Morgan Stanley has disclosed that it has withdrawn its plan to relocate its headquarters from Times Square to the MTA's 26-acre West Side rail yards as part of Tishman Speyer Properties's proposal to develop the yards, one of four still under consideration.
A fifth development venture, Brookfield Properties, recently decided not to submit a bid in a second bidding round.
Morgan Stanley had planned to be the anchor tenant in a 3-million-square-foot building at the northwest corner at Tenth Avenue and 30th Street. It also had planned to finance the Tishman Speyer venture.
Its current lease expires in 2013 and Jeanmarie McFadden, a spokeswoman for Morgan Stanley, was quoted in an article by Charles V. Bagli in today's edition of The New York Times that "based on the uncertainty of the timetable, we're not able to commit to the project at this time," but added, "we're still very interested in the project."
The Tishman Speyer plan, part of which is illustrated at the right, was designed by Helmut Jahn.
The other remaining bidders are Extell, the Related Companies and the News Corporation, and the Durst Organization and Vornado Realty Trust. Extell's plans have been designed by Steven Holl. Related plans to build a headquarters for The News Corporation, which owns the Wall Street Journal, The New York Post and Fox Television among other properties. Its plans have been designed by Robert A. M. Stern, Kohn Pedersen Fox and Arquitectonica. The Durst Organization and Vornado plans designed by FXFowle including erecting a headquarters for Cond¿ Nast Publications, which has its headquarters now in Times Square.
Mr. Bagli's article said that the MTA hopes to select a "winner" next month and that the four submitted bids were all for about $1 billion for a 99-year lease on the yards and that the winning bidder will have "to put up $20 million immediately and complete a final contract within four months, when it must make a $100 million down payment." The article said that the MTA anticipates that it will take 18 months after that for site preparation and then two to three years and about $1.5 billion to build foundations and platforms for the development.
In recent weeks, the numerous very ambitious major projects contemplated for West Midtown have encountered a variety of problems. Financing issues are still unresolved for the creation of a second station for the extension of the 7 subway line from Times Square to the area near the MTA yards. Expansion plans are also uncertain for an expansion of the Javits Convention Center. The creation of a new Penn Station at the Farley Post Office remains in doubt because of financing and the possible decision by Madison Square Garden not to move into the post office building and stay where it is. All these projects will greatly influence the possible development of millions of square feet of residential and commercial space in the already congested West Midtown area.
A fifth development venture, Brookfield Properties, recently decided not to submit a bid in a second bidding round.
Morgan Stanley had planned to be the anchor tenant in a 3-million-square-foot building at the northwest corner at Tenth Avenue and 30th Street. It also had planned to finance the Tishman Speyer venture.
Its current lease expires in 2013 and Jeanmarie McFadden, a spokeswoman for Morgan Stanley, was quoted in an article by Charles V. Bagli in today's edition of The New York Times that "based on the uncertainty of the timetable, we're not able to commit to the project at this time," but added, "we're still very interested in the project."
The Tishman Speyer plan, part of which is illustrated at the right, was designed by Helmut Jahn.
The other remaining bidders are Extell, the Related Companies and the News Corporation, and the Durst Organization and Vornado Realty Trust. Extell's plans have been designed by Steven Holl. Related plans to build a headquarters for The News Corporation, which owns the Wall Street Journal, The New York Post and Fox Television among other properties. Its plans have been designed by Robert A. M. Stern, Kohn Pedersen Fox and Arquitectonica. The Durst Organization and Vornado plans designed by FXFowle including erecting a headquarters for Cond¿ Nast Publications, which has its headquarters now in Times Square.
Mr. Bagli's article said that the MTA hopes to select a "winner" next month and that the four submitted bids were all for about $1 billion for a 99-year lease on the yards and that the winning bidder will have "to put up $20 million immediately and complete a final contract within four months, when it must make a $100 million down payment." The article said that the MTA anticipates that it will take 18 months after that for site preparation and then two to three years and about $1.5 billion to build foundations and platforms for the development.
In recent weeks, the numerous very ambitious major projects contemplated for West Midtown have encountered a variety of problems. Financing issues are still unresolved for the creation of a second station for the extension of the 7 subway line from Times Square to the area near the MTA yards. Expansion plans are also uncertain for an expansion of the Javits Convention Center. The creation of a new Penn Station at the Farley Post Office remains in doubt because of financing and the possible decision by Madison Square Garden not to move into the post office building and stay where it is. All these projects will greatly influence the possible development of millions of square feet of residential and commercial space in the already congested West Midtown area.
Architecture Critic
Carter Horsley
Since 1997, Carter B. Horsley has been the editorial director of CityRealty. He began his journalistic career at The New York Times in 1961 where he spent 26 years as a reporter specializing in real estate & architectural news. In 1987, he became the architecture critic and real estate editor of The New York Post.
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