Chapter 7: Social and Economic Conditions

MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation CHAPTER 7: SOCIAL AND ECONOMIC CONDITIONS

7.1 OVERVIEW

The Fulton Street Transit Center (FSTC) would be constructed within a vibrant retail, commercial and residential neighborhood in Lower Manhattan. Pursuant to Presidential Executive Order (EO) 13274 - Environmental Stewardship and Transportation Infrastructure Project Reviews, this chapter presents the potential impacts of construction and operation of the FSTC on the social and economic conditions in that neighborhood. These conditions include: land use, zoning and public policy; economic conditions such as employment opportunities and business activity; and, neighborhood character, including population, housing and recreation and cultural facility characteristics.

Two (2) critical planning issues shaping the future of Lower Manhattan are the lack of regional transit connectivity; and the transformation of the area from a daytime commercial community to a 24-hour residential and commercial community. The events of September 11 had significant consequences for both these planning issues and have reinforced the importance of revitalization for Lower Manhattan. In addition to the assessment of the potential environmental impacts of the FSTC, this chapter also presents a summary of current revitalization policies and plans that are influencing transportation strategies, along with residential and economic development, within Lower Manhattan.

The discussion of social and economic impacts evaluates potential impacts analyzed in other chapters of the Environmental Impact Statement (EIS), including traffic and transportation, noise and air quality, safety and indirect development impacts. The analysis evaluates both benefits and/or adverse impacts associated with the FSTC that may affect socioeconomic and community characteristics, either temporarily during construction, or permanently during operation. An analysis of the cumulative effects associated with the FSTC and other actions in Lower Manhattan is contained in Chapter 20.

The chapter is divided into three (3) separate sub-chapters as follows:

• Sub-Chapter 7A: Land Use, Zoning and Public Policy; • Sub-Chapter 7B: Economic Conditions; and, • Sub-Chapter 7C: Community Character.

Each sub-chapter includes a description of the relevant study area, analysis methodology, a profile of the affected environment, impact analysis and proposed mitigation measures.

7.1.1 CONTEXT AND KEY ISSUES

The primary study area used to analyze social and economic conditions and potential impacts under the No Action and Build Alternatives is bounded by Chambers Street to the north, Pearl Street to the east, Exchange Place to the south and West Street to the west. This study area includes the grounds of the former World Trade Center (WTC) complex. The social and economic conditions studied include: land use, zoning and public policy; economic conditions such as employment and business; and neighborhood character. The events of September 11 have had varying effects on each of these study components, which create several differences in the pre-September 11 socioeconomic conditions to those that currently exist.

PLANS/POLICIES

Several plans and policies, both pre- and post-September 11, have as their mission the revitalization of Lower Manhattan, emphasizing two (2) primary elements: increasing residential development in an attempt to create 24-hour activity in the area; and the improvement of transportation systems to and within the area. These improved transportation systems include measures to improve transit facilities,

October 2004 7.0 Social and Economic Conditions 7-1 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation intra- and inter-modal connectivity, subway systems and pedestrian access. Development of the FSTC is specifically cited as a component to achieving these City goals. It is also a significant element of EO 13274, issued by President Bush concerning the Lower Manhattan Recovery Project. While these plans were developed and implemented throughout the 1990s, the events of September 11 placed these goals at the forefront of New York City planning initiatives. The Lower Manhattan Development Corporation (LMDC) was created to foster that revitalization. Within the study area, the LMDC has proposed the redevelopment of the WTC site, a Fulton Street Retail and Arts/Entertainment District and the development of a new residential neighborhood on Fulton Street east of Broadway.

LAND USE

Land use within the primary study area is comprised of mid-rise and high-rise commercial office space, residential buildings, street-level retail establishments and religious facilities such as St. Paul’s Chapel, the Wall Street Synagogue and the John Street Methodist Church. The single largest change in land use within the study area as a result of September 11 relates to commercial office space; specifically, thirty- five million square feet of office space was either lost or damaged on September 11, which represents over 30 percent of all office space within Lower Manhattan.

ECONOMIC ACTIVITY

Although employment growth in Lower Manhattan was lagging behind the City as a whole, the events of September 11 dealt a major blow to employment levels in the area. Over 60,000 jobs were lost as a result of September 11 in Lower Manhattan and many employers relocated to elsewhere in Manhattan or to outer boroughs or suburbs. Employment in Lower Manhattan dropped from 12.2 percent of the City total to 10.5 percent (March 2002). Of the total businesses directly affected by September 11, only 27 percent had returned to Lower Manhattan by September 2002. Retail businesses located in the area of the FSTC are primarily characterized as “Pass-by Attractors” and are therefore highly dependent on pedestrian traffic. The Century 21 department store on Dey Street, a prominent Lower Manhattan discount department store, is one of the few “destination retail” establishments in the study area. “Pass-by Attractors” are also the most sensitive to construction disruption.

NEIGHBORHOOD CHARACTERISTICS

Throughout the 1990s, Lower Manhattan experienced an increase in the number of residents in the area as a result of public initiatives. From 1990 to 2000, the primary study area experienced a 113 percent growth in households. Because of the economic boom of the late 1990s, this residential growth was somewhat curbed. Immediately after September 11, thousands of downtown residents were displaced. Restoring occupancy has been a major objective of Federal, State and City governments. Within the study area, six (6) buildings were converted from commercial uses to residential on John Street during the 1990s. Similar conversion projects are proposed for buildings located on Nassau Street, Wall Street and Park Row.

The primary study area has characteristically high concentrations of pedestrian traffic generated by the high number of workers during the business week. Outside the work week, the neighborhood is generally quiet and pedestrian and vehicular traffic is substantially reduced. Notable community facilities within the primary study area include the Trinity Church, St. Paul’s Chapel, the Wall Street Synagogue, the John Street Methodist Church, St. Peter’s Church, Pace University and New York University (NYU) Downtown Hospital. Pedestrian traffic variations and community facilities have not changed as a result of September 11. Other notable resources include the Corbin Building and the John Street – Maiden Lane Historic District.

October 2004 7.0 Social and Economic Conditions 7-2 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation 7.1.2 CONCLUSIONS

CONSTRUCTION

Construction activities of the FSTC (as represented in 2005/2006, the peak construction year) for both Alternative 9 and Alternative 10 - the Preferred Alternative, would bring about numerous impacts within the study area. Several of these impacts are considered to be adverse but would be experienced within a short time period relative to the operational phase of the FSTC. The construction of the FSTC under both Build alternatives would be consistent with the policies of the Federal, State and City governments, which have as their main objective the revitalization of Lower Manhattan. Alternative 9 would acquire and remove five (5) buildings on Broadway and Dey Street as a result of the construction of the FSTC Entry Facility and the Dey Street Access Plaza. These buildings are currently used for commercial purposes. the Preferred Alternative would acquire and remove these same five (5) buildings and would also require acquisition of the Corbin Building and integrate it with the FSTC Entry Facility. Because of the historic nature of the Corbin Building, which was listed on the National Register of Historic Places on December 18, 2003 and the qualitative value it provides to the character of the neighborhood, the building’s façade and other historic features would be preserved. Impacts on nearby land uses and community facilities would be minimized and mitigated through the Environmental Performance Commitments (EPCs) and the Construction Environmental Protection Program (CEPP), and related plans. The Corbin Building would be converted from commercial office and retail use to primarily public use with some retail elements.

Both Alternative 9 and the Preferred Alternative would stimulate economic activity in Lower Manhattan directly through the infusion of capital expenditure for construction. Over 1300 construction-related and secondary jobs would be created during the estimated three (3) to four (4) year construction period and would generate total industry sales and earnings exceeding $700 million. Retail businesses in the area of construction that are not directly displaced would likely be disrupted, owing to temporary pedestrian and loading access. “Pass-by attractor” retail establishments would experience the greatest impact on patronage. Site-specific maintenance and protection measures would be implemented during construction to mitigate these impacts (see Chapter 4: Construction Methods and Activities).

Under both Build Alternatives, construction noise and temporary access restrictions would be disruptive for residents living adjacent to the site. Details of proposed mitigation can be found in Sections 7A.5, 7B.5, and 7C.5 of this chapter. Details of impacts by category can be found in Chapter 4: Construction, Chapter 6: Traffic and Transportation, Chapter 12: Air Quality, and Chapter 13: Noise and Vibration. The extent of disruption on John Street would be somewhat greater in the Preferred Alternative due to construction activities outside the Corbin Building. There are many shopping opportunities in the area, so business relocations and access restrictions would not substantially affect the community.

OPERATION

During its operation, the FSTC would facilitate the planned transformation of the area into a 24-hour mixed-use community and would achieve the City’s goal to improve transportation systems through real and perceived improvements to transit facility wayfinding, inter- and intra-modal connectivity, pedestrian access and subway systems. Because of the high concentration of workers commuting to the area daily, the FSTC-related operations would encourage the location of businesses to the area because of real and perceived improvements in commuting efficiency/experience. Development of the FSTC would also be consistent with making the area more desirable for residential land uses, in part by relieving congestion on the sidewalks used by community residents and other pedestrians.

Businesses permanently displaced or relocated from the FSTC site could be relocated in the vicinity; there is a large inventory of vacant space to accommodate these relocations. Some new retail businesses would be incorporated in either Build Alternative and would offset the loss of retail activity due to building removal during construction. The number of businesses displaced is larger in the Preferred Alternative, as the Corbin Building would be converted to public space. In Alternative 9, all businesses in the Corbin

October 2004 7.0 Social and Economic Conditions 7-3 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation Building would remain. Detailed information on business displacements is contained in Chapter 10: Displacements and Relocation, and in Appendix G: Displacement and Relocation. Table 7-1 highlights the key aspects, results and conclusions of the social and economic conditions analysis.

Table 7-1 Summary of Alternatives and Impacts

2025 Planned Action 2005/2006 2008 (Full (for 2005/2006 (Construction) (Initial Operation) Operation) Impact)

Does not contribute to Lower Manhattan recovery, Fulton Street corridor Same as No Action No Impact N/A improvements, employment and tax 2008 base growth or strengthening the community. Substantially advances recovery by 5 buildings removed (4 at Entry creating visible transit presence and Same as N/A Facility, 1 on Dey Street). better transit efficiency and patron 2008 amenity. Appropriate Approx 37 restaurant/retail and Compensation Same as Some retail incorporated in FSTC. 47 office businesses relocated. pursuant to Federal 2008 and State Law. Approx 1300 construction jobs N/A Alternative created for 4 years. 9 Property tax base generating $1.0 million per year is lost; no N/A FSTC is a major public use, strengthens impact to other taxes. Fulton Street and surrounding area; Same as supports job growth and tax revenue Signage and other 2008 Some disruption to community pedestrian growth. As a beneficial public transit life near FSTC construction. protection project, contributes to community life. measures. Little or no effect on community N/A facilities. 5 buildings removed (4 at Entry Substantially advances recovery by Facility, 1 on Dey Street). creating visible transit presence and Same as N/A Corbin Building converted to better transit efficiency and patron 20088 public use. amenity. Appropriate Approx 48 restaurant/retail and Compensation Some retail incorporated in FSTC Same as 83 office businesses relocated. pursuant to Federal providing resources and tax benefits. 2008 and State Law. FSTC is a major public use, strengthens Fulton Street and surrounding area; Alternative Approx 1300 construction jobs Same as N/A supports job growth and tax revenue 10 - the created for 4 years. 2008 growth. As a beneficial public transit Preferred project, contributes to community life. Alternative Approx 1300 construction jobs N/A FSTC is a major public use, strengthens created for 4 years. Fulton Street and surrounding area; Property tax base generating supports job growth and tax revenue $1.2 million per year is lost; no N/A growth. As a beneficial public transit impact to other taxes. project, contributes to community life. Same as Opens the historic Corbin Building to 2008 Some disruption to community N/A public use and maintains its identity in life near FSTC construction. perpetuity. The Corbin Building would Little or no effect on community also anchor the northwest corner of the N/A facilities. Historic District with public access.

Source: The Louis Berger Group, Inc., 2004.

October 2004 7.0 Social and Economic Conditions 7-4 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation The City’s property tax base would be reduced by the displacement of business properties in the Build Alternatives; the loss of property tax revenues would be larger for the Preferred Alternative, which converts the Corbin Building to public use. Because relocation of displaced businesses within the City is possible, there would be no loss in municipal business, sales tax and payroll tax revenues. The FSTC would also provide revenue and tax benefits via the retail businesses that would be sited at the FSTC and, in addition, would add significantly to community character and redevelopment. The Preferred Alternative would have the added benefit of providing access directly into parts of the historic Corbin Building, which is listed on the National Register of Historic Places. Public ownership of the Corbin Building in the Preferred Alternative would also assure the integrity and historic aspects of the building perpetually and would have an entry to/from John Street, the northwest defining element of the John Street – Maiden Lane Historic District.

7.2 ENVIRONMENTAL PERFORMANCE COMMITMENTS (EPCS)

The social and economic impact analysis of the FSTC was conducted taking into account EPCs, which would be implemented as part of the FSTC to proactively avoid or minimize adverse effects on social and economic conditions (see Chapter 10: Displacement and Relocation and Chapter 20: Coordinated Cumulative Effects Analysis). They include the following:

• Coordination with the LMDC and other entities to minimize residential and retail impacts of the FSTC as required through relocation assistance, as applicable, for persons or businesses physically displaced by the project and to focus on essential businesses and amenities to remain in Lower Manhattan; and, • Provision of appropriate signage for affected businesses and amenities to maintain their visibility, when obscured as a result of construction activities associated with the FSTC.

