Wanted: State searching for developers for Chelsea prison

TRD New York /
Jan.January 29, 2014 12:20 PM

The state is seeking developers for Bayview Correctional Facility, a former women’s prison located at West 20th Street and 11th Avenue in Chelsea that was officially shuttered back in August.

Developers have previously expressed interest in turning the site into luxury condominiums or even a hotel, but but state officials aren’t interested in residential uses. Instead, they want a project that would stimulate job growth in the neighborhood. Some developers, however, are skeptical about converting the property, at 550 West 20th Street, into office space, citing its low ceilings, tiny windows and small floor plates.

“Because of its limiting factors, there’s only so far you can go,” real estate investor Don Peebles, who is involved in several public-private partnerships, told the Wall Street Journal.

“The state’s going to leave a significant amount of money on the table by dictating the use,” Dan Fasulo, a managing director at Real Capital Analytics, told the newspaper.

But Kenneth Adams, president of the Empire State Development Corporation said that the industrial building was ripe for office conversion, especially by technology companies, and pointed to Google’s $1.9 billion purchase of 111 Eighth Avenue in 2010.

“For high tech companies, for media companies, a building like this could lend itself to that,” Adams told the newspaper.

The state issued the request for proposals last month, and the deadline for submissions is the middle of February, with officials slated to choose a developer in the spring. [WSJ] –  Hiten Samtani


Related Articles

arrow_forward_ios
Michael Bloomberg (Credit: Getty Images, iStock)

Love, hate, and real estate: Bloomberg’s record may polarize voters

WATCH: Don Peebles leads diversity in real estate talk at The Real Deal Miami event

WATCH: Don Peebles leads diversity in real estate talk at The Real Deal Miami event

WATCH: Don Peebles on why developers love Miami’s volatility

WATCH: Don Peebles on why developers love Miami’s volatility

WATCH: Developers and brokers weigh in on Miami sea level rise

WATCH: Developers and brokers weigh in on Miami sea level rise

From left: Ben Carson and Grant Cardone

Opportunity Zones, luxury residential pricing, the diversity dilemma and more at TRD Miami’s Showcase & Forum

Don Peebles

Minority real estate professionals still fight racial and gender barriers: TRD Miami Showcase & Forum

From left: The El Ad Group's Isaac Tshuva, 108 Leonard Street and the Peebles Organization's Don Peebles (Credit: Delek Group, Google Maps, and Peebles Corporation)

El Ad, Peebles land $450M condo inventory loan for Tribeca’s Clock Tower conversion

A court case could kill plans for a $21M penthouse at the Clock Tower building

A court case could kill plans for a $21M penthouse at the Clock Tower building

arrow_forward_ios
Loading...