Construction and Design Status
One of the most important commercial properties in Hudson River Park, Pier 40 plays an integral role in supporting the Park, currently funding approximately 30% of its annual operating budget. It is the largest commercial pier in the Park and the source of $6 million in annual operating revenue. Designed as a passenger ship terminal, today Pier 40 is home to a commercial parking garage, beloved athletic fields, and the administrative offices of the Hudson River Park Trust. Its athletic fields are a community asset and host hundreds of thousands of individuals of all ages each year. With a footprint of 15 acres, it is the largest pier structure on the Hudson River.
Pier 40 is also in need of critical infrastructure repairs to its roof and supportive piles. When the Trust inherited the pier, it inherited a number of structural issues along with it. While the Trust has spent or contracted for approximately $34 million in urgent or immediately required repairs to the Pier 40 building since 2012, the Pier has continued to deteriorate over time.
In recent years, sections of the roof have deteriorated significantly, forcing the Trust to close portions of the parking garage to ensure public safety. These closures have also reduced the Park's operating revenue.
In 2014, the Trust commissioned an underwater inspection of Pier 40's piles. The report confirmed that the pier is in overall “poor” structural condition, with a combined 57% of the piles having either “severe” or “major” damage. Please see the report prepared by the engineers below.
Pier Load Rating And Structural Analysis
Conclusions, Recommendations, Cost Estimates
Under the terms of the Hudson River Park Act, the State law that created Hudson River Park, Pier 40 is intended to be one of several sites that generate revenue to help support the overall Park as well as provide essential public open space. The Trust is actively engaged in a New York City land use process that could, if approved by New York City following the mandatory Uniform Land Use Review Process (ULURP), result in the Trust’s ability to sell 200,000 square feet of unused development rights from Pier 40 to the neighboring St. John’s property in exchange for a payment to the Trust. Payments from such sale would be used to repair the pier’s deteriorated piles and other emergent infrastructure problems.
The Trust and the private developer of the St. John’s Center building have negotiated a $100 million sales price for the 200,000 square feet of development rights. However, neither this sale price nor the purchase price can be confirmed until a) ULURP is completed, (b) the Trust completes the significant action process required under the Hudson River Park Act with respect to the proposed transfer and c) the Trust’s Board of Directors adopts SEQRA Findings and establishes the final sales price.
MEMORANDUM OF UNDERSTANDING (MOU) between The Trust and the developer
To comply with State law, and to inform the Board of Directors of market conditions for the prospective sale, the Trust retained an independent appraiser to conduct an appraisal of the 200,000 square feet of air rights in accordance with the Uniform Standards of Professional Appraisal Practice and Code of Ethics of the Appraisal Institute.
The Trust is committed to working with elected officials and community partners to find a viable solution for this important property.