In addition to these EPCs, which are specifically tailored to business and economic interest, potential effects would also be proactively addressed through EPCs that are intended to avoid or minimize effects on pedestrian and vehicular access and circulation, noise and vibration, air quality and historic and cultural resources; all of which may indirectly affect economic and business interests, as presented in the Environmental Analysis Framework and Performance Commitments document signed by the Lower Manhattan Recovery Project sponsors (Appendix A). Detailed discussions of the relevant EPCs are presented in the methodology summaries of the technical chapters addressing the related resources.

October 2004 7.0 Social and Economic Conditions 7-5 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

SUB-CHAPTER 7A: LAND USE, ZONING AND PUBLIC POLICY 7A.1 METHODOLOGY

Existing land uses were identified through a combination of source reviews, obtained from the 2000 and 2002 editions of the Real Property Assessment Database (RPAD), published by the New York City Department of Finance; and field surveys. A zoning profile of Lower Manhattan was developed through reference to the Zoning Resolution of the City of New York. Land use maps developed for this chapter incorporate existing data from the land use profile prepared by the LMDC for the area south of Canal Street.

The land use inventory and maps were updated to include all relevant development and rehabilitation projects and other land use changes in the primary study area proposed for completion in or before the years 2005/2006, 2008 and 2025. Projections also take into consideration development of “soft sites” (sites that are prime for redevelopment due to vacancy or under-utilization), in addition to proposed projects currently under review by the New York City Department of City Planning (NYCDCP).

7A.2 STUDY AREAS

To evaluate the FSTC in context and to evaluate the potential for impacts, the primary study area for the evaluation of land use was defined as an area encompassing a one-quarter mile radius around the project site (Figure 7-1: Generalized Land Use 2003). The primary study area is approximately defined as the area bordered by Chambers Street to the north, Pearl Street to the east, Exchange Place to the south and West Street along the western periphery. The primary study area lies wholly within the Special Lower Manhattan district (LM) (see Section 7A.3.2 for definition) and represents the intersection of the Financial District to the south with the Civic Center neighborhood to the north. The definition of the primary study area reflects the boundaries of the area that would most likely be affected by the construction and operation of the FSTC with respect to land use.

In order to provide a context for the primary study area, a Lower Manhattan study area was also defined as the area south of Canal Street including the Financial District, Battery Park City (BPC), Civic Center, Tribeca and Chinatown (below Canal Street). This allows for comparison of the land use characteristics of the primary study area within the context of Lower Manhattan. In addition, the definition of the Lower Manhattan study area permits the evaluation of the potential indirect and cumulative impacts of the FSTC, in conjunction with other Lower Manhattan Projects (see Chapter 2: Analysis Framework).

7A.3 AFFECTED ENVIRONMENT 7A.3.1 LAND USE

LOWER MANHATTAN STUDY AREA

The land use pattern in Lower Manhattan, south of Canal Street and west of Pike Street from the Hudson River to the East River, is an amalgam of dense city blocks containing: high-rise commercial buildings; low-to mid-rise residential buildings; institutional facilities; converted industrial and commercial spaces; corridors of street-front retail stores; and a variety of public open spaces (see Figure 7-1: Generalized Land Use). The pattern includes five (5) distinct neighborhoods below Canal Street: the Financial District; BPC; the Civic Center; Tribeca; and Chinatown (below Canal Street) (Figure 7-2: Neighborhood Communities Map).

October 2004 7A Social and Economic Conditions 7-6

S R

O T S S T R R B O N F Y T

L K S

K N N

T A A

S O R KM

E O F E

R R E

T B B N

T Figure 7-1

T S

D T

L S T S

O K

E L G

E . D L

A R

E A

T T

R E S S

E , P Fulton Street Transit Center F

A P

T C Generalized Land Use 2003

U S S I

R P

S P L E

S T C

R S D

E T Y T T R B P S N N S S M A N R A M A N E H K O H P E P T C

C P E L T

B P U E

P L F F P

T L

A S T

T S

N E S D

E R L

T T P

T O

R A T

R A G

A H L

T P

W W U

D O

T R S K

T Y R T

S S A A

L N R P A R R P N L A T A N D

U K S T E E

M R ID

Y S T A C A S

A N M

P L U H A

C O S

J S

R A

A N L

B P

I T L

P S E

S T Y

C S

R T

W U

H Y T C A

Y S LS

A E L R

W D T

B A D

A D W

O N R

B T

A T

P T L S D S

T A E

Y O

R T R B

O T T

R S

E W

RS E B N I L L A D P E E C G N A H

T X

N S O

T E

N I

S S P

E Y

I L

M I A

R HA T E T T G S N A Y E H

S C

T X

E S

H E T C V I

W S

R T

S R

T S

E W A

T G S

N P O D

N E

T I H S

S A P Y W N T A S B L R A O T C Feet E

R T

S S

T I S E W R

M On-Site Parking 1/4-Mile Land Use Study Area Curb Lines Automotive (includes soft-site parking) Commercial Under Construction Industrial Institutional Residential Hotel Vacant Open Space/ Park/ Plaza Ground Floor Retail Structures Outside of Study Area Approximate Project Location P Source: NYC DoITT Landbase; NYC DCP 2000200 Legend Generalized Land Use:

L VA NDAM ST Y T Legend R S SP E RING S N T T A S W C S IV O Approximate A A P E N L R T B C L I A I N T L U C R E E Project Location S S E S Y T T A E M F HO A A US 1/4-Mile Land Use L T F ON O S S T Primary Study Area V PR A IN W G Secondary Study ATTS ST ST T DESB ROS T S SES Area ST S N N T T O O S S T VE S STRY T R G S P Y T T S E Y N M R S I C A O R R T R H H E T W E T E S S T T S D LAIG S M S B E A H A T S E L T O O Y N U W W O R B E S B M W E O R R T G G C S T R S A T N T D H Tribeca ST BR O T BEA OO M E CH ST M B E S A T Z D L I EL T A N MO IS L NC O S P RE S E Y T EN HO ST K AR W C D A I R S D T R T S S A T

V R HARR E ISON T ST X T A S B T W E S I T A T L S R F K E R S E H A W R H Y E E N S E T K H T S R G L IT T Y V R I E D N E R H S I I E S S S L T C R R T T E T T T O Y R S O D R N S A R F L E R E N E E V D T N Y I C O S T H A W T W R S E A O O O M W Y D R B B D T A E U H S F R A T S T S H H T A S O O L S D T R M A E BA B S Y T U R A S T R S W T D D N S N H U T AN E E E C L S L R T A V T E S A A DE D H W S P N A T EL C R L S I T E RE W N H S T N Civic T R E M O U P N ST E R ISIO N R E DIV R A AY R G S L PA T Y Center S R A T K ADWAY B P W E BRO A L D R A CL AY O S R T B ENRY ST T H

T M

S A W P E O L N KR I R P C H K W Chinatown PA ' A E S A Battery T T E T S OE S TA H ONR S M M T M P A E N J A R R

U T R B B I C S N Park E K R E E E E I K S F DG T LIB A M T R S A T E N A S E R N N N T S K T City Y T S F ST T O V R A T S D T D N O C T F V E A S UL RL T E H IS U O R T L C A N S E E S S U S D T S T T A S O R M T S S A S T N A W RE H ID T T C C E S P H TO P E A R R I N D T M S N L S C E T U E L F S O IF B K S H S A L T T T G E S C C S E L B K R H T S M B O C I J A R O M O N K F ID W IA H L L L U S G Y N L N P E W L L T E N E I T N A S Y N E L W T O N L F R Y R S L N E L U E G T S T T T K C T T E T O Y X H A T C S E O H R S R B AN L R E R S GE T T T A B W P S T T L E E P R S A N E T H B T T A S U W T O Financial N S BEAVER ST G O O R BATT U F ERY PL V E R R District N E IVE

T U STONE ST O R R S L D L W E A S T ST H L A IP I T T EA S E R

H D R A

B D L F L R

O S

T A

S T ,.

Fulton Street Transit Center Neighborhood 500 0 500 Feet Communities Map Source: NYC DoITT Landbase; NYC DCP; New York: A City of Neighborhoods Figurer 7-2 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation Financial District

The Financial District includes the area south of the Brooklyn Bridge and Chambers Street, between Route 9A and the East River. Many prominent landmarks are located within the district, including: the New York Stock Exchange; American Stock Exchange; Federal Reserve Bank; Woolworth Building; Trump Building; and Alexander Hamilton U.S. Customs House. Densely built modern high-rise office towers with street- level retail stores and restaurants are typical of this area. In recent years, residential buildings have been converted from office towers and new residential buildings have been built; including current construction at 2 Gold Street and 10 Liberty Street. The WTC site is located on the western periphery of the Financial District. Prior to September 11, the WTC complex consisted of 14 million square feet of office space, retail stores and restaurants.1 Located on the eastern edge of the Financial District is the South Street Seaport, a popular tourist attraction which plays host to maritime museums, tall ships, historic buildings, retail stores and restaurants. The Fulton Fish Market, the nation’s oldest and largest fish market, is still active and is located in close proximity to the seaport on Fulton and Water Streets. The market is expected to move to Hunts Point in the Bronx in 2004. Notable religious institutions include Trinity Church and St. Paul’s Chapel on Broadway. Notable open spaces and plazas within the district include the Chase Manhattan Plaza, Vietnam Veteran’s Plaza, Bowling Green and the Peter Minuit Plaza.

Battery Park City (BPC)

BPC, a 92-acre mixed-use development located in the area between Chambers Street, the Hudson River, Route 9A and Battery Place, was constructed in the 1970s on land created from the excavated material from the construction of the WTC. Land use in this area is characterized by the high-rise office towers at the World Financial Center (WFC) and retail stores and restaurants in the Winter Garden, a large public glass-enclosed atrium located at the center of the WFC. North and south of the WFC are modern high- rise residential developments, street-front retail, restaurants, public open spaces, a waterfront esplanade and a marina (located along the northern and southern ends). BPC has extensive public open space including Nelson A. Rockefeller Park in the north, Robert F. Wagner Park in the south and the Hudson River Park greenway along the west side of Route 9A which connects BPC to upper Manhattan. Stuyvesant High School, a large public high school that draws students from throughout the City, is located on Chambers and West Streets. BPC also contains public schools PS 89 and IS 289. Cultural institutions include the Museum of Jewish Heritage and the Skyscraper Museum, scheduled to be open before the end of 2004.

Civic Center

The Civic Center is the area located between Worth Street, Pearl Street, the Brooklyn Bridge and Broadway. Land use in this area is predominantly institutional and includes office towers housing City, State and Federal agencies. Several State and Federal courthouses are located on Centre Street, including the Thurgood Marshall United States Courthouse, the Criminal Courts Building and the New York County Courthouse. Institutional facilities include the Manhattan House of Detention for Men, Pace University, the NYU Downtown Hospital and Police Headquarters (located across from the landmark Municipal Building). The Brooklyn Bridge is located to the east of City Hall. Several public open spaces in this area include City Hall Park, Foley Square and the public plazas around civic buildings such as 26 Federal Plaza. Numerous historic and cultural resources exist in this area, including the African Burial Ground Memorial site and the Museum of the American Piano.

Tribeca

Tribeca is located north of the Financial District and west of the Civic Center. This area, which is approximately bounded by Canal Street, Church Street, Park Place and the Hudson River, is characterized by mid- to high-rise residential and commercial buildings, ground floor retail uses and light industrial and

1 Accessed from website, www.tenantwise.com, “World Trade Damage Summary”.

October 2004 7A Social and Economic Conditions 7-9 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation warehouse spaces. Harrison Street houses a group of historic townhouses. A large office complex is located on Route 9A between North Moore and Hubert Streets. In recent years, mid-rise industrial and warehouse buildings have been converted to large residential and commercial spaces. An influx of upscale shops, restaurants and galleries accompanied the advent of residential conversions. A notable cultural resource is the Tribeca Film Center. The Borough of Manhattan Community College (BMCC) on Chambers Street is home to the Tribeca Performing Arts Center and the school’s Triplex Theater hosts many concerts and plays throughout the year. Other schools include P.S. 234 and New York Law School. Open space is comprised of the Washington Market Park, a 1.65-acre landscaped park popular for its active recreation areas for children. The Hudson River Park runs along the east side of BPC and Route 9A and consists of interim recreation activities along the waterfront, including volleyball, mini-golf, batting cages and canoe launches linked by permanent bicycle and pedestrian pathways.

Chinatown (below Canal Street)

Chinatown is located northeast of the Civic Center and east of Tribeca. The study area includes the southern portion of Chinatown bounded by the Brooklyn Bridge, Canal, Pike, Pearl and Worth Streets and Broadway. Land use is primarily low- and mid-rise residential and commercial buildings with few high-rise residential towers including Confucius Plaza and Chatham Towers. Small retail stores, specialty shops and restaurants occupy the ground floor of most buildings. Several institutional, transportation, office, light industrial use and open spaces are interspersed among the mostly residential buildings. Schools include P.S. 130, P.S. 124, P.S. 1, P.S. 114, P.S. 126, I.S. 131 and the Transfiguration School. Important cultural uses include the Museum for Chinese in the Americas, the New York Chinese Cultural Center and the Eldridge Street Project. Open spaces include Columbus Park, a popular place for the elderly and children who use the playground. Several ball fields near the Manhattan Bridge at the East River are host to regular pick-up games and tournaments. Chinatown is a densely populated ethnic neighborhood and popular tourist destination with high pedestrian and vehicular traffic on Canal Street, in part due to the connection of Canal Street between the Holland Tunnel and Manhattan Bridge.

