Related switches partners at big 42nd Street and Tenth Avenue project

January 11, 2008 03:49PM

Twining Properties and Macfarlane Partners, The Related Companies’ partners at a long-stalled development site that covers an entire block at 42nd Street and Tenth Avenue, have cashed out their shares in the project. Meanwhile, Goldman Sachs and MSD Capital, which became the firm’s first outside investors last month, are now equity partners on the project at 440 West 42nd Street, said Related spokeswoman Joanna Rose. “We are moving forward with the project and we hope to reveal details on it very soon,” Rose said. A 60-story high rise residential tower with over 600 luxury apartments was planned after the former Houseman and Fairbanks theaters were cleared in 2005. But the project failed to receive a zoning bonus and tax breaks for a proposed Cirque du Soleil complex in the tower’s base. The site, which reportedly fills with water when it rains, has been dubbed by some as “Lake Related” and the “Hell’s Kitchen Swimming Hole.” TRD