Moinian’s Hudson Yards office tower to cost $1.6 billion: filing

Total development costs work out to $916 per square foot

Dec.December 24, 2014 03:16 PM

The Moinian Group estimates it will cost $1.6 billion to develop its 1.7-million square-foot Hudson Yards office tower, 3 Hudson Boulevard, according to a public notice of the company’s intent to apply for economic incentives.

The developer put the $1.6 billion price tag on the planned 66-story tower at 400 11th Avenue on the corner of 34th Street when it filed an application with the New York City Industrial Development Agency seeking to make certain payments in exchange for forgoing property and mortgage-recording taxes on the tower.

The IDA had scheduled a hearing on the application for Jan. 8, but a spokesperson said Moinian had not submitted a complete application and the hearing will be rescheduled.

Moinian, like other office-tower developers in the booming Far West Side neighborhood, is in the process of purchasing bonus building rights for its property.

The total development costs – which include both soft- and hard-costs – work out to about $916 per square foot, which is roughly three-quarters the price Tishman Speyer, Moinian’s neighbor on the western side of the block, is paying.

In a similar filing with the IDA over the summer, Tishman said it will cost $3.2 billion to develop its 2.6-million-square-foot office tower at the corner of 10th Avenue and 34th Street.

That works out to nearly $1,230 per square foot. The prices each company paid for their respective development sites could explain the differences in cost.

Moinian paid about $117 per buildable square foot when it bought its site for nearly $55 million back in 2005. Tishman, on the other hand, paid about $649 per buildable square foot earlier this year to assemble two different properties for $438 million.

Related Articles

(Image by Wolfgang & Hite via Dezeen)

Hudson Yards megadevelopment inspires a new line of sex toys

The Observation Deck at Hudson Yards (Credit: Adam Pogoff)

Views from 1,100 feet: A tour of Related’s “the edge,” the tallest outdoor observation deck in the Western Hemisphere

Facebook CEO Mark Zuckerberg and Hudson Yards (Credit: Getty Images and Wikipedia)

Facebook close to finalizing Hudson Yards office deal: report

It’s a good time to be an industrial broker. Just ask them. (Credit: iStock)

Why all the kids suddenly want to become industrial brokers

Steve Ross, Eliot Spitzer and a rendering of 451 10th Avenue (Credit: Getty Images) 

Spitzer, Related land $276M in financing for Hudson Yards senior housing project

Brooklyn Councilmember Justin Brannan 

NYC pol aims to curb Amazon-style warehouses

The Wheeler at 181 Livingston Street with Tishman Speyer's Rob Speyer (Credit: The Wheeler, Getty Images)

For-profit Whittle School inks lease for Tishman Speyer’s The Wheeler

From left: 330 Madison Avenue, 66 Hudson Boulevard and 599 Lexington Avenue (Credit: Google Maps)

Law firms topped the list of January’s biggest office leases in NYC