PRIMARY STUDY AREA

The primary study area is located at the northern end of the Financial District, at the boundary of the Civic Center neighborhood. Land use patterns within the primary study area are defined by the transition from high-rise commercial buildings to the south to low-rise institutional buildings and public open spaces to the north. The northern and eastern boundaries of the primary study area contain blocks of mid- and high-rise housing complexes with a mix of residential and ground-floor retail uses. Immediately west of the FSTC site on Church Street is the WTC site. To the west of the WTC site and outside the primary study area are BPC and office buildings of the WFC along the Hudson River. Located to the east are the Fulton Fish Market and South Street Seaport. The most notable religious institution is St. Paul’s Chapel on Broadway, which is the only pre-Revolutionary War church building in the United States. The Wall Street Synagogue is an 80-year-old religious institution located on Beekman Street, just north of the project site. Pace University and NYU Downtown Hospital are located two (2) to three (3) blocks north of the proposed FSTC site.

One of the most notable characteristics of the existing land use in the primary study areas is the vibrant street-front retail activity that occurs at street-level. The area around Fulton, William, John and Church Streets is a popular destination for local workers, residents and weekend visitors, offering a range of dining and retail options. Sections of Fulton, John and Nassau Streets have been designated as pedestrian-only streets for certain periods of the day (see Chapter 8: Public Open Space).

SITE OF THE FSTC

The existing buildings proposed for acquisition on the site of the FSTC house a combination of retail, commercial and institutional owner-occupiers and tenants. A full list of affected properties, current tenants, owners and uses is found in Appendix G: Displacement and Relocation. A full description of the proposed property acquisitions is included in Chapter 10: Displacement and Relocation.

October 2004 7A Social and Economic Conditions 7-10 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation The existing buildings on the FSTC site (See Chapter 1: Purpose and Need) on Broadway house an array of small delicatessens, franchise restaurants, shoe repair stores, tailors, bakeries, retail clothing stores and neighborhood retail establishments. The buildings range in height from one (1) story to twelve stories and fall into two (2) categories: “One or Two-story Store Buildings”2 characterized by canopy signage designed to attract pedestrian traffic; and “Office Buildings” that are home to small, independent commercial and institutional offices. These retail stores cater to large volumes of lunchtime pedestrian traffic generated by the local employment hubs of City Hall and the Financial District. In contrast to the hectic pace of lunchtime activity, pedestrian traffic is significantly reduced on weekday evenings and weekends. The 45 station beneath Broadway includes a concourse adjacent to the northbound platform, comprising small retail shops, including a barber shop, shoe repair shop and newsstand. There are several residential buildings on Fulton Street. Table 7-2 summarizes the current and projected land uses on the site of the FSTC.

Table 7-2 Projected Land Use Changes by the Proposed Action

Proposed No. of Stories Year Existing Property Existing Land Use Project in Existing Property Built Element Property

192 Broadway* Commercial Entry Facility 1889 9 194-196 Broadway Commercial Entry Facility 1911 3 198 Broadway Commercial Entry Facility 1890 12 200-202 Broadway Commercial Entry Facility 1920 1 204-210 Broadway (corner building at Fulton Commercial Entry Facility 1942 2 Street) 189 Broadway (corner Dey Street Commercial 1940 2 building at Dey Street) Access Plaza 20 Dey Street (corner RW Entrance at building at Church & Dey Hotel 1934 58 Millenium Hotel Street) New 45 195 Broadway Commercial 1921 29 Underpass * 192 Broadway, the Corbin Building, would not be directly affected under Alternative 9. Source: NYC Department of City Planning, NYC Department of Buildings.

The proposed location of the Dey Street Passageway (see Chapter 1: Purpose and Need) is characterized by mid-rise commercial buildings and ground-floor retail, a four (4)-story retail store and a hotel. The site of 195 Broadway, between Dey and Fulton Streets, is a mid-rise office building that was the AT&T headquarters for many years. There are gourmet coffee shops and eateries located on the ground floor of this building. The existing building at 189 Broadway, on the south side of Dey Street at Broadway, houses several retail shops including an indoor golf facility on the second floor, photo shop, clothing store and deli on the ground floor. At the site of 20 Dey Street is the Millenium Hotel. Set back with a mini- plaza and landscaping along the street, the hotel was damaged on September 11 but reopened in April 2003 after extensive renovations. Across from the hotel, on the south side of Dey Street, is Century 21, a prominent Lower Manhattan discount department store that attracts shoppers from throughout the region. To the east of Century 21 are two (2) mid-rise office buildings with a retail store and a deli at the street- level.

2 Building categorizations as per New York City Department of Buildings standard.

October 2004 7A Social and Economic Conditions 7-11 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation Fulton Street, the northern boundary of the project site, is one of the oldest retail streets in Manhattan, lined by old retail buildings and small walk-up commercial and residential buildings. The street-level retail consists of a variety of small independent stores, franchises, restaurants, and art galleries, as well as many street vendors selling books, wallets, and arts and crafts. Perpendicular to Fulton Street, Nassau Street is a popular shopping strip with a variety of retail stores similar to that of Fulton Street. William Street, on the eastern periphery, consists of modern mid- to high-rise commercial and residential buildings. Street-level retail stores are located on the ground floor of most buildings. Formans Department Store is located on the northwest corner of William and John Streets. Zeytuna’s, a specialty gourmet food store, is located on the southwest corner of William and John Streets and is one of the few restaurants that fall within the boundaries of the project site. John Street on the southern border has a mix of residential and commercial land uses similar to that of Fulton Street. Street-level retail is common on all the lots along John Street between Broadway and Nassau Street. The John Street Methodist Church, located about 400 feet to the east of the proposed Fulton Street Entry Facility, houses the oldest Methodist Society in North America and is still active.

7A.3.2 ZONING

New York City has three (3) zoning categories: residential, commercial and manufacturing. Only residential and related institutional uses, including educational and religious facilities, are permitted in residential districts. Commercial retail, office, and residential uses are permitted in most commercial districts. Manufacturing, wholesale, and commercial uses are permitted in manufacturing districts.

The primary study area is located within the LM district created in 1998 to encourage the transformation of Lower Manhattan from a traditionally office-oriented Central Business District (CBD) into a 24-hour mixed-use neighborhood with residential uses and associated services. The simplified rules and regulations in this zoning district are intended to promote redevelopment of the area by permitting the reuse and residential conversion of existing underused commercial buildings, guide the growth and development of the waterfront area, and facilitate the creation of a mixed-use community. Land use controls that encourage retail, entertainment and service establishments have been introduced to support a 24-hour mixed-use community. Along with the development of office complexes, commercial and retail uses, the LM district established zoning provisions for residential complexes south of the Brooklyn Bridge on the northeastern periphery of Lower Manhattan (R-8 district). Table 7-3 displays the zoning designations for Lower Manhattan. Table 7-4 displays the zoning designations for the Primary study area.

In addition to the LM district, the following zoning districts are present in Lower Manhattan (see Figure 7-3: Zoning Map):

• Special BPC District - Created to guide residential and commercial development in an area located in close proximity to the core of Lower Manhattan in accordance with the master plan for BPC.

• Special Tribeca Mixed-Use District (TMU District) - Created to retain employment-generating industries in the neighborhood and permit light manufacturing and residential uses in the area. 7A.3.3 OVERVIEW OF POLICIES, PLANS AND VISIONS FOR LOWER MANHATTAN

The following section presents a summary of current public policy for Lower Manhattan and the study area relating to land use, economic development, transportation strategy and community vision. A summary of economic incentives that have been created to encourage rebuilding and transformation in Lower Manhattan, specifically those formulated after the events of September 11, is in Appendix E.

October 2004 7A Social and Economic Conditions 7-12 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

Table 7-3 Zoning Designations in Lower Manhattan

Zoning District Permitted Uses/Bulk

Residential District R7-2 General Residence District with FAR* 0.87 to 3.44. R 8 General Residence District with FAR 0.94 to 6.02. Commercial Districts Local shopping and services with residential uses. Commercial FAR of 2.0 permitted and residential C2-8 FAR governed by R district (R 10) Shopping centers and offices permitted in densely built areas with commercial FAR of 3.4 and C4-6 residential FAR of 10.0 C5-3 High bulk commercial district with commercial FAR of 15.0 High bulk commercial district with commercial FAR of 18.0 (with bonus) and residential FAR of 10.0 to C5-5 12.0 (with bonus). General commercial district outside central business district. Commercial FAR of 6.0 to 7.2 (with C6-1 bonus) and residential FAR ranges from 0.87 to 3.44. General commercial district outside central business district. Commercial FAR of 6.0 to 7.2 (with C6-2 bonus) and residential FAR ranges from 0.94 to 6.02. General commercial district outside central business district. Commercial FAR of 6.0 to 7.2 (with C6-3 bonus). Residential FAR ranges from 0.99 to 7.52. Contextual commercial district with outside central business district. Commercial FAR of 6.0 and C6-2A residential FAR of 6.02. Contextual commercial district inside central business district. Commercial FAR of 6.0 and residential C6-3A FAR of 7.52. C6-4 Medium bulk office districts with commercial FAR of 10.0 permitted. C6-9 High bulk office districts with residential FAR of 10.0 to 12.0 (with bonus). Contextual commercial district. Commercial FAR of 10.0 and residential FAR with 10.0 (to 12.0 with C6-4A lower-income housing). General central commercial district permitting residential and community facility uses. FAR for C6-1G commercial uses permitted is 6.0, FAR for community facility buildings is 6.0 and FAR for residential uses ranges from 0.78 to 2.43. General central commercial district permitting residential and community facility uses. FAR for C6-2G commercial uses permitted is 6.0 C8-4 Warehouses permitted with commercial FAR of 5.0 Manufacturing Districts Light manufacturing district with a maximum commercial or manufacturing building FAR of 2.0 and M1-4 FAR of 6.50 for community facility buildings. Light manufacturing district with a maximum commercial or manufacturing building FAR of 5.0 and M1-5 FAR of 6.50 for community facility buildings. Light manufacturing district with a maximum commercial or manufacturing building FAR 10.0 and FAR M1-6 of 10.0 for community facility buildings. Special Purpose Districts LM Special Lower Manhattan District BPC Special Battery Park City District TA Special Transit Land Use District TMU Tribeca Mixed-Use District * FAR - The maximum size (or bulk) of a building on a lot is determined by the floor area ratio (FAR) assigned in the resolution of each zoning district. The FAR expresses the relationship between the amount of usable floor area permitted in a building and the area of the lot on which the building stands. Source: Zoning Resolution of the City of New York.

October 2004 7A Social and Economic Conditions 7-13 Legend Approximate Project Location 1/4-Mile Land Use Primary Study Area Secondary Study Area

Note: 1) Refer Table 7-1 & 7-2 for Zoning Designations. 2) Refer Section 7.3.1 for Description of Zoning Districts.

Fulton Street Transit Center

Zoning Map Not to Scale Source: City of New York, Figure 7-3 Department of City Planning MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

Table 7-4 Zoning Categories in the Primary Study Area

Zoning District Permitted Uses/Bulk

Commercial District C5-3 High bulk commercial district with commercial FAR of 15.0 permitted. C5-5 High bulk commercial district with commercial FAR of 18.0 (with bonus) and residential FAR of 10.0 to 12.0 (with bonus) permitted. C6-3A Contextual commercial district inside central business district. Commercial FAR of 6.0 and residential FAR of 7.52. C6-4 Medium bulk office districts with commercial FAR of 10.0 permitted. C6-9 High bulk office districts with residential FAR of 10.0 to 12.0 (with bonus).

Residential District

R-8 General Residence District with FAR 0.94 to 6.02 permitted.

Special Purpose Districts LM Special Lower Manhattan District Source: Zoning Resolution of the City of New York.

Historically, much of the planning for Lower Manhattan was guided by the Plan for Lower Manhattan, issued in the 1960s by the NYCDCP. This plan attempted to induce high-density development along the waterfront and create retail and pedestrian corridors between developments on the waterfront and was to guide off-shore development from Battery Park to the Manhattan Bridge along the East River. However, development as proposed by the abovementioned plans did not materialize and was subsequently not considered an influential factor in the development of the City.

One of most influential public policy initiatives that have helped generate new economic activity in the area is The Lower Manhattan Economic Revitalization Plan initiated in 1995 by Mayor Rudolph Giuliani. The plan provided real estate tax abatements, commercial rent tax special reduction and energy cost initiatives to attract commercial and residential investment in the area. The Alliance for Downtown New York (Downtown Alliance), established in 1995, is the City’s largest business improvement district (BID). The BID covers 100 city blocks from City Hall to the Battery and East River to Route 9A and provides: supplemental sanitation and security; economic development; streetscape, design and transportation services; marketing and enhanced tourism programs; and special events to the area. The Alliance also identified the lack of economic diversity among Lower Manhattan businesses and the need to encourage residential development as critical factors for the future of Lower Manhattan. As discussed previously, in order to induce change and convert the area into a mixed-use community while maintaining the historic character of the area, the LM district was created in 1998. Simplified rules governing land use, zoning and the utilization of underused commercial buildings are some of the measures adopted to create the mixed-use community.

PLANS AND POLICIES FOR LOWER MANHATTAN - POST SEPTEMBER 11

With it already beginning to experience an economic downturn and weakening commercial office market, September 11 dealt a severe social and economic blow to the Lower Manhattan community. The events of that day had implications for existing plans to improve Lower Manhattan’s transportation network and to complete the transformation into a mixed-use neighborhood. In response to this challenge, a range of targeted policy initiatives were undertaken to reinforce and refocus those in place pre-September 11. In order to coordinate the long-term efforts of Federal, State and City agencies in rebuilding Lower Manhattan after the events of September 11, the LMDC was created. LMDC has been entrusted with the

October 2004 7A Social and Economic Conditions 7-15 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation task of planning for the WTC site and also initiating redevelopment and revitalization programs for all areas within Lower Manhattan below Houston Street.

