10,000 More Units Could Rise Near Penn Station With Ultradense New Zoning Plan
The New York Department of City Planning released a new draft of its Midtown South Mixed-Use Plan Wednesday, bringing significantly higher density to 42 Manhattan blocks than was allowed by state law until this year.
The plan would greenlight the construction of approximately 9,700 units of housing, up to 2,800 of which would be permanently affordable, according to an announcement by City Planning. The area's zoning currently doesn't allow for any residential use.
The mapped area would have a floor area ratio of up to 18, following the lifting of the longstanding 12 FAR restriction that Gov. Kathy Hochul signed into law as part of the state budget deal earlier this year.
A previous version of the draft allowed for just 4,000 homes, 1,000 of which were income-restricted.
“Midtown South is one of the most transit- and job-rich areas of the city, but it’s long been held back by antiquated zoning that has restricted new housing,” DCP Director Dan Garodnick said in a statement. “It’s a bold step toward building a more inclusive and dynamic Midtown.”
The proposed new zoning districts are close to Penn Station, the Port Authority Bus Terminal, Herald Square and Bryant Park. It applies to most of the area between 23rd and 40th streets and Fifth and Eighth avenues.
The plan is part of the city’s efforts to alleviate the housing crisis, as well as create 24/7 districts in areas that are burdened by unused offices.
Due to restrictions preventing residential use in the area, office-to-residential conversions haven't been possible in Midtown South. Announced conversions in other areas of the city total 13M SF, according to Cushman & Wakefield data provided to Bisnow.
Office vacancy in the neighborhood is 26.3%, above Manhattan's overall vacancy rate of 23.5%, according to a third-quarter report by Cushman & Wakefield. The submarket has seen 7.6M SF of office occupancy losses in the first nine months of the year.
Last month, the City Planning Commission approved Mayor Eric Adams’ massive housing plan to loosen restrictions and modernize zoning rules across all five boroughs. Dubbed the City of Yes, the plan’s tagline is to build “a little more housing in every neighborhood.”
However, changes to the plan are expected to be made as the city council examines the proposal. The council spent two days last week hearing testimony on the potential impacts of the reform.
It is expected that City of Yes will be voted on before the Midtown South plan begins public review, according to DCP's announcement.
Meanwhile, other neighborhood plans are also advancing.
In August, the council approved a plan to rezone a stretch of the Bronx that follows four newly planned Metro-North commuter rail stations. In Long Island City, a proposal that would allow for 14,000 new homes in the area is also making its way through the system.
