No tax breaks so JPMorgan Chase cans Hudson Yards move

Bank drops plan to build $6.5B headquarters
October 29, 2014 08:00AM

JPMorgan Chase will not build its new headquarters at Hudson Yards.

After the bank proposed the $6.5 billion idea — which would consist of a 40-story and a 62-story skyscraper and would house 16,000 employees — earlier this month, it has now decided to stay put on the East Side, according to the New York Times.

Chase Chairman Jamie Dimon broke the news to Mayor Bill de Blasio and Governor Andrew Cuomo on Tuesday.

The project, however, couldn’t move forward without coming to an agreement with the city and the state over a subsidy package. Chase would have had to buy the parcels — 50 and 55 Hudson Yards on the north side of 33rd Street between 10th and 11th avenues — from Related Companies. Chase had said that it was looking for $1 billion in tax breaks, something the mayor called a “nonstarter.”

“This is an outcome that validates our approach, and our belief that these deals often come down to factors that have nothing to do with taxpayer subsidies,” Alicia Glen, deputy mayor for economic development, said, according to the newspaper. “We’re glad that JPMorgan has decided to maintain its buildings and its work force right where they are for the foreseeable future.” [NYT] — Claire Moses