Consistent with the intent of EO 13274 - Environmental Stewardship and Transportation Infrastructure Project Reviews, issued by President Bush on September 18, 2002, the proposed FSTC was identified as a priority project.3 In a press release, Secretary Mineta, U.S. Transportation Secretary, named the Lower Manhattan Recovery Effort as one (1) of six (6) transportation projects that would receive “accelerated environmental reviews by a Federal task force under President Bush’s EO on environmental stewardship.” In designating the Lower Manhattan Recovery Projects for accelerated environmental review, Secretary Mineta acknowledged that “[a]s a result of September 11, transit service was severely impacted, disrupting the daily commute of thousands of people who lived, worked and visited one of the largest employment and financial centers of the world.” Secretary Mineta’s press release added: “By placing the Lower Manhattan Recovery Projects on the priority list, it not only speeds up the economic recovery, but it also ensures that the City will reap the benefits of a more environmentally friendly transportation system.” $4.5 billion of Federal funding was issued to the Lower Manhattan Recovery Effort for a wide range of projects to expedite the rebuilding of the transportation system in Lower Manhattan in the aftermath of the events of September 11.

At the State level, on April 24, 2003, Governor George E. Pataki outlined a set of priority projects to restore Lower Manhattan’s transportation infrastructure and help create a 21st century integrated system. A blueprint, the Lower Manhattan Transportation Strategies, prepared by LMDC in collaboration with the Port Authority of New York and New Jersey (PANYNJ), the Metropolitan Transportation Authority (MTA), the New York State Department of Transportation (NYSDOT) and the City, outlines a four (4)- point plan to achieve this objective:

• Create a grand point of arrival in Lower Manhattan; • Rationalize and improve the area’s subway lines; • Provide a respectful setting for a memorial and the creation of a West Street promenade; and, • Provide direct rail and ferry access to Long Island and New Jersey and the region’s airports.

The blueprint identified the Lower Manhattan Transit Complex as a priority project which includes $1.7 to $2 billion for restoration of the Port Authority Trans-Hudson (PATH) Terminal and $750 million for the construction of the proposed FSTC.

In December 2002, Mayor Bloomberg released New York City’s Vision for Lower Manhattan (the Mayor’s Vision), which outlines many of the concepts and plans that may influence the development of Lower Manhattan in the future. The Mayor’s Vision calls for the renewal and revitalization of Lower Manhattan as a more vibrant center of culture and commerce and a community to live in, work in and visit. The three (3) primary areas of focus identified by the Mayor are:

• Improve transportation links between Lower Manhattan and the surrounding region; • Build new neighborhoods; and, • Create more public spaces.

The President’s, Governor’s and Mayor’s strategies provide a foundation for the revitalization of Lower Manhattan. They are closely aligned with specific plans and policies as described below.

TRANSPORTATION PLANS AND POLICIES

Central to the President’s, Governor’s and Mayor’s strategies for Lower Manhattan are specific transportation investments to be made by the public sector in order to improve the connectivity of Lower Manhattan with the region. An overview of these is provided below.

3 Access from website, http://www.fhwa.dot.gov/stewardshipeo/index.htm October 2004 7A Social and Economic Conditions 7-16 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation LMDC’s Urban Planning and Transportation Study states that “rapid transit connections are [Lower Manhattan’s] greatest asset, but in need of improvement”. The study discusses the impact of full peak hour trains, overcrowded and obsolete stations and inadequate connections between stations. Similar concerns have been mirrored in the Mayor’s and Governor’s strategies for the area. These reports propose improvements for rail stations and services such as the Lower Manhattan Transit Complex that would include the Permanent WTC PATH Terminal, the proposed FSTC and subway stations such as South Ferry.

Commuter Service Improvements: Rail, Bus and Ferry

The workforce and residents of Lower Manhattan are some of the most transit-dependent populations in the City. It has been estimated that up to 80 percent of those working in Lower Manhattan live within an area served by subway or bus. The majority of the remainder reside in areas served by commuter railroads. However, many of the existing services and infrastructure are over-used, crowded and aging. The perception of poor transit access is often cited as a major reason why firms relocate away from Lower Manhattan.4 As such, improvements in the condition and efficiency of existing services, as well as the improvements to regional connectivity, are central to public policy for Lower Manhattan. A detailed discussion of these issues is presented in Chapter 1: Purpose and Need.

The Permanent WTC PATH Terminal serving Lower Manhattan is to be located subsurface within the WTC site. The new facility would have larger platforms than the original station destroyed on September 11, easier way-finding and would include a major terminal fronting Church Street. The new Permanent WTC PATH Terminal is intended to reinforce the transit connectivity of Lower Manhattan with New Jersey, where a substantial number of commuters reside. The temporary WTC PATH station, which opened in November 2003, provides services between the WTC site and the rest of the PATH system until the opening of the permanent terminal. The Mayor’s and Governor’s strategies include the creation of a continuous subsurface pedestrian concourse extending from the WFC eastward to Fulton Street. The Permanent WTC PATH Terminal and the FSTC, while independent from each other, are key elements of this pedestrian concourse.

A substantial number of commuters to Lower Manhattan use public or private charter bus service to get to work. These services primarily serve areas of Staten Island, outer Brooklyn and New Jersey that are not served by rail. Prior to September 11, it was estimated that daily bus ridership in and out of Lower Manhattan totaled almost 60,000 trips. Due to the lack of a formal facility, this large volume of buses has been the long term cause of congestion and parking problems in the area; these problems are exacerbated by large inflows of tourist coaches. The LMDC has undertaken policy initiatives to address bus and coach congestion problems in Lower Manhattan and proposes to create a dedicated parking garage south of Canal Street.

The ferry service to and from Lower Manhattan represents the sole direct link of Lower Manhattan with New Jersey post-September 11. Ferry ridership between Lower Manhattan and New Jersey doubled in the three (3) months after September 11. The Brooklyn Ferry Run was created in the aftermath of September 11; it runs from Brooklyn Army Terminal in Sunset Park, Brooklyn to Pier 11 at Wall Street in Lower Manhattan. The Brooklyn Ferry Run was subsidized by the Federal Emergency Management Agency (FEMA) until April 2003 and is now assumed by the New York Water Taxi, which operates the East River Ferry Run. Other private ferry services which emerged or expanded post-September 11 (e.g. New York Waterway, Seastreak, New York Fast Ferry and Liberty Landing Marina) operate services from Lower Manhattan to Queens and New Jersey. The Mayor’s Vision proposes to increase these services, especially to those areas inadequately served by rail transit. In particular, a high-speed ferry service has been proposed to connect Lower Manhattan with LaGuardia Airport (LGA) and the northern metropolitan suburbs.

4 Urban Planning and Transportation Study. LMDC, September 2002.

October 2004 7A Social and Economic Conditions 7-17 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation Airport Access Improvements

Improving access to the region’s airports would help existing business enterprises located in Lower Manhattan and improve its competitiveness as a popular business destination. Investments have been proposed to improve connectivity between New York City and airports in the vicinity. These include the extension of the Air Train service from John F. Kennedy International Airport (JFK) to Lower Manhattan. It has been proposed that the PATH service be extended from Pennsylvania Station in Newark to Newark Liberty International Airport (EWR). This would especially benefit air travelers from New York City leaving from EWR. Travelers could take the PATH trains from the 33rd Street station and ride to the airport rail link station and then make one (1) transfer to access airport terminals.

Pedestrian and Local Bus Service Improvements

Proposed surface transportation improvements in the area include a proposed sub-grade bypass on Route 9A which would allow for the creation of a tree-lined pedestrian promenade from the WTC site to Battery Park. Several improvements are proposed in a planning document entitled Lower Manhattan Transportation Strategies, issued by LMDC in April 2003 and developed in coordination with the MTA, NYSDOT, PANYNJ and City of New York. These improvements include the restoration of Greenwich Street through the WTC site to improve connectivity among areas in the neighborhood. The report proposes Fulton Street as the major east-west pedestrian artery through Lower Manhattan, with a mix of residential, retail, commercial and institutional uses, along with new and improved public spaces.5 A “Loop and Spine Concept” is also proposed, as a way to connect all areas located along the periphery of Lower Manhattan. A bus loop would circle downtown, running down West Street, around Battery Park, up Water Street and along Fulton Street, easing pedestrian and vehicular circulation and improving connectivity among the neighborhoods in the area.

Other Improvements

Other proposed improvements include programs initiated by the New York City Department of Transportation (NYCDOT), such as the Street Management Program, which intends to efficiently allocate street, curb and sidewalk capacity among user groups in order to help manage the dense street network in the area. Programs to improve circulation and access to public transportation, such as the Lower Manhattan Bus Loop, are intended to assist in the connection of neighborhoods in the area.

POLICIES, PLANS AND VISIONS SPECIFIC TO THE PRIMARY STUDY AREA

As part of the Special Lower Manhattan District, the study area would benefit from the simplified land use regulations to create mixed-use development in Lower Manhattan. In addition, following the events of September 11, various planning studies have been commissioned by LMDC to support revitalization efforts within Lower Manhattan. Those studies most relevant to the primary study area are:

• Fulton Corridor Retail and Arts/Entertainment District – Other than small commercial enterprises located along the corridor, the area lacks any entertainment and leisure options. LMDC has commissioned a study that would explore the options for increasing the number of housing units in the area, diversifying retail, arts and entertainment activities and creating new and improved open spaces in the area. A number of recent residential conversions and new construction projects have started to change the character of the area and the above improvements would help to create a vibrant mixed-use community.

• Neighborhood Creation – The Mayor’s Vision includes the creation of two (2) new neighborhoods south of Chambers Street, one (1) near Fulton Street (east of Broadway), and the

5 Lower Manhattan Transportation Strategies. LMDC, MTA, NYSDOT and the City of New York, April 2003

October 2004 7A Social and Economic Conditions 7-18 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation other south of Liberty Street (west of Broadway). The focus of the Fulton Street neighborhood would be Fulton Market Square, “a place to shop, see a movie, visit a gallery, or people-watch”. The focus of the Liberty Street neighborhood is Greenwich Square, proposed over the entrance of the Brooklyn Battery Tunnel. The Mayor’s Vision proposes to connect the Liberty Street neighborhood to BPC by the creation of a tree lined promenade at Route 9A.

• Housing Study - In order to enhance the residential character of Lower Manhattan, this housing study by LMDC aims to identify sites south of the WTC site for new housing development either through conversion of office space or construction of new units. An increase in the residential population would promote the development of a vibrant mixed-use community.

• Chinatown Transportation and Traffic Improvements Study - The events of September 11 have led to the disruption of day-to-day activities for residents in the area. Frequent road closures, obsolete infrastructure and increased traffic congestion are examples of circumstances hindering the development of the neighborhood. Solutions to the above problems would strengthen existing social and commercial linkages between Chinatown and areas within Lower Manhattan.

• Water Street Boulevard – Water Street has been identified as a new public open space as part of the Mayor’s Vision. Water Street is proposed to become a new tree-lined boulevard. It would be part of the pathway that links Route 9A, the Battery and Fulton Street to the WTC, the center of the new Lower Manhattan.

7A.4 ENVIRONMENTAL IMPACTS 7A.4.1 ANALYSIS YEAR 2005/2006 (CONSTRUCTION)

NO ACTION ALTERNATIVE

Under the No Action Alternative, the FSTC would not be under construction during 2005 and 2006. The Existing Complex would continue to operate in its current configuration. It is anticipated that the existing properties on the site of the FSTC would remain as existing. The mix of street-level retail and upper-floor commercial uses currently occupying the buildings is typical of the neighborhood and is likely to continue through 2005/2006. As with many locations in Lower Manhattan, the parcels on this site are not built-out to the full capacity of their zoned floor area ratio (FAR). Viable economic uses and the separate ownership of the parcels have discouraged assemblage of the block or portions of it for redevelopment in the past. Given higher-than-average commercial vacancy rates and the amount of office and commercial space in development in Lower Manhattan, it is anticipated that this condition would continue through 2005/2006.

Elsewhere in the primary study area, approximately four (4) million square feet of commercial space and approximately 1,570 residential units are anticipated to be completed through 2005/2006. Commercial projects in the primary study area are comprised of efforts to rebuild and repair commercial space lost on September 11, including: 1.6 million square feet of office space at the rebuilt 7 WTC at Greenwich and Vesey Streets; 1.1 million square feet at the restored Verizon Building at 140 West Street; and 1.1 million square feet of space at the restored Federal Office Building/Post Office at 90 Church Street. The Verizon Building is expected to be complete in 2004, while 7 WTC and the Federal Office Building are scheduled to be complete in 2005.

