NEW YORK | 175 Park Avenue (Grand Hyatt) | 1,581 FT | 92 FLOORS

[NYguy]

https://www.bisnow.com/new-york/news/off...-to-build-65b-manhattan-supertall-127571

RXR and TF Cornerstone want to replace the Hyatt Grand Central New York hotel — which Trump himself developed in 1980 — with a 1,575-foot-tall office and hotel tower. The proposed building would be North America's tallest by roof height, dwarf NYC landmarks like the Empire State Building, and be taller than some of the newest additions to the city's skyline, like JPMorgan Chase’s 60-story headquarters 270 Park Ave., which reaches 1,388 feet.

Because the building is next to Grand Central Terminal and RXR and TF Cornerstone plan to spend around $550M on transit improvements, the project is eligible for the Transportation Infrastructure Finance and Innovation Act and Railroad Rehabilitation and Improvement Financing program.

The U.S. Department of Transportation programs, after the passage of the infrastructure law, can provide funding for private developments within a half-mile of commuter and intercity rail stations. They function as low-cost financing for projects, offering borrowers the chance to take 35 years or more to pay off the loan.

But RRIF and TIFIA are largely untapped, with around $30B in unused funds in RRIF alone, BI reported.

That may be related to the onerous qualification process for developments, which need to pass a federal environmental review in addition to receiving investment-grade credit ratings from a major ratings agency to be eligible.

[mrnyc]

Originally Posted by ssh

I'm an optimist, but convincing Trump to provide federal funding to a project looking to tear down one of his own developments is a next to impossible. I won't get into the reasons.

And I agree, looks like they have an anchor in the works, otherwise Rechler wouldn't be using this dialogue.

trump hasn’t had anything to do with this hotel since 1996 — and he won’t have anything to do with it’s redevelopment — so lets just drop that angle.

[NYguy]

https://www.credaily.com/briefs/rxr-tf-cornerstone-seek-4-8b-in-fed-financing-for-park-ave/

The 92-story, $6.5B 175 Park Avenue will feature 2.5 MSF of office space, a 200-room Hyatt hotel, and retail space.

… The move to federal financing comes as traditional lenders, including banks and debt funds, have grown more wary of office development projects due to market uncertainty, particularly as remote work trends continue to reshape the CRE landscape.

Despite this, the scale of 175 Park Avenue and its potential to reshape the Midtown East area have led RXR and TF Cornerstone to seek out innovative financing solutions.

Without an anchor tenant for the development—an essential component that could help reassure lenders—the developers could have a hard time securing conventional financing for the $6.5B project.

As they await the decision, the developers continue to push forward with the leasing effort for 175 Park Avenue, which they hope will attract tenants once the financing and construction are underway.

Don’t know why Larry hasn’t tried this with 2 WTC. Both of these towers would fill up, they just have to get built. 15 Penn also falls into that category.

[ChiND]

https://www.bisnow.com/new-york/news/off...content=outbound_link_3&utm_medium=email

RXR, TF Cornerstone Seek Federal Loan To Build $6.5B Supertall
New YorkOffice
January 15, 2025 Ciara Long, New York City
Two of the biggest names in New York City’s commercial real estate sector are hoping to hit up the federal government to develop what they expect to be the most expensive tower in U.S. history.


RXR

[Crawford]

I cannot wait for this tower to rise. It might be the new Midtown icon.

[ChiND]

Originally Posted by Crawford

I cannot wait for this tower to rise. It might be the new Midtown icon.

I agree. This and 175 Park are incredible. Can you imagine if they're both rising simultaneously, along with 625 Madison.

NY is simply THE BEST!

[BanBrokenChatBots]

Strategically timed, this will be profitable in the long-run with well-known largescale developers. Should be a successful loan but the Federalas will review if the $4.8+ billion is required/allocated correctly. Amtrak Texas wants $19 billion

[ChiND]

One of these groups should anchor this.

https://www.cnbc.com/2025/01/16/wall-street-banks-see-deal-activity-picking-up.html

[ChiND]

Originally Posted by ChiND

One of these groups should anchor this.

https://www.cnbc.com/2025/01/16/wall-street-banks-see-deal-activity-picking-up.html

“Wall Street banks had a great quarter, and the boom times are just starting.”

