Doomsday Subway Cuts Would Hit Union Sq.

Demolition of the building which a PC Richard & Son store occupied at 124 E. 14th St. will begin immediately followed by construction of a 21-story, mixed-use office building that will house the new Union Square tech hub. Suffolk Construction will be the project’s general contractor.

RAL Development Services in a joint venture with Junius Real Estate Partners closed a $120 million construction loan from Bank OZK. Junius is a real estate investment unit of J.P. Morgan Private Bank, a division of J.P. Morgan Asset Management. Its focus is high yielding real estate equity and debt investments.

The developers also signed a 99-year ground lease with the New York City Economic Development Corporation. The New York Post reported the joint venture has agreed to the following arrangements: It made an up-front payment of $5 million and will not pay rent for the first three years during construction and lease-up. Afterwards the annual base rent will be $2.3 million for the first five years. The rent will then increase by 2% every year through the 30th year. Following this period, the rent will be subject to fair market resets. A spokesperson for RAL confirmed these financing terms with GlobeSt.com.

Last year, the city council approved the tech hub following New York City’s ULURP process. The steps were required to increase the as-of-right building height from 14 floors to 21 stories. 

For 25 years, RAL will lease six of the floors to the non-profit Civic Hall, which will create a digital training center, a tech incubator, co-working spaces, event spaces and an urban food hall. RAL will lease the top 14 floors of the 21-story building at market rate. According to the RFP issued by NYCEDC, the tech hub is expected to create over 500 jobs in Union Square.

Josh Wein, financial director of RAL, says, “In addition to the multitude of benefits this development provides for the City and its workforce, which have been designed to promote job creation and growth in the technology sector, we’ll be creating the finest modern office building in Midtown South.”

Community groups including the Greenwich Village Society for Historic Preservation (now named Village Preservation) advocated for neighborhood protections to accompany approval of the tech hub. They supported the educational and public goals of the project but protested its development without inclusion of rezoning for surrounding neighborhood streets. They requested limited heights for new developments, removal of current incentives for hotel and dorm development, and the inclusion of affordable housing with new construction for a limited area around the center.

The neighborhood organizations expressed they were concerned about an eventual destruction of the unique character the Village—starting with its now being referred to as Midtown South.

An incredible story about how peepers spend hours looking up the skirts of girls who sit on the steps of Union Square Park.

More branches of Barnes & Noble are closing. Most recently, the huge store at Lincoln Center was shuttered. However, the megastore on the northern edge of Union Square Park is safe.

A major renovation is coming to the former Tammany Hall headquarters in Union Square where owners want to put a new glass dome over the landmarked building and demolish a theater to make way for retail and office space, the project’s architects said.

The historic structure at 44 Union Square East, built in 1929 to house the Democratic Party machine, will undergo a major overhaul that will restore the facade, gut the existing theater and add windows and glassier storefronts, according to BKSK Architects which is designing the project.

The most striking change will be a new 30-foot glass dome on top of the building, which will add about 27,000 square feet to the structure and will house office space, according to Harry Kendall, a partner at BKSK.

“Our effort is…to make it a more distinctive destination and presence on Union Square,” Kendall said. “We think we can make this building into something it never was.”

After hearing a presentation about the proposal this week, Community Board 5’s Landmarks Committee voted unanimously to reject it, saying the changes would be too drastic for an historic building that was just landmarked last year.

“While I like the way it looks — can you put something like this on a landmarked building?” said Edward Klimerman, a committee member. “It turns it into a different building.”

The Landmarks Preservation Commission designated the building as a landmark in June 2013, noting its references to early American architecture, including Colonial columns out front. The building’s design drew inspiration from the original Federal Hall in Lower Manhattan, where George Washington took his first oath of office.

The original location of New York mini-chain Heartland Brewery is slated to close on January 1.  The Post reports that the building at 35 Union Square West has a new owner who is asking for more than the Heartland team can afford to pay.  Owner Jon Bloostein says that when he opened the pub in 1994, the rent was $150,000 a year, but now the new landlord is asking for about $2 million a year.

Free flu shots from Mount Sinai will be offered at Paragon Sports on September 28.

Reserve a spot here.