Several major residential development projects are expected to be complete during this time period in the primary study area, including: 650 units at 2 Gold Street at the foot of Maiden Lane, 284 units on the opposite side of Louise Nevelson Plaza at 10 Liberty Street and 375 residential units at 10 Barclay Street between Broadway and Church. In addition, the upper floors of the Woolworth Building at 233 Broadway are expected to be converted to residential use, accommodating 150 units along with 50 units at 125 Church Street and 62 units at 130 Fulton Street. Figure 7-4 shows all land use changes that are forecast to occur between 2003 and 2005/2006. October 2004 7A Social and Economic Conditions 7-19 AND S N AM S T I T O N H S Y S LegendT T A R S E W SP RING N T ST W A S C S IV O A A E N L Project LocationT B C L A I T L U R E S S Y T E A M F A Tax Blocks A L F

V A Generalized Land Use: W ATTS ST DESB ROSSES Residential ST T S N O Residential VEST S RY S P T T T M S (with Ground Floor Retail) S O R T H E T S T T S

E S LA E Hotel IGH O T ST N W O E W E R G R Commercial/ OfficeT G A N S T D T S S T T H Institutional O T BE M E ACH ST B A Z D Open Space I L HO ELA N MOO T IS W L NC RE S S P A E Y T EN R ST K D AR S C D T Industrial/ Utilities/ I S T R T S A W A Transportation/ Public Parking V LK R HA E E RRISO R T N S S X T W T Commercial/ InstitutionalT H A S IT B T E S E I T S T F T E S R Vacant S A H H Y E N E T K S G LI TE R Y N R H D S S S I L T T C R R T E O T Under Construction O D S N S A F L R E N D T E Y S O T A W T S E O Y D W R D T A U H F A S T H T A O L S R E B B AY R AR T T D W S S D N T Y U N A E R N E C E E L S L T T W R A S EA O D B H W E PE C A S L I R T L ST RE W N

F EDE RAL N ST P LZ E M E ST UR P VISION R E DI RA CH A G Y R S AM L PA T Y B S RK A ER T OADWAY V B P W S E BR E A L S SE R D T Y C A S L T AY O ST R ST T B HENRY S

E ST OW MADISON W K R AR C P L P A P I ' K FU T R S E L S H OE ST T E MONR M O P E E M S N R A R S A T T U J R V B I C F N I E R T K E E D E E E A S R K S Y T L M N S IB S A T K T T S ER NN A FO RY ST N N ER T TY S CH S T S R O T T T T S S S T U D A C S U AR S TH ST LI A SOU H S C LE E N S DA T T R M S ST A RE H ID T C C E S P T E O R N T R D C ST U L FS L O IF K H A G L B C C E S E L P I T K N S M E J A S M O T H F N IA U L N S T W L L T S A I S T L O L W F T H S L N C T E I T S T C T W EX H T C S N H E S A L R E NG R E S W E A T R P E S T T E L S G P R N E H T T T A S U W T O N S BEAVER O ST G R O F U V E R R N E E

T U STONE ST O R IV S L D L R E A W S T T L A H IP S

T I A T

S E R E D H R A B D L R F L O

S A

T D

S T ,New. York City Transit

Fulton StreetFulton Transit Street Center Transit Center DEIS Projected Land Use Changes ProjectedLandUseChanges 100001000 BetweenBetween 2003 2003 & & 2006 2006 Feet Source: NYC DCP The LouisFigure Berger 7-4 Group, Inc. MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation At the WTC site, construction of the Memorial, office towers and open spaces would be in progress through 2005/2006. The temporary WTC PATH station on the WTC site would continue to operate rail connections to Jersey City, Newark and Hoboken. Construction of the Permanent WTC PATH Terminal would be ongoing.

In Lower Manhattan beyond the primary study area, conversion of commercial spaces to residential uses and development of new residential space is expected to continue. Through the end of 2005/2006, an additional 4,000 units of residential space are scheduled for completion. Over one-half of these units (2,340) would be located in BPC with the completion of buildings in the plan for the North Residential Neighborhood (sites 18B, 19B, 23 and 24 in the vicinity of Teardrop Park) and the Battery Place Residential Neighborhood (sites 2 and 3 on Route 9A). Many of the buildings in BPC would contain small ground floor retail spaces (7,000 to 10,000 square feet; 40,000 square feet in total) to provide resident services in keeping with other buildings in the neighborhood. These developments are also planned to contain cultural and community facilities including a New York City Branch Library, an extension of the Museum of Jewish Heritage, the Skyscraper Museum, the Women’s Museum and the headquarters for the BPC Parks Conservancy.

Significant residential conversion projects scheduled for completion during 2005 and 2006 include: 90 West Street (400 units); 63 Wall Street (475 units); and 90 Washington Street (389 units). These large conversion projects, in addition to smaller projects amounting to over 300 units, would add to the area’s residential base, continuing the trend of growing residential population throughout Lower Manhattan.

ALTERNATIVE 9

This alternative would involve the acquisition of five (5) buildings at the project site and relocation of the occupants (see Chapter 10: Displacement and Relocation). At the time of this evaluation, it is anticipated that four (4) buildings on the east side of Broadway between Fulton and John Streets (not including the Corbin Building at 192 Broadway) and one (1) on the south side of Dey Street at Broadway would be involved. A review of vacancy and turnover rates for commercial and retail properties in Lower Manhattan suggests that the businesses displaced would have the opportunity to relocate in the area. According to Wall Street Rising’s Downtown Retail Attraction Program, there are 158 vacant retail spaces south of Chambers Street, as of March 2003. Any potential relocation would involve business uses typical of, and consistent with, uses throughout the surrounding neighborhood and could therefore be accommodated by existing vacant commercial and retail spaces without involving a permanent change in character or function of overall land use in the area. In addition, the Community Development Block Grant’s Small Business Attraction and Retention program provides grants to businesses south of Canal Street with up to 200 employees that remain in Lower Manhattan for at least five (5) years. However, it is acknowledged that some businesses may, for various reasons, decide not to re-establish through the personal choices of the proprietors or uncontrollable business circumstances.

Following displacement of the tenants, the buildings would be fully deconstructed to allow for subsurface excavation and structural work and above-grade construction. During the construction period, land use at the site would be temporarily altered. Apart from changes at the project site and changes that would take place in the future without the FSTC, it is not anticipated that temporary construction activities at the site would produce effects that would induce a permanent change in land use in the primary or Lower Manhattan study areas during the 2005/2006 period (see Economic Conditions and Community Character Conditions). It is expected that the tenants would not be permanently relocated from 192 Broadway and that John Street businesses located at street-level in the building would be unaffected.

ALTERNATIVE 10 - THE PREFERRED ALTERNATIVE

FSTC construction activities would involve acquisition of six (6) buildings at the project site and permanent relocation of the occupants. These buildings include the five (5) properties on the east side of Broadway between Fulton and John Streets and 189 Broadway, on the south side of Dey Street. Based on the vacancy and turnover rates for commercial and retail properties in Lower Manhattan, the businesses

October 2004 7A Social and Economic Conditions 7-21 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation displaced would have the opportunity to relocate in the area. According to Wall Street Rising’s Downtown Retail Attraction Program, there are 158 vacant retail spaces south of Chambers Street, as of March 2003. Any potential relocation would involve business uses typical of, and consistent with, uses throughout the surrounding neighborhood and could therefore be accommodated by existing vacant commercial and retail spaces without involving a permanent change in character or function of overall land use in the area. In addition, the Community Development Block Grant’s Small Business Attraction and Retention program provides grants to businesses south of Canal Street with up to 200 employees that remain in Lower Manhattan for at least five (5) years. However, it is acknowledged that some businesses may, for various reasons, decide not to re-establish through the personal choices of the proprietors or uncontrollable business circumstances.

Following displacement of the tenants (see Chapter 10: Displacement and Relocation for further details), the buildings, with the exception of the Corbin Building at 192 Broadway, would be fully deconstructed, to allow for subsurface excavation and structural work and above-grade construction. The Corbin Building would be upgraded to assure its historic integrity, as well as conformance with appropriate building and other codes. During the construction period, land use at the site would be temporarily altered. Apart from changes at the project site and changes that would take place in the future without the FSTC, it is not anticipated that temporary construction activities at the site would produce economic or social effects that would induce a permanent change in land use beyond the project site in the primary or Lower Manhattan study areas during the 2005/2006 period (see Economic Conditions and Social and Community Character Conditions below).

7A.4.2 ANALYSIS YEAR 2008 (INITIAL OPERATION)

NO ACTION ALTERNATIVE

Under the No Action Alternative, the FSTC would not be built at its proposed location on Broadway between Fulton and John Streets. It is anticipated that the existing properties would remain as existing and would be occupied by a similar mix of retail and commercial uses. As with many locations in Lower Manhattan, the parcels on this site are not built-out to the full capacity of their zoned FAR. Viable economic uses and the separate ownership of the parcels have discouraged assemblage of the block or portions of it for redevelopment in the past. Given the current higher-than-average commercial vacancy rates and the amount of office and commercial space in development in Lower Manhattan, it is anticipated that this condition would continue through 2008.

In 2008, land use in the primary study area beyond the project site is expected to follow established trends. Existing land use in the primary study area is characterized by a small number of residential buildings, various street-level retail establishments and small Class B and C commercial spaces. Through 2008, the trend of conversion of commercial buildings to residential uses and the transformation of existing retail/service establishments to cater to the needs of the residential population is expected to continue, assisting the area’s transformation into a 24-hour community. A review of potential development projects and land use changes indicates no additional major projects scheduled for completion during the period from 2005/2006 to 2008 in the primary study area.

At the WTC site, construction of the Memorial is scheduled to be complete along with many of the subsurface elements such as the slurry walls, tunneling and underpinning. Still under construction at the site would be: the cultural space; open space elements (Heroes Park, September 11 Place, Liberty Park); the Freedom Tower; and Towers 2, 3, 4 and 5 with associated retail space at the base.

For the remainder of Lower Manhattan, several major residential development projects are projected for completion from 2005/2006 to 2008. Two (2) vacant sites currently used for parking (formerly known as Washington Street Urban Renewal Area (WSURA) sites 5B and 5C) at 270 Greenwich Street and at the corners of Chambers Street and Route 9A are under consideration for residential structures with street- level retail. Taken together, residential development on these sites would produce over 1,180 units and 250,000 square feet of retail space. In addition, residential conversion is proposed for 23 Wall Street (the site originally assembled for the New York Stock Exchange relocation) and could be completed as early

October 2004 7A Social and Economic Conditions 7-22 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation as 2007, adding an additional 430 units of residential space to the Financial District. Figure 7-5 shows all land use changes that are forecast to occur between 2003 and 2008.

ALTERNATIVE 9

The FSTC would involve the demolition of five (5) existing buildings and the relocation of business tenants (see Chapter 10: Displacement and Relocation). As such, land use on the site (except for 192 Broadway) would change from a mixture of commercial and institutional space with street-level retail establishments, into a dedicated public space containing transit facilities that incorporates new retail and cultural spaces. This alternative would be consistent with stated Federal, State and City public policy in that it facilitates the revitalization of Lower Manhattan and improves the condition of transit infrastructure. The FSTC is not expected to induce indirect or secondary land use changes within the study areas. Secondary development is defined as changes in land use that could be fostered indirectly by the implementation of a mass transportation project on properties adjacent or near to it (UMTA C 5630.1). Several studies have analyzed the potential for mass transit projects to induce secondary development.6 Two (2) key findings that specifically relate to existing transit facilities are as follows:

• The effect of secondary development is most pronounced when there is a major change in transportation accessibility because of the introduction of a new mode or service. • Transportation accessibility is a necessary pre-requisite for local development, although on its own, it is not sufficient to induce socioeconomic changes. Other key factors include the availability of vacant land in the vicinity, the characteristics of local economic activity and the presence of public policy that promotes development.

Applying these key findings to the FSTC projects, the FSTC project would not be expected to induce land use changes.

The FSTC is a reconstruction and modernization of the Fulton Street – Broadway Nassau Station Complex (Existing Complex) that has operated in the same location since the early 20th century. As such, the Existing Complex already makes the area an attractive location for commercial activity, but is not expected to generate secondary development. Further, no major service changes are proposed.

Although, there is little vacant land in the vicinity of the FSTC, it is expected to assist in the recreation of the conditions that would foster the redevelopment of the WTC and the downtown economy. The operation of the FSTC would be directly responsive to Federal, State and City-stated public policy in that it would improve accessibility to Lower Manhattan and facilitate the movement of pedestrians between destinations within Lower Manhattan.

ALTERNATIVE 10 - THE PREFERRED ALTERNATIVE

The FSTC would involve the demolition of five (5) existing buildings and the relocation of business tenants of those buildings. In addition, the Corbin Building would be acquired and the building occupants relocated (see Chapter 10: Displacement and Relocation). As such, land use on the site would change from a mixture of commercial and institutional space with street-level retail establishments, into a dedicated public space containing transit facilities that incorporates new retail and cultural spaces. For similar reasons described for Alternative 9, the FSTC is not expected to induce indirect, or secondary, land use changes within the study areas. The operation of the FSTC would be directly responsive to Federal, State and City-stated public policy in that it would improve accessibility to Lower Manhattan and facilitate the movement of pedestrians between destinations within Lower Manhattan. This alternative would be consistent with stated Federal, State and City public policy in that it facilitates the revitalization of Lower Manhattan and improves the condition of transit infrastructure.

6 Transit and Urban Form, National Cooperative Highway Research Program Report 403; Guidance for Estimating the Indirect Effects of Proposed Transportation Projects. Transit Cooperative Research Program 16. October 2004 7A Social and Economic Conditions 7-23 Project Location

Fulton Street Transit Center Projected Land Use Changes 100001000 Between 2006- 2008 Feet Source: NYC DCP Figure 7-5 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

7A.4.3 ANALYSIS YEAR 2025 (FULL OPERATION)

NO ACTION ALTERNATIVE

By 2025, the primary study area would have undergone significant changes in land use compared to pre- and post-September 11 conditions. The WTC redevelopment project would have been completed and occupied for almost 10 years. The WTC site would contain over 10 million square feet of commercial office space in large office towers ranging in area from 1.6 million to 2.6 million square feet each. Part of the one (1) million square feet of retail would be at street-level, providing a key node of activity along Greenwich and Fulton Streets. In addition, a 48-story hotel would be developed, consisting of approximately 800 rooms and up to 150,000 square feet of conference facilities. A key feature of the WTC site is the Memorial and other open spaces, including: the Wedge of Light; Heroes Park; September 11th Place; and Liberty Park (see Chapter 8: Public Open Space).