PUBLISHED THU, JAN 16 20253:01 PM ESTUPDATED 5 MIN AGO
Hugh Son


CNBC

[The New York Lion]

These titanic structures are going to make Midtown East look like Coruscant.

No municipality in the world will have more towers over 1,400 feet, much less a single neighborhood.

1. One Vanderbilt
2. 270 Park Avenue
3. 432 Park Avenue
4. 175 Park Avenue
5. 350 Park Avenue
6. 625 Madison Avenue
7. 250 Park Avenue
8. Hotel Roosevelt
9. 335 Madison Avenue (something huge will eventually rise here)

And then you have the MERE 600-900 footers like 343 Madison, 415 Madison, 405 Park, et al.

[ChiND]

[chris08876]

Originally Posted by The New York Lion

No municipality in the world will have more towers over 1,400 feet, much less a single neighborhood.

Its going to be epic if it also coincides with Phase II of HY. Returning to the days of many cranes dotting the skyline. Bloomberg Style boom all over again. Plus with the City of Yes and the Manhattan Plan, let's cross the fingers for a decade plus of thing rising like weeds.

2026/2027 for the big boys.

I wonder how long the Federal loan will take? For approval. Hope they work fast on it.

[ChiND]

You know what Age this is!

(I'm not talking about Giambattista Vico's Three Ages, despite his influence on James Joyce's Finnegan's Wake.)

[Crawford]

Wall Street had a blowout quarter and bonus season is gonna be huge.

I could definitely see one of the bulge bracket banks anchoring this tower.

[NYguy]

Not an accurate headline, but I like the way it sounds...


https://www.globest.com/2025/01/17/rxr-a...-ever-us-skyscraper-that-could-cost-65b/

RXR and TF Cornerstone Propose to Build Tallest-Ever U.S. Skyscraper That Could Cost $6.5B
The 1,575-foot tall tower would feature office and hotel components.

By Anthony Russo
January 17, 2025

TF CornerStone and RXR are proposing what would be the tallest skyscraper to ever be built in the United States.

The New York proposed building, called 175 Park Avenue, would stand 1,575-foot-tall and cost as much as $6.5 billion, according to a report from Business Insider. Not only would it be the tallest skyscraper by height — but it would shatter the record for costs too. The tower would feature a mixed-use setting between office and hotel. Other potential amenities that would be included are unclear. The project would surround the Chrysler Building and a new headquarters that's under development for JPMorgan Chase.

To finance part of the costs, the two New York developers are seeking to apply for up to $4.84 billion in federal loans. While that might seem like an ambitious plan because it's up to the Federal government's Department of Transportation to decide on the allocation of funds, Scott Rechler, CEO and chairman of RXR, expects the incoming Trump Administration to support the project.

Looking over the process for some previous approved developments, it could take anywhere from a few months to approve (most projects) to a few years. I doubt this would be a long approval, even if they got the full requested amount.

[UrbanImpact]

Originally Posted by NYguy

Not an accurate headline, but I like the way it sounds...

It should read, Tallest-Ever U.S. Skyscraper by roof height

[Zapatan]

Originally Posted by UrbanImpact

It should read, Tallest-Ever U.S. Skyscraper by roof height

Isn't there a chance 350 starts sooner?



.

[NYguy]

Originally Posted by Zapatan

Isn't there a change 350 starts sooner?

The media only works with existing buildings. We don’t have a firm height on 350 yet, though it may be higher.

[ChiND]

https://nypost.com/2025/01/17/real-estat...rns-to-pre-pandemic-levels-in-manhattan/

“This is obviously a changing market, the type of workplaces [people] want to be in, the neighborhoods they want to be in, the type of buildings they want to be in,” said Scott Rechler of RXR. “There’s a flight to quality. Rechler’s Commodore Tower at 175 Park Ave. next to Grand Central Terminal already has a 453,000-square-foot Park Hyatt in hand but the 2.8 million-square-foot monster in waiting by RXR, TF Cornerstone and Michael Dell’s firm, DFO Management, needs a boost from a big office anchor to fill the remaining 2.1 million square feet.”

[UrbanImpact]

Originally Posted by Zapatan

Isn't there a change 350 starts sooner?

Yes, but, we don’t know that roof height for 350 and both tower’s structure is hypothetical until it’s all official. The suspense will continue until official information comes in.

FYI I still have my hotel reservation at the Hyatt in September for those that are curious.