New hotels would need community board OK under proposal

Legislation ‘needed to protect character of neighborhoods across this city.’ – Jumaane Williams

TRD New York /
Mar.March 31, 2014 04:31 PM

The phrase “as-of-right” may soon lose its meaning in New York hotel development. The New York City Council is considering giving local community boards a say in the construction of new hotels and hotel apartments, even if a developer has as-of-right permission to build a project.

The legislation was introduced March 12 by Councilman Jumaane Williams, who represents Brooklyn’s District 45 and chairs the Council’s Committee on Housing and Buldings, with the support of colleagues Margaret Chin, Corey Johnson, Peter Koo, Ritchie Torres and Helen Rosenthal.

The bill would require that developers add a statement to their applications for construction of new hotel projects that certifies that the project’s local community board “has completed their review of the plan.”

Individuals may submit testimony on the bill to the Council at a hearing Wednesday. A vote on the legislation will follow.

“This legislation is needed to protect character of neighborhoods across this city, as communities change faster than zoning,” Williams said in a statement to The Real Deal. “Whenever a hotel, with a large number of transient occupants, is built, consideration must be given to its impact on the people living in that neighborhood.”

Williams added that even if a development can be built as-of-right, that doesn’t necessarily mean that it’s in the neighborhood’s best interests.

“Communities should have knowledge and input on the location and scope of proposed hotels, and community boards represent the voice of residents in government.”

New York is seeing a hotel construction boom, with enough beds in the pipeline for 110,000 rooms by 2016, as TRD reported. Most of the development is taking place in Manhattan, but a sizable number of beds are also being built in the outer boroughs, as record streams of tourists and business travelers visit the city.

The proposal could be an impediment to that new construction, brokers and developers said. “It will slow hotel development down, absolutely,” said McSam Group CEO Sam Chang. “We [hoteliers] are creating so many jobs and so much tax revenue,” he said, and disrupting the as-of-right process would cause unnecessary delays.

“One of the things that makes the city work well is the as-of-right process,” said Massey Knakal Realty Services chairman Bob Knakal. “Not having the process encourages corruption and slows development down.”

City Center Real Estate’s Robert Shapiro said that the proposal, if it passed, would “prevent New York City from being competitive. We’ll be unable to create sufficient hotel product to meet demand here.”


Related Articles

arrow_forward_ios
Sam Chang and 140 West 28th Street (Gene Kaufman Architects)

Sam Chang sells hotel in Chelsea for $147M

Sam Chang sells hotel in Chelsea for $147M
Sam Chang and TownePlace Suites by Marriott at 324 West 44th Street (Google Maps)

Hotelier Sam Chang’s businesses snagged millions in PPP loans

Hotelier Sam Chang’s businesses snagged millions in PPP loans
Investors worry that New York City’s battered commercial real estate sector is indicative of larger issues nationwide with hotels, restaurants and retail. (iStock)

New York’s CRE woes could spread nationwide: investors

New York’s CRE woes could spread nationwide: investors
Magna CEO Robert Indeglia with the Courtyard by Marriott 307 West 37th Street and the Fairfield Inn & Suites at 325 West 33rd Street (Google; Magna)

Magna Hospitality emerges as New York’s hotel vulture

Magna Hospitality emerges as New York’s hotel vulture
Ashkenazy Acquisition's Ben Ashkenazy and Marriott East Side at 525 Lexington Avenue (Google Maps)

Lawsuit accuses Marriott of misappropriating funds at East Side hotel

Lawsuit accuses Marriott of misappropriating funds at East Side hotel
Ian Schrager and the Pulic Hotel at 215 Chrystie Street (Getty; Google)

$60M mezz loan on Ian Schrager’s Public Hotel is for sale

$60M mezz loan on Ian Schrager’s Public Hotel is for sale
The Martinique hotel (Wikipedia, Google Maps)

Operator of Martinique Hotel in Manhattan files for bankruptcy

Operator of Martinique Hotel in Manhattan files for bankruptcy
Courtyard by Marriott in Herald Square and Marriott CEO Arne Sorenson (Google Maps, Getty)

Courtyard by Marriott in Herald Square to close permanently

Courtyard by Marriott in Herald Square to close permanently
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...