Elsewhere in the primary study area, there are several soft sites which are likely to be developed with more intensive uses by 2025. These sites could accommodate more than three (3) million square feet in office or institutional space and over 1,700 residential units. The sites include a mixed-use NYU Downtown Hospital, developments at 79 Maiden Lane and 10 Barclay Street and residential conversions at 55 Wall Street and 20 Exchange Place.

Overall, with developments at the WTC site and elsewhere within Lower Manhattan, it is anticipated that roughly 13 million square feet of commercial space would be added below Canal Street by 2025. Like the primary study area, the vast majority of anticipated commercial space is for office use, but significant additions of both retail and institutional space are also expected. For all of Lower Manhattan, it is anticipated that over 16,000 new residential units would be completed by 2025, resulting in an increase of approximately 24,000 residents to the area south of Canal Street. Figure 7-6 shows all land use changes that are forecast to occur between 2003 and 2025.

Similar to conditions in 2008, in 2025 large volumes of tourists to the WTC site would be brought to Lower Manhattan in tour buses that would be staged in a new facility south of Canal Street. The rehabilitation of Route 9A itself would have been completed between Liberty and Vesey Streets as a tunnel capped with a local roadway at-grade or a restored segment of the urban boulevard highway.

As discussed in Section 7A.3.3, there are conceptual plans for changes to land use patterns in the area. In particular, the Mayor’s Vision proposes:

• Residential construction in the Broadway corridor; • A public open space, Greenwich Square, over the Brooklyn Battery Tunnel ramps with the intention of spurring new residential development or residential conversions in the area; and, • A park, Market Square, on Fulton Street between Nassau and William Streets, which would be a centerpiece for redevelopment in that area.

The document also calls for development on the East River similar to that of BPC with parks, cultural facilities and residential buildings.

October 2004 7A Social and Economic Conditions 7-25 Project Location

Fulton Street Transit Center

Projected Land Use Changes 100001000 Between 2008 & 2025 Feet Source: NYC DCP Figure 7-6 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation ALTERNATIVE 9

As stated previously, the FSTC would involve the deconstruction of five (5) existing buildings and the relocation of business tenants (see Chapter 10: Displacement and Relocation). As such, land use on the site would change from a mixture of commercial and institutional space with street-level retail establishments into a dedicated public space housing transit facilities that incorporates new retail and cultural spaces. While the FSTC is expected to contain new retail space inside the facility, the overall floor area of retail space would be less than that displaced from the existing buildings. Under this Alternative, the Corbin Building would not be directly affected by the FSTC. The FSTC is not expected to induce indirect land use changes within the primary and Lower Manhattan study areas, for the reasons discussed in Section 7A.4.2. This alternative would be consistent with stated Federal, State and City public policy in that it facilitates the revitalization of Lower Manhattan and improves the condition of transit infrastructure.

ALTERNATIVE 10 - THE PREFERRED ALTERNATIVE

This alternative would involve the removal of five (5) existing buildings, the adaptive reuse of the Corbin Building (See Chapter 3: Alternatives Analysis), and the relocation of business tenants in all six (6) buildings (see Chapter 10: Displacement and Relocation). As such, land use on the site would change from a mixture of commercial and institutional space with street-level retail establishments into a public space housing transit facilities that incorporates new retail and cultural spaces. While the FSTC is expected to contain new retail space inside the facility, the overall floor area of retail space would be less than that displaced from the existing buildings. The Preferred Alternative is not expected to induce indirect land use changes within the primary and Lower Manhattan study areas, for the reasons discussed in Section 7A.4.2. Similar to Alternative 9, this alternative would be consistent with stated Federal, State and City public policy in that it facilitates the revitalization of Lower Manhattan and improves the condition of transit infrastructure.

7A.5 SUMMARY OF ADVERSE IMPACTS AND MITIGATION MEASURES

Alternative 9 and the Preferred Alternative would not create significant adverse impacts to land use in the study areas. In addition, both alternatives are compatible with current zoning resolutions and consistent with public policy initiatives for the study areas. As such, no mitigation measures are required.

October 2004 7A Social and Economic Conditions 7-27 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

SUB-CHAPTER 7B: ECONOMIC CONDITIONS

This section evaluates the potential impacts of the FSTC on the economic conditions of the local community and the Lower Manhattan region. The proposed FSTC would be built in a region undergoing significant economic transformation and revitalization. The potential for the FSTC to facilitate this transformation and have economic impacts is discussed. Specifically, this chapter analyzes the following aspects of economic conditions:

• Trends and Patterns in Employment; • Economic Impacts of Capital Spending; • Economic Impacts of Construction Activities and Operations on Local Businesses; and, • Fiscal Impacts. 7B.1 METHODOLOGY

Major employers or industries that dominate or characterize the community were identified. Following the analysis of existing conditions, changes to available employment predicted to occur as part of the future background conditions were analyzed.

Existing available private sector employment, based on New York State Department of Labor (NYSDOL) data and organized by industry, is presented for the primary study area (one-quarter mile around the project site), Lower Manhattan and Manhattan. A profile of small businesses, especially street-level retail outlets, has been compiled from consultations with the Downtown Alliance and other community business resources. A discussion of employment trends in Lower Manhattan resulting from the effects of September 11 is presented based upon data from the New York Metropolitan Transportation Council’s (NYMTCs) Demographic and Socioeconomic Forecasting Post September 11th Impacts report.

This sub-chapter (7B) presents a qualitative discussion of the impacts of construction on street-level retail and commercial businesses in the primary study area. As part of the discussion of economic conditions in Lower Manhattan and the effects of September 11, this sub-chapter presents a qualitative analysis of the commercial real estate market based upon recent trends in rents and occupancy rates.

Projections of potential future baseline employment are based upon econometric projections of existing employment statistics, as incorporated into NYMTC’s Regional Transportation Plan. These projections were adjusted to local levels based on Lower Manhattan land use and development potential characteristics data as used in the MTA’s Regional Transportation Forecast Model (RTFM). The temporary economic impacts of capital investment in terms of employment, earnings and fiscal and economic activity were calculated for the years of construction spending.

Finally, potential indirect economic impacts were calculated, including impacts related to regional and/or local economic conditions, such as development, tax revenues and public expenditures, employment opportunities, accessibility, retail sales, the economic vitality of existing businesses and the effect of a proposed project on established business districts during the period of construction and operations.

7B.2 STUDY AREA

To evaluate the FSTC in context and to evaluate the potential for impacts, the primary study area was defined as an area encompassing a quarter-mile radius around the project site (Figure 7-1: Generalized Land Use 2003). The primary study area is approximately defined as the area bordered by Chambers Street to the north, Pearl Street to the east, Exchange Place to the south and West Street along the western periphery. The definition of the primary study area reflects the boundaries of the area that would most likely be affected by the construction and operation of the FSTC with respect to economic conditions.

October 2004 7B Social and Economic Conditions 7-28 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation In order to provide a context for the primary study area, a Lower Manhattan study area was also defined, south of Canal Street and including BPC, Park City, Civic Center, Tribeca and Chinatown (below Canal Street). This chapter also includes the Borough of Manhattan as part of the analysis. This allows for comparison of the economic characteristics of the primary study area within a broader City context and for evaluation of the potential indirect and cumulative impacts of the FSTC, in conjunction with other Lower Manhattan Projects (see Chapter 2: Analysis Framework).

7B.3 AFFECTED ENVIRONMENT 7B.3.1 EMPLOYMENT

As the nation’s third largest CBD in terms of commercial floor space, Lower Manhattan is not only a major employment center but also the headquarters of many national and international businesses. The business district has been traditionally dominated by Finance, Insurance and Real Estate (FIRE) employment, which represented 37 percent of Lower Manhattan jobs in 1995 and 45 percent of all FIRE employment in the city. Pre-September 11, it was projected that between 1995 and 2020, total employment in Lower Manhattan would grow at a slower rate than that of the City and that most of the growth would be due to an increase in service-based employment (See Table 7-5).

The business environment in Lower Manhattan was severely affected by the events of September 11 and the continuing economic recession in the United States. In 2000, Lower Manhattan was home to 12.2 percent of total New York City employment; as of March 2002, employment in Lower Manhattan had fallen to 10.5 percent. NYMTC estimated in September 2002 that of the 1,134 business establishments directly affected by the events of September 11, only 311 had re-established operations in Lower Manhattan, with the remainder relocating to areas outside Lower Manhattan. This represents approximately 60,655 jobs lost in the area due to displacement alone. A total of 28 percent of the relocated jobs were in the financial services industry, nine (9) percent in law and seven (7) percent in business services. Of the 823 firms that relocated, 192 moved to Midtown Manhattan and 96 to the area between Midtown and Lower Manhattan. A total of 502 firms migrated to other City locations in the outer boroughs, or locations in New Jersey, Long Island and Connecticut.7 A recent study by Tenantwise.com indicates that some of these firms may be returning. Companies that moved out of downtown and buildings close to the WTC site following the attacks, such as Barclays Capital, Baseline Financial, the Commodities Futures Trading Commission, Deutsche Bank and Morgan Stanley, have since relocated to areas in Lower Manhattan and a small number of them in particular to sites within the primary study area.8 Initiatives to re-attract business enterprises lost to other areas since September 11 and to attract new businesses from non-FIRE sectors, are presented in Appendix E.

EMPLOYMENT STATISTICS FOR RESIDENTS IN THE STUDY AREAS

The median household income in the primary study area was found to be $97,654. According to the 2000 U.S. Census, this is more than twice the median household income of Lower Manhattan and Manhattan as a whole and can be attributed to the prevalent nature of certain occupations in the primary study area that tend to provide higher salaries. As shown in Table 7-6, of the total labor force that resides in the primary study area, the percentage employed in 2000 was 94.3 percent.

7 Demographic and Socio-economic Forecasting: Post September 11th Impacts. New York Metropolitan Transportation Council (NYMTC), September 2002.

8 “Downtown Tenants: Who’s Back, Who’s Gone for Good.” Crains New York, www.crainsny.com, July 2003.

October 2004 7B Social and Economic Conditions 7-29 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation Table 7-5 Employment Statistics

Annual % Employment in 1000’s Lower Manhattan Change 1995 2020** 1995-2020

FIRE (Finance, Insurance and Real Estate) 184.2 191.3 0.26

Retail Trade 19.4 21.5 0.72

Services 78.5 111.5 2.80

Government 126.0 124.5 -0.08

Others * 89.5 89.6 0.01

New York City 1995 2020 1995-2020

FIRE 409.3 442.2 0.54

Retail Trade 196.9 219.3 0.76

Services 734.2 1093.4 3.26

Government 358.6 368.4 0.18

Others * 578 578.1 0.00

Share of Lower Manhattan to New York City 1995 2020 1995-2020

FIRE 45.0 43.3 -0.26

Retail Trade 9.9 9.8 -0.03

Services 10.7 10.2 -0.31

Government 35.1 33.8 -0.25

Others * 15.5 15.5 0.01

* Sectors include Proprietors, Mining, Manufacturing, Construction, Transportation and Public Utilities and Wholesale Trade. **Projected data as of 1997. Source: NYMTC Employment Forecasting & Analysis Technical Memorandum, Sept. 1997.

Table 7-6 Labor Force Characteristics of Those Residing in Study Areas, 2000

Total Labor Employed Percent of Labor Median Areas Household Force Labor Force Force Employed Income

Primary Study Area 5,750 5,421 94.3 $97,654

Lower Manhattan 51,382 48,098 93.6 $45,111

Manhattan 841,633 770,283 91.5 $47,030

Source: U.S Department of Commerce, Bureau of Census, U.S. Census of Population and Housing, 2000.

October 2004 7B Social and Economic Conditions 7-30 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation Residents within the primary study area are highly transit-dependent. The analysis of data on means of transportation to work for the study area and the surrounding region is presented in Table 7-7. More than half of the residents in the primary study area use the subway system or other regional rail systems to commute to their place of work, which is somewhat higher than that of residents in Lower Manhattan as a whole and somewhat higher than for Manhattan. Walking to work is the second most popular mode across all areas.

Table 7-7 Means of Transportation to Work (Percentage of Primary Study Area Residents), 2000

Means of Transportation to Work (%) Areas Subway/Railroad Bus Autos & Taxis Walk Other

Primary Study Area 51.2 1.1 5.7 32.2 0.5

Lower Manhattan 40.5 6.2 12.6 33.6 0.5

Manhattan 44.8 5.7 15.7 22.0 0.8

Source: U.S Department of Commerce, Bureau of Census, U.S. Census of Population and Housing, 2000.

7B.3.2 RETAIL CONDITIONS

The streets immediately surrounding the intersection of Broadway and Fulton Street are characterized by their high volumes of pedestrian traffic and the proliferation of street-level retail establishments that cater to this pedestrian traffic. An inventory of establishments was created to identify businesses that may be impacted by the construction and operation of the FSTC. For the purposes of impact assessment to retail businesses, a retail study area within the primary quarter-mile study area was established (see Figure 7-2). This area includes all the surrounding streets that have similar street-level retail presence. As construction impacts are unlikely to directly affect retail businesses more than a couple of blocks away, it was not considered necessary to create an inventory of the entire primary study area. The retail study area is generally bound by Park Place to the north, Pearl Street to the east, Liberty Street to the south and Church Street along the western periphery (see Figure 7-7). Located on the northern fringe of Lower Manhattan’s Financial District, the area serves as a transition zone between the irregular street pattern and narrow, curving streets of the Financial District and the City’s Civic Center, a hub of governmental offices and courthouses centered on City Hall Park and Foley Square at the base of the Brooklyn Bridge.

All buildings and storefronts located within the retail study area were field checked. Non-retail uses (e.g., a firehouse, several churches and professional offices) were noted and the retail businesses were then categorized according to their typical customer base. Identifying a typical customer base highlights each business’ relative vulnerability to the direct effects of construction activity in the vicinity of their storefronts. Categorizations are as follows:

“Destination” Businesses – Customers would travel from outside the area to specifically visit that business, i.e. the business has regional draw. Examples include department stores, larger supermarkets, banks and financial institutions, or specialty stores (e.g., bookstores).

