Landlord to Cuomo: “No intention of selling” Penn Station site

Governor eyes city block to expand train hub, has eminent domain in back pocket

New York /
Jan.January 09, 2020 09:00 AM
Gov. Andrew Cuomo and a rendering of Penn Station (Credit: Getty Images, Governor's Office)

Gov. Andrew Cuomo and a rendering of Penn Station (Credit: Getty Images, Governor’s Office)

Gov. Andrew Cuomo’s Penn Station expansion plan already has a big hurdle — 17 stories tall, in fact.

A landlord whose business is in the pathway of the project said he is angry about the proposal unveiled Monday and doesn’t want to move.

“We are long-term property owners with no intention of selling,” Michael Orbach, whose company owns a 17-story office building at 259 West 30th Street, told Crain’s.

Cuomo said he aims to buy a city block south of Penn Station to build another terminal and boost capacity at the busy rail hub. Although the idea had been talked about for years, Cuomo’s declaration caught some property owners off guard and raised questions about the potential use of eminent domain.

“We were never notified in writing of the state’s intentions prior to the announcement, so we really do not know what the scope of this project is,” Orbach said. “While we appreciate the need to expand Penn Station and appreciate the governor’s intentions here, we have seen the state’s use of the eminent domain process in the past at the New York Times Building on Eighth Avenue and it was not handled in a fair way for the small property owners involved.”

Following the announcement, owners of some of the 51 properties on the block bordered by Seventh and Eighth avenues and West 30th and West 31st streets told The Real Deal that they had not been contacted by the governor’s office.

The governor’s office said it wants to acquire private property through friendly negotiations rather than by condemning them. Orbach’s reaction throws the first wrench in that plan.

[Crain’s] — Sylvia Varnham O’Regan


Related Articles

arrow_forward_ios
Governor Andrew Cuomo and Senator James Skoufis (Credit: Getty Images, NY Senate)

Owners of some residential properties can’t hide behind
LLCs anymore

Owners of some residential properties can’t hide behind
LLCs anymore
Governor Andrew Cuomo and 538 Johnson Avenue in Brooklyn (Credit: Google Maps and Getty Images)

Landlords take another hit: Cuomo signs expanded Loft Law

Landlords take another hit: Cuomo signs expanded Loft Law
Governor Andrew Cuomo (Credit: Getty Images)

Cuomo wants to exempt NYC from prevailing wage bill

Cuomo wants to exempt NYC from prevailing wage bill
New York City District Council of Carpenters’s Monitor Glen McGorty (iStock; LinkedIn)

NYC carpenters union changes how it roots out mob ties

NYC carpenters union changes how it roots out mob ties
The Economic Innovation Group identified 145 real estate investments in Opportunity Zones (iStock)

Real estate deals dominate Opportunity Zones. Is that bad?

Real estate deals dominate Opportunity Zones. Is that bad?
Gov. Andrew Cuomo and City Council member Mark Levine (Getty; City Council)

Parts of Manhattan, Staten Island enter lockdowns, but is it enough?

Parts of Manhattan, Staten Island enter lockdowns, but is it enough?
Assemblymember Marcela Mitaynes  and Sen. Charles Schumer (Photos via Protect Sunset Park; Getty; Facebook)

With NY poised to lose billions, socialists fight real estate

With NY poised to lose billions, socialists fight real estate
From left: Edison Properties CEO Robert Selsam, Ironstate Development's Michael Barry, Stellar Management founder Larry Gluck (LinkedIn; Gluck Family Foundation)

These developers could benefit the most from Soho’s rezoning

These developers could benefit the most from Soho’s rezoning
arrow_forward_ios

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

Loading...