NEW YORK, Dec. 29, 2021 /PRNewswire/ — The Howard Hughes Company® (NYSE: HHC) in the present day introduced the ultimate approval by the Metropolis of New York of its deliberate $850 million 250 Water Road growth mission on the Seaport in Decrease Manhattan, a key part of HHC’s long-term imaginative and prescient for the historic neighborhood. The 26-story mixed-use mission, designed by world-renowned structure and concrete design agency Skidmore, Owings & Merrill (SOM), will function residential rental flats, workplace, retail and neighborhood area. Along with offering inexpensive housing, the constructing, initially deliberate with a market-rate part consisting of for-sale models, will now provide market-rate residential rental models to deal with the excessive demand for rental housing in Decrease Manhattan.
The mission will generate $50 million in important funding for the South Road Seaport Museum, a beloved New York Metropolis cultural establishment, with $40 million generated by the HHC 250 Water Road mission and an extra $10 million dedicated to by the Metropolis of New York. The 250 Water Road mission, which is anticipated to interrupt floor in 2022, will generate roughly $1 billion in financial impression for the Metropolis and State and create greater than 3,300 everlasting and development jobs.
HHC has additionally obtained approval from the Metropolis to increase the corporate’s floor lease for Metropolis-owned properties on the Seaport to 99 years, strengthening HHC’s capacity to proceed to put money into and revitalize the realm and demonstrating its confidence within the long-term way forward for New York Metropolis.
“This essential mission will play a significant function in New York Metropolis’s restoration by means of the creation of a brand new mixed-income rental constructing, workplace area, neighborhood infrastructure enhancements, and important funding to make sure the long-term success of the treasured South Road Seaport Museum,” mentioned Saul Scherl, President of the New York Tri-State Area for The Howard Hughes Company. “We’re firmly dedicated to a shiny future for the Seaport neighborhood, and our 250 Water Road mission is on the coronary heart of our imaginative and prescient for this very important and historic a part of the Metropolis.”
“All through my tenure, I’ve been proud to advocate for mixed-income housing all through my district, particularly inexpensive housing in areas lengthy out of attain for thus many working households,” mentioned New York Metropolis Council Member Margaret Chin. “The 250 Water Road mission is not going to solely remodel an outdated parking zone into high-quality mixed-income housing, it’s going to additionally present a crucial lifeline to one in all my district’s—and our metropolis’s—most treasured cultural establishments, the South Road Seaport Museum. The Howard Hughes Company is clearly dedicated to the Seaport as our metropolis recovers, and I wish to thank HHC management for a collaborative, productive partnership and willingness to work hand-in-hand with the neighborhood over the previous couple of years. This can be a mission I’m proud to assist.”
“The approval of 250 Water Road represents an essential second within the continued revitalization of the Seaport district, and the financial and cultural restoration of Decrease Manhattan,” mentioned Manhattan Borough President Gale A. Brewer. “I’m happy that this can lead to 70 new inexpensive flats and an endowment of sustainable funding for the South Road Seaport Museum, a beloved group that I’ve supported for a few years. Over its 54 years, the South Road Seaport Museum has reminded us of the wealthy maritime historical past of Decrease Manhattan, and I’m delighted that it’ll proceed to hyperlink the Seaport to its distinctive historical past as a birthplace of our metropolis. Congratulations to the Mayor, Councilmember Chin, and members of Neighborhood Board 1 and the Decrease Manhattan neighborhood, in addition to to the groups at The Howard Hughes Company and New York Metropolis Financial Growth Company, for supporting the preservation and development of the historic portion of the oldest port in our metropolis.”
Deliberate for the location of a full-block floor parking zone, the 324-foot-tall constructing will present a much-needed gateway to the Seaport and consists of roughly 270 flats above a five-story base with Class A workplace, retail and neighborhood area.
By following the requirements and tips of the Metropolis’s Obligatory Inclusionary Housing program, HHC has dedicated that 20 % of the residential flooring space comprising no less than 70 of the 26-story constructing’s flats will likely be inexpensive to households incomes a mean of 40 % of space median earnings, or roughly $45,000 for a household of 4. Primarily based on the present power of the native multifamily rental market, HHC intends to develop the constructing’s market-rate residential models as rental, reasonably than for-sale flats as initially proposed.
The Museum has served as the realm’s cultural anchor since 1967, with celebrated collections that honor New York Metropolis’s maritime heritage. The Museum has suffered important setbacks over the past 20 years, together with a two-year closure after 9/11, the 2008 monetary collapse, flooding throughout Superstorm Sandy, and, most lately, the pandemic. Along with the $40 million endowment made doable by means of HHC’s 250 Water Road growth, the Museum would be the recipient of $10 million of capital funding dedicated to by the Metropolis to advance future Museum capital rehabilitation tasks. Constructing on this crucial infusion of latest funding, the Museum will plan for a brand new state-of-the-art constructing that may meet its programming wants.
In reference to the approval to increase its Metropolis lease from a remaining 51-year time period to 99 years, HHC has additionally dedicated $9.8 million towards important resiliency enhancements in addition to enhancements to Titanic Park, an entry level to the Seaport, along with a $3.75 million funding to develop maritime makes use of by facilitating vessel docking on the east and north sides of Pier 17.
The approval of 250 Water Road and HHC’s lease extension caps a complete public evaluation course of throughout which HHC obtained approvals by means of the Metropolis’s Uniform Land Use Overview Process, which included evaluation by Manhattan Neighborhood Board 1, the Manhattan Borough President, the New York Metropolis Planning Fee and the New York Metropolis Council.
HHC will start a complete remediation of the location by means of the New York State Brownfield Cleanup Program in 2022.
Approval of the 250 Water Road mission comes as HHC is nearing completion of the Tin Constructing, one other important milestone within the revitalization of the Seaport. The historic Tin Constructing is presently being refurbished and redeveloped by HHC as a market in partnership with Chef Jean-Georges Vongerichten, set to open in spring of 2022. Collectively, Pier 17, the Tin Constructing and 250 Water Road exemplify HHC’s dedication to the rejuvenation of this essential historic space of New York Metropolis.
About The Howard Hughes Company®
The Howard Hughes Company owns, manages and develops business, residential and mixed-use actual property all through the U.S. Its award-winning belongings embody the nation’s preeminent portfolio of grasp deliberate cities and communities, in addition to working properties and growth alternatives together with the Seaport District in New York; Columbia, Maryland; The Woodlands®, The Woodlands Hills®, and Bridgeland® within the Higher Houston, Texas space; Summerlin®, Las Vegas; Ward Village® in Honolulu, Hawaiʻi; and Douglas Ranch in Phoenix. The Howard Hughes Company’s portfolio is strategically positioned to fulfill and speed up growth primarily based on market demand, leading to one of many strongest actual property platforms within the nation. Devoted to modern placemaking, the Firm is acknowledged for its ongoing dedication to design excellence and to the cultural lifetime of its communities. The Howard Hughes Company is traded on the New York Inventory Change as HHC. For extra data go to www.howardhughes.com.
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Risa Heller Communications
James Yolles, 202-997-4559
The Howard Hughes Company
Cristina Carlson, 646-822-6910
Senior Vice President, Head of Company Communications
For HHC Investor Relations
John Saxon, 281-929-7808
Investor Relations Affiliate
Correne S. Loeffler, 281-929-7787
Chief Monetary Officer
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