Street properties to the two on 44th Street to create nearly 75,000 square feet of development rights. [more]

Grethe Knudsen and 255 East 49th Street (building source: PropertyShark)

Just in time for the annual meeting of the United Nations’ General Assembly, the top diplomat from Norway has purchased a plush new penthouse condo right in the nearby Turtle Bay neighborhood.