Extell Development is in negotiations with Costco to lease a large retail part of its planned 3.3-million-square-foot project to be designed by Christian Portzamparc at the south end of Riverside South, according to an article published today by Elliot Brown in the on-line edition of the New York Observer.

Extell acquired the southern half of the 55-acre Riverside South development that stretches from 59th to 72nd Street facing the Hudson River from Donald Trump and has already built two high-rise apartment buildings and has plans for a few more north of 61st Street.

Extell is seeking to change existing zoning for the southernmost section of its parcel between 59th and 61st Street where Donald Trump had originally planned commercial development and where Extell now wants to develop it for residential and retail uses.

According to the Observer article, Extell's plans, which also call for 2,300 parking spaces, were discussed at a Community Board 7 meeting Wednesday. The article quoted Assemblywoman Linda Rosenthal as stating that "the community will be greatly affected by a placement of a Costco," adding that "I'm afraid it's going to bring a lot of increased vehicular traffic."

Helen Rosenthal, chair of the board and co-chair of its Riverside South committee, was quoted as saying that the meetings "now are generally aimed at informing members of the community board about the project before the public review begins in the fall."

Costas Kondylis has been the architect for eight major buildings so far for Trump and Extell along Riverside South and Mr. Portzamparc is the well-known French architect who designed the mutli-angled LVMH tower on 57th Street between Fifth and Madison Avenues a few years ago.