Hudson Yards to Have Big Impact on NYC Economy
- May 03, 2016
By Keith Loria, Contributing Editor
New York—A new report released by Related Cos. and Oxford Properties Group and prepared by Appleseed revealed that, once fully operational, there will be a substantial economic impact of the 28-acre Hudson Yards mixed-use development on the New York City economy, forecasting nearly $19 billion being added to the city’s GDP.
Additionally, the report notes that it will contribute approximately $500 million annually in city taxes.
“Hudson Yards has already been a contributor to the city’s economy and as it progresses it will be an economic engine for the city and region,” Stephen Ross, Related Cos. chairman, said in a prepared release. “This ‘city within a city’ will generate significant tax benefits, contribute greatly to the city’s GDP, create tens of thousands of jobs, and deliver much needed Class A office space to ensure we remain globally competitive.”
Hudson Yards is the largest private development ever undertaken in the U.S., and has been a major contributor to the recovery of New York City’s construction industry. In the first few years of the project, Hudson Yards has been responsible for approximately 16 percent of the total increase in construction industry employment. During the estimated 13-year construction period, the report predicts it will create 7,030 full-time jobs each year earning nearly $761 million.
The site, which spans from 30th Street to 34th Street between 10th and 11th Avenues and 30th Street to 33rd Street between 11th and 12th Avenues, will include 17 million square feet of commercial and residential space.
Hudson Yards will bring 10.4 million rentable square feet of new office space—an amount greater than the total supply of office space in downtown Stamford, Conn.; downtown Austin, Texas; or downtown San Diego, Calif.—into New York City’s marketplace.
Of course, Related and Oxford’s development is just one piece of the broader Hudson Yards district, which can accommodate 50 million square feet of development including new parkland, office, hotel and retail space and 20,000 apartments with more than 5,000 affordable units.
“Hudson Yards is New York City surging forward into the 21st Century, creating a new neighborhood, a new commercial center and new jobs on the Far West Side,” U.S. Senator Charles Schumer said in the release. “What were once vacant lots and old, underused industrial buildings are now teeming with construction jobs and will soon be turned into our modern factories, office buildings that will house a cornucopia of companies and organizations engaged in vast array of work. Hudson Yards will allow New York City to be better positioned regionally and to compete globally.”
Image courtesy of Hudson Yards New York