New York City approves $850 million tower in Lower Manhattan

The Howard Hughes Corporation received New York City’s final approval of the $850 million South Street Seaport development project. The new design for 250 Water Street will feature 270 residential rental units, including 70 affordable. The affordable units will be available to families earning 40 percent of area median income, or roughly $45,000 for a family of four. The project also includes office, retail and community space. 

The 26-story mixed-use project has been revised multiple times after thousands of residents opposed the original proposal to build the 470-foot-tall structure. Local community groups argued that large-scale towers are inappropriate for the seaport’s historic district. In May 2021, the Landmarks Preservation Commission approved the “scaled-back” plan to build 324 feet tall tower. 

In the summer of 2021, the Seaport Coalition, which consists of local community groups, filed a lawsuit against the Landmarks Preservation Commission (LPC) for approving the project. But in October, Crain’s New York reported that the judge dismissed the lawsuit. 

The Howard Hughes Corporation estimates that the development will bring an approximately $1 billion boost into New York City’s economy and create over 3,000 permanent jobs. The project promises to generate $40 million in funding to the South Street Seaport Museum. In addition, the city committed to adding $10 million to the financial support for the museum.

"This important project will play a vital role in New York City's recovery through the creation of a new mixed-income rental building, office space, neighborhood infrastructure improvements, and critical funding to ensure the long-term success of the treasured South Street Seaport Museum," said Saul Scherl, President of the New York Tri-State Region for The Howard Hughes Corporation in the press release. "We are firmly committed to a bright future for the Seaport neighborhood, and our 250 Water Street project is at the heart of our vision for this vital and historic part of the City."

Resources: 

“$850M South Street Seaport project gets final approval,” by Devin Gannon (6sqft, 2022)

“Judge dismisses legal challenge aiming to stop controversial Seaport tower,” by Eddie Small (Crain’s New York, 2021)

“The Howard Hughes Corporation® Announces Approval Of $850 Million Development Project For 250 Water Street At The Seaport In Lower Manhattan,” (The Howard Hughes Corporation, 2021)

“Howard Hughes Gets NYC Nod for $850 Million Manhattan Tower,” by John Gittelsohn (Bloomberg, 2021)

“Judge Dismisses Lawsuit Opposing Controversial 250 Water Street Seaport Building,” by Jen Chung (Gothamist, 2021)

“Smaller" Plan For 250 Water Street In South Street Seaport Approved By Landmarks Commission,” by Sophia Chang (Gothamist, 2021)

“Opponents Sue Landmarks Commission Over Seaport Tower Approval,” by Carl Glassman (The Tribeca Trib, 2021)