Pedestrian “Pass-by Attractor” Stores – The majority of patronage comes from capturing pass-by pedestrian traffic. Examples include cafes, small restaurants, delis, small tourist/consumer goods stores. Subsurface retail businesses associated with the present subway station facilities are generally pass-by attractor-type stores, i.e. non-transit customers would not normally go out of their way to descend into the station to patronize these establishments.

October 2004 7B Social and Economic Conditions 7-31

S R

H D

O S Figure 7-7

R A Retail Inventory Map

Fulton Street Transit Center ,

ODST GOLD

ASUST NASSAU ANN ST

UT ST DUCTH

adway

o r

14 AKROW PARK

JOHN ST ILA ST WILLIAM

dwa oa r

222 B BROADWAY

BARCLAY ST

VESEY ST Feet

FULTON ST LIBERTY ST PARK PL DEY ST

CORTLANDT ST

S HRHST CHURCH S I

R o

M Study Area Attractor Intermediate Destination Vacant Approximate Project Location 440 220 0 440 Legend Retail Type Note: Only lots in thearea study have been analyzed. Sources: NYC DoITT Landbase L MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation “Intermediate” Stores – All those retail outlets that appear to cater to a mix of both the above types of patrons. Typical intermediate stores may be those offering neighborhood services such as hairdressers, nail salons, shoe repair, etc.

The retail study area contains few destination businesses among its numerous storefronts. Many of the buildings within the study area are occupied by street-level independent retailers, with a few notable exceptions such as the Century 21 department store on Church Street, which can also be considered a destination. This store suffered $10 million in damages on September 11 and opted to relocate employees during the five (5) months of refurbishing rather than move its flagship store. The store reopened in February 2002.

A total of 354 storefronts are located within the retail study area. Of these, 209 (59.0 percent) are occupied by stores considered to be “Pass-by Attractor” stores; 88 (24.9 percent) are occupied by stores considered to be “Intermediate” stores; and 27 (7.6 percent) are occupied by stores considered to be “Destination” businesses. Thirty vacant lots/storefronts (8.5 percent) were also observed. A complete inventory of businesses located in the vicinity of proposed construction activities can be found in Section 7B.4.1 of this chapter. In addition, two (2) detailed maps of retail establishments in the vicinity of the FSTC (Figures 7-8 and 7-9) show the extent of local businesses on Dey and Fulton Streets that would be disrupted due to construction of the FSTC. These are listed in Table 7-8.

7B.3.3 COMMERCIAL REAL ESTATE

The following section discusses the non-retail commercial real estate market in the Primary and Lower Manhattan Study Areas. With 108 million square feet of occupied office space prior to September 11, Lower Manhattan represented 26 percent of the total A, B and C office space (about 410 million square feet).9 According to the Urban Land Institute, office space is classified by location, physical characteristics and amenities. Class A office space is typically characterized as buildings with desirable location and access, managed professionally and equipped with modern telecommunications and IT infrastructure. Class B and Class C office buildings have less desirable amenities and typically have lower rents than Class A. The events of September 11 destroyed 13.4 million square feet of office space and damaged an additional 21 million square feet (34.4 million square feet total): which equates to 60 percent of the downtown Manhattan Class A office market. 10

As of April 2, 2003, a total of 83 percent of the damaged Class A space had been repaired and 40 percent reoccupied, according to www.Tenantwise.com. The overall vacancy rates of commercial properties in Lower Manhattan have shown an increase from 9.5 percent in the fourth quarter of 2001 to 13.2 percent in the fourth quarter of 2002.11

In a report issued by www.Tenantwise.com in September 2003, the office space vacancy rate south of Chambers Street is 15.6 percent. Commercial rental rates for all spaces have marginally decreased, from $39.50 annually per square foot in the first quarter of 2002 to $36.10 annually per square foot in April 2003. Incentives provided by the various government agencies, a decrease in rental rates and the transportation improvements planned for the area could be factors that would once again strengthen the commercial office market in Lower Manhattan.

9 Hugh F. Kelly. “The New York Regional and Downtown Office Market: History and Prospects after September 11.” August 2002. p 4. 10 FDIC: Bank Trends – The New York City Economy: Post September 11. May 2002. 11 The Downtown Report. Cushman and Wakefield and Alliance for Downtown, New York. Winter 2003.

October 2004 7B Social and Economic Conditions 7-33 Legend- Retail Type Pass-By Attractor Intermediate Destination Vacant Note: Symbols refer to retail C1 establishments listed in Table 7-7 Broadway

Church Street rtlandt S treet

C2 C3

Dey Street

D1 D2

Washington Street

,AR. Fulton Street Transit Center Affected Retail Establishments on Dey Street 050100200M ORR S L IS S Feet H T UT 200 Sources: NYC DoITT Landbase Figure 7-8 O R S D Scale F Legend-Retail Type Pass-By Attractor Intermediate Destination Vacant Note: Symbols refer to retail

establishments listed in Table 7-7 Broadway

Cortlandt S treet asuStreet Nassau A1 141 A2 A3 A4 A6 Broadway Ch

222 Broadway ur

A5 Street ch A7 A8

FuIton Street

B0 B1 B2 B3 B4 B5 B6 B7

ntnStreetington S

,AR. Fulton Street Transit Center

Affected Retail Establishments on Fulton Street 050100200M ORR S L IS S Feet H T UT Sources: NYC DoITT Landbase Figure 7-9 O R S D F 0150 00 200Feet

Scale MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

Table 7-8 Fulton Street Transit Center Inventory of Affected Retail Businesses along Fulton Street and Dey Street

Property I.D. Address Occupant Business Category

A 1 222 Broadway JP Morgan Chase Intermediate

A 2 147 Fulton Street Duane Reade Intermediate

A 3 145 Fulton Street Solace Deli and Café Attractor

A 4 143 Fulton Street Popeye’s Fried Chicken Attractor

A 5 145 Fulton Street Lucille Roberts Gym (2nd floor) Destination

A 6 141 Fulton Street Chow Time Noodle & Grill Attractor

A 7 139 Fulton Street Dunkin’ Donuts Attractor

A 8 93 Nassau Street Designer’s Promise Attractor

B 1 142 Fulton Street Crown Gourmet Deli & Attractor Sandwiches

B 2 140 Fulton Street Flamers Burgers & Chicken Attractor

B 3 138 Fulton Street S.K.Y. Beauty Supply Intermediate

B 4 136 Fulton Street Fulton Deli Attractor

B 5 134 Fulton Street Vacant Storefront

B 5 87 Nassau Street ABC Carol’s Health Food Intermediate

B 7 87 Nassau Street Moshell’s Designer Shoe Intermediate Outlet

C 1 172 Fulton Street Millenium Hilton Hotel Destination

C 2 195 Broadway Starbucks (Dey Street Lobby) Attractor

C 3 195 Broadway Baguette & Co. (Dey Street Attractor Lobby)

D 1 Dey Street Century 21 Department Store Destination

D 2 Dey Street Circa - NY (Restaurant) Destination

Source: The Louis Berger Group, Inc., 2003.

7B.3.4 ECONOMIC INCENTIVES

To attract and retain business enterprises in Lower Manhattan, government agencies have provided certain incentives to both small and large business enterprises. A full description of each of the current business, economic, employment and residential development incentives is provided in Appendix E and include the following:

October 2004 7B Social and Economic Conditions 7-36 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation • Liberty Zone Tax Package; • WTC Action Plan; • Action Plan for New York Business Recovery and Economic Revitalization; • WTC Small Firm Attraction and Retention Grant; • Discretionary Grants are made by the New York City Economic Development Corporation; • Lower Manhattan Small Business and Workforce Retention Project; • National Economic Stimulus Package; • WTC Employment Training Assistance Program; • The Lower Manhattan Economic Revitalization Plan; • Lower Manhattan Energy Program; and, • The Partial Action Plan. 7B.4 ENVIRONMENTAL IMPACTS 7B.4.1 ANALYSIS YEAR 2005/2006 (CONSTRUCTION)

NO ACTION ALTERNATIVE

Commercial development projects within the primary study area would contribute to permanent employment in the area. Given prevailing occupancy rates and average office space utilization in Manhattan, approximately 13,700 workers would occupy the added approximate four (4) million square feet of commercial space in 7 WTC (to be occupied in late 2004) and other locations west of Broadway. This increase in employment represents an increase over current conditions and a substantial step in the recovery of the worker population to pre-September 11 conditions. In addition to the increase in permanent employment as office space in Lower Manhattan is rebuilt, the rebuilding activities are expected to produce significant opportunities for temporary construction employment at the WTC site and other construction projects including the Permanent WTC PATH Terminal, South Ferry Subway Terminal and Route 9A. These temporary construction employment opportunities are expected to commence or continue through 2005/2006. Together with permanent employment, the total number of jobs in Lower Manhattan in 2005/2006 is not anticipated to exceed pre-September 11 conditions. In the absence of the FSTC project, the City and regional economies would not benefit from the incremental purchases, employment and indirect economic activity related to construction activity of the FSTC.

Without the FSTC project, construction activities would be in progress in other portions of the primary and Lower Manhattan study areas that have the potential to reduce access in localized areas. The NYCDOT would be continuing with a program of reconstructive roadwork on Fulton Street and Broadway in 2005/2006. This work would range from utility replacement and full-scale street reconstruction to repaving operations. The street work planned by NYCDOT is necessary to repair and replace aging utility services, ensure the continued provision of services, prevent utility emergencies and coordinate servicing efforts to reduce the occurrence and duration of street construction. In the immediate project area, pedestrian movement would be limited to sidewalks; pedestrian traffic may be more congested as sidewalk widths are narrow and store fronts may not be readily accessible from opposite sides of the street. The construction-related activities of these projects are not expected to result in permanent significant adverse impacts to business operations in the primary study area. The coordinated street work activity is designed to limit the duration of street closures and access reductions and limit the potential for future disruptions. The street work program has been underway since 2002 on William Street and other locations in Lower Manhattan. In these locations, businesses continue to operate, pedestrian activity continues and the activity has not resulted in significant permanent land use changes or indirect displacements.

October 2004 7B Social and Economic Conditions 7-37 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation ALTERNATIVE 9

The construction of the FSTC would represent a substantial infusion of capital investment into the City economy. Capital expenditures would flow through the local economy and generate a range of quantifiable economic benefits. These benefits would take the form of increases during the construction period in: economic activity or output for local supplying industries; earnings to local employees; State and local tax revenues; and jobs.

The proposed capital spending program is expected to be sequenced over a three (3) to four (4)-year period. Table 7-9 presents the capital spending program. Without respect to the region of impact, the program funds can directly support 4,000 construction-related jobs (in person-years), or an annual average of 1,333 jobs. The program would generate total industry sales for construction materials, labor, subcontractors and other goods and services of approximately $700 million.

Table 7-9 Fulton Street Entry Facility Construction Activity For Alternative 9

Activity Budget

Total Construction Budget $700M

Construction Jobs

Direct Construction Jobs Supported by Payroll in Person-Years 4,000

Direct Average Annual Construction Jobs 1,333

Source: Downtown Transit Center and Concourse Draft Report, Ove Arup Inc., July 2002.

Local Business and Retail Conditions

Construction activities for Alternative 9 would extend over only a small portion of the primary study area and would be confined to small sections of individual streets, sidewalks and street corners. Businesses in these localized areas may experience temporary adverse effects from the construction of the Entry Facility and the Dey Street Passageway and the improvements to the AC mezzanines. These could stem from disruption of access (street and sidewalk closures, loss of loading and pick-up areas and temporary blockage to store entrances), increases in noise, vibration and dust and the visual effects of sidewalk sheds and construction equipment and activity. Businesses permanently displaced by the FSTC are expected to relocate elsewhere within the Lower Manhattan study area. A full discussion of the potential of the displacements to create direct and indirect impacts to the affected businesses and the local community is presented in Section 7C.4.1. As described in Chapter 4: Construction Methods and Activities, construction activities on Dey Street will limit pedestrian egress to five (5)-foot sidewalk corridors throughout construction of the Dey Street Passageway.

Dey Street contains several small street-level retail establishments that may be subject to the effects of construction activity. Figure 7-8 displays the extent of retail establishments that would be directly affected by construction activity on Dey Street. The street has two (2) cafes that front the northern sidewalk and a restaurant/bar that fronts the south sidewalk. Century 21, a discount department store, has one (1) of its several pedestrian entrances and its only loading dock located on Dey Street. All affected businesses on Dey Street (see Table 7-10) except Century 21 have been determined to be “Pass-by Attractor”-type establishments (see Section 7B.3.2 for designations) that are dependent on the patronage of walk-past pedestrian traffic.

October 2004 7B Social and Economic Conditions 7-38 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

Table 7-10 Businesses Located Adjacent to Construction Activities During Construction of FSTC on Dey Street for Alternative 9

Address Business

5 Dey Street Century 21 – Dey Street Entrance

7 Dey Street Circa – NY Restaurant

195 Broadway Starbucks

195 Broadway Baguette & Co.

Source: The Louis Berger Group, Inc., 2004.

Century 21 is a “Destination”-type establishment (a business that attracts customers from a regional area due to pre-conceived customer intent and is not reliant on attracting the patronage of walk-past pedestrians) that would be much less affected by pedestrian access limitations on Dey Street. Additionally, the Dey Street entrance is a secondary entrance; the store’s main entrance located at 22 Cortlandt Street would be unaffected by the construction activities. The most pronounced effect of construction activities on Century 21’s operations would be due to the temporary restrictions to the store’s loading dock. Pedestrian access and destination truck delivery access would be maintained on Dey Street, including access to Century 21.

The Millenium Hotel will be subject to the temporary adverse impacts of utility relocation and replacement works on the sidewalk fronting Church Street. Throughout this period, access to the Church street hotel entrance will be restricted and vehicle drop-off and unloading suspended. The hotel entrance on Fulton Street will be unaffected. During this period, occupants of the hotel may experience elevated noise levels due to pavement breaking and other activities associated with utility relocation. Such impacts would be avoided where possible between the hours of 10 PM and 7 AM and will be temporary in nature (see Chapter 13: Noise and Vibration).

Fulton Street, between Broadway and Nassau Street, contains numerous street-level retail businesses including a photo lab, nail and wax salon, a tailor-shop, beauty salon, several delis and a fast food outlet (see Table 7-11). Many of these businesses, such as the delis and restaurants, are “Pass-by Attractor”- type establishments that are susceptible to potential adverse impact caused by limited pedestrian space on both sides of Fulton Street. Figure 7-9 displays the extent of retail establishments that would be affected by construction activity on Fulton Street. Construction activities on Fulton Street will limit pedestrian egress to five (5)-foot sidewalk corridors throughout the widening of the AC mezzanine.

In addition, patronage to “Intermediate”-type businesses, such as those that offer services, may be compromised during construction. While those stores that have been identified as “Intermediate” are not as reliant upon pedestrian flow, the perception by pedestrians that the street is congested may dissuade regular customers from patronizing the business. Consequently, site-specific maintenance and protection measures would be developed for Fulton Street construction activities that ensure that street-level and building access is maintained and that business owners are included in the planning and implementation of these measures.

October 2004 7B Social and Economic Conditions 7-39 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

Table 7-11 Businesses Located Adjacent to AC West Mezzainne Widening on Fulton Street Associated with Alternative 9

Address Business

139 Fulton Street Dunkin Donuts

141 Fulton Street Chow Time Noodle & Grill

143 Fulton Street Popeye’s Fried Chicken

145 Fulton Street Mr. Closeout

145 Fulton Street Lucille Roberts Gym (2nd Floor)

147 Fulton Street Duane Reade

149 Fulton Street Chase Manhattan Bank

150 Fulton Street 1-Hour Photo

150 Fulton Street Nail & Wax

150 Fulton Street Solo Jewelry

146 Fulton Street Tailoring & Alterations

144 Fulton Street Beauty Salon

142 Fulton Street Anytime Cafe

140 Fulton Street Flamers Burgers & Chicken

140 Fulton Street Dynasty Acupressure (2nd Floor)

138 Fulton Street S.K.Y. Beauty Supply

136 Fulton Street Fulton Deli

130 Fulton Street ABC Carol Health Food

93 Nassau Street Designer’s Promise

93 Nassau Street Wee Bee Kids (2nd Floor)

87 Nassau Street Moshell’s Designer Shoe Outlet

Source: The Louis Berger Group, Inc., 2004.

It should be noted that the temporary impacts discussed above would be offset to a degree by the influx of construction workers to the area during the project’s three (3) to four (4)-year construction period. It is likely that study area food-service establishments and other retailers would benefit from the presence of this additional working population.

Chapter 4: Construction Methods and Activities, contains details of the Maintenance and Protection of Traffic (MPT) Plan that outlines methods to maintain access to building entrances and street-front retail establishments.

October 2004 7B Social and Economic Conditions 7-40 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation There are small areas of affected businesses on William Street, Cortlandt Street, Maiden Lane, Broadway and John Street that are adjacent to construction activities associated with miscellaneous project elements (new stairwells, new Americans with Disabilities Act (ADA) elevators etc.) (see Table 7-12). The majority of such establishments are “Pass-by Attractor”-type establishments that would be affected due to limited pedestrian space. These businesses consist of stores that service clothing, cosmetics, food, jewelry, health products and phones. The other businesses/services such as the HSBC Bank and New York City Administration of Children’s Services are “Intermediate”-type businesses/services that could also be affected by restricted access. Consequently, site-specific maintenance and protection measures would be developed for street construction activities adjacent to these stores/services to ensure that street- level and building access is maintained and that business owners are included in the planning and implementation of these measures.

Table 7-12 Businesses Located Adjacent to Construction Activities Associated with Alternative 9 on Cortlandt Street, Maiden Lane, Broadway, William Street, Nassau Street and John Street

Address Business

166-170 Broadway Sprint

166-170 Broadway T-Mobile

173 Broadway Zebak Jeweler

173 Broadway Daikichi Sushi

135 William Street GNC

150 William Street NYC Administration of Children’s Services

150 William Street Café Seaport

81 William Street Men’s Express

William Street (59 John Street) Forman’s Apparel

110 William Street HSBC Bank

Source: The Louis Berger Group, Inc., 2004.

Fiscal Impacts

The five (5) existing buildings that are proposed to be removed to clear the site for the Entry Facility currently contribute revenue to the City in the form of property taxes. As the FSTC is a transit facility to be operated for public use by the MTA, once it is obtained by the MTA, the property would no longer generate these property taxes. Table 7-13 summarizes the annual fiscal impacts due to loss of this property tax revenue.

While revenue from the existing land and buildings at the site would not generate property taxes once these properties were acquired by the MTA, the development rights (FAR permitted by zoning in excess of that utilized by the Entry Facility structure) would remain intact and could be utilized in future development on adjacent zoning lots. Once utilized by a private entity, these development rights would then generate property taxes at the developed site.

October 2004 7B Social and Economic Conditions 7-41 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

Table 7-13 Summary of Property Tax Revenue for Alternative 9

Block Lot Address Annual Property Tax (2003) ($) 79 21 204-210 Broadway 279,086 79 19 200-202 Broadway 167,273 79 18 198 Broadway 131,773 79 16 194-196 Broadway 263,677 63 13 189 Broadway 160,499 Total 1,002,308 Source: New York City Department of Finance.

It is not anticipated that the relocation of businesses in the acquired properties would result in decreased revenues for the City in the form of business, sales and payroll taxes. As noted previously, these businesses would receive relocation assistance in accordance with State and Federal law and can be accommodated in vacant or newly developed space in Lower Manhattan or elsewhere in the City. In a report issued by Tenantwise.com in September 2003, the office space vacancy rate south of Chambers Street was estimated at 15.6 percent.12 Similarly, retail vacancy in Lower Manhattan has been estimated at 12 percent for the area south of Chambers Street.13

ALTERNATIVE 10 - THE PREFERRED ALTERNATIVE

Under the Preferred Alternative, the FSTC would represent an infusion of capital investment into the City economy. Capital expenditures would flow through the local economy and generate a range of quantifiable economic benefits.

The proposed capital spending program is expected to be sequenced over a three (3) to four (4)-year period. Table 7-14 presents the capital spending program. Without respect to the region of impact, the program funds can directly support 4,000 construction-related jobs (in person-years), or an annual average of 1,333 jobs. The program would generate total industry sales for construction materials, labor, subcontractors and other goods and services of approximately $750 million.

Table 7-14 Fulton Street Entry Facility Construction Activity For the Preferred Alternative

Activity Budget Total Construction Budget $750M

Construction Jobs Direct Construction Jobs Supported by Payroll in Person-Years 4,000

Direct Average Annual Construction Jobs 1,333

Source: Downtown Transit Center and Concourse Draft Report, Ove Arup Inc., July 2002.

12 For more information, see Section 7B.3.3: Commercial Real Estate in Chapter 7: Social and Economic Conditions. 13 “Downtown Retail Attraction Program: Building Your Business in the Heart of Manhattan” Wall Street Rising, March 2003

October 2004 7B Social and Economic Conditions 7-42 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation Local Business and Retail Conditions

It is expected that the Preferred Alternative would also be at its peak level of construction activity in 2005/2006. Construction activities would extend over only a small portion of the primary study area, confined to small lengths of individual streets, sidewalks and street corners. Businesses in these localized areas may experience temporary adverse effects from the construction of the Entry Facility, the Dey Street Passageway, improvements to the AC mezzanines and the construction of miscellaneous project elements that would stem from disruption of access (street and sidewalk closures, loss of loading and pick-up areas and temporary blockage to store entrances), increases in noise, vibration and dust and the visual effects of sidewalk sheds and construction equipment and activity. Impacts to retail businesses (including the Millenium Hotel) under this alternative are similar to those for Alternative 9.

Businesses permanently displaced by the FSTC are expected to relocate elsewhere within the Lower Manhattan Study Area. A full discussion of the potential of the displacements to create direct and indirect impacts to the affected businesses and the local community is presented in Section 7C.4.1.

Fiscal Impacts

The six (6) existing buildings that are proposed to be removed or emptied of commercial occupants to clear the site for the Entry Facility currently contribute revenue to the City in the form of property taxes. As the FSTC would be a transit facility to be operated for public use by a public authority, the property, once obtained by the MTA, would no longer generate these property taxes. Table 7-15 summarizes the annual fiscal impacts due to loss of this property tax revenue.

Table 7-15 Summary of Property Tax Revenue For the Preferred Alternative

Block Lot Address Annual Property Tax (2003) ($) 79 21 204-210 Broadway 279,086 79 19 200-202 Broadway 167,273 79 18 198 Broadway 131,773 79 16 194-196 Broadway 263,677 79 15 192 Broadway 222,083 63 13 189 Broadway 160,499 Total: 1,224,391 Source: New York City Department of Finance: http://nycserv.nyc.gov/nycproperty/nynav/jsp/selectbbl.jsp

While revenue from the existing land and buildings at the site would not generate property taxes once these were acquired by the MTA, the development rights (FAR permitted by zoning in excess of that utilized by the Entry Facility structure) would remain intact and could be utilized in future development on adjacent zoning lots. Once utilized by a private entity, these development rights would then generate property taxes at those sites.

October 2004 7B Social and Economic Conditions 7-43 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation 7B.4.2 ANALYSIS YEAR 2008 (INITIAL OPERATION)

NO ACTION ALTERNATIVE

No commercial projects are scheduled for completion in the study areas between the analysis years of 2005/2006 and 2008. Therefore, no substantial changes in the workforce are anticipated for the Primary or Lower Manhattan study areas, apart from any cyclical changes in employment or office vacancy conditions. The rebuilding activities are expected to continue to produce opportunities for temporary construction employment at the WTC site. In the absence of the FSTC, the City and regional economies would not benefit from the incremental purchases, employment and indirect economic activity related to construction activity of the Entry Facility.

ALTERNATIVE 9

Nevertheless, in terms of total employment on the site, the number of new jobs created by the permanent operation of the Entry Facility and new retail establishments is expected to be less than the total number of jobs displaced from the site by the FSTC, so the net gain in employment for the study area is not able to be estimated. The new retail establishments in the Entry Facility would be potentially located on multiple levels wholly within the new facility, rather than concentrated at street-level as is presently the case. As such, retail patrons would enter the facility and descend or ascend to the various store spaces. It is expected that the retail businesses potentially within the proposed Entry Facility would be less dependent on attracting pedestrians passing by on the surrounding streets and would consequently be comprised of mostly “Intermediate” and “Destination” businesses such as restaurants and specialty stores. Smaller “Pass-by Attractor” style concession kiosks catering to transit traffic within the facility are expected to be included at the lower levels. These retail businesses would provide revenues and tax benefits.

The Entry Facility would not generate induced growth in employment or residents within the study areas. The operational FSTC would improve connectivity for existing residents and employees of the area. It would be operational in time to accommodate growth in population anticipated with residential developments and conversions and the recovery of employment with the completion of office buildings damaged and destroyed on September 11 and elements of the 16-acre WTC site to be completed by 2009.

ALTERNATIVE 10 - THE PREFERRED ALTERNATIVE

Under this alternative, full operation of the FSTC would support economic activity within the primary study area. Existing businesses on the site are expected to have had opportunities to relocate within the study area and would not constitute a net loss of employment. Similarly, potential retail space within the proposed Entry Facility would provide new jobs within the study area. Nevertheless, in terms of total employment on the site, the number of new jobs created by the permanent operation of the Entry Facility and potential new retail establishments is expected to be less than the total number of jobs displaced at the site by the FSTC, so the net gain in employment for the study area is not estimable. The new retail establishments proposed for the Entry Facility would be located on multiple levels wholly within the new

October 2004 7B Social and Economic Conditions 7-44 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation facility, rather than concentrated at street-level as is presently the case. As such, retail patrons would enter the facility and descend or ascend to the various store spaces. It is expected that the retail businesses established within the proposed Entry Facility would be less dependent on attracting pedestrians passing by on the surrounding streets and would consequently by comprised of mostly “Intermediate” and “Destination” businesses such as restaurants and specialty stores. Smaller “Pass-by Attractor” style concession kiosks catering to traffic within the facility are expected to be included at the lower levels. These retail businesses would provide revenues and tax benefits. The conceptual design of this alternative calls for a similar type and volume of retail space as that described for Alternative 9.

The FSTC itself would not generate induced growth in employment or residents within the primary study area. The Entry Facility would improve connectivity for existing residents and employees of the area. It would be operational in time to accommodate growth in population anticipated with residential developments and conversions and the recovery of employment with the completion of office buildings damaged and destroyed on September 11 and elements of the 16-acre WTC site to be completed by 2009.

7B.4.3 ANALYSIS YEAR 2025 (FULL OPERATION)

NO ACTION ALTERNATIVE

New commercial development in the primary study area would provide workspace for an estimated 35,000 additional workers compared to pre-September 11 conditions. The WTC site is expected to provide employment to approximately 31,900 workers by 2025, which roughly equates to the number of WTC workers displaced by the events of September 11. The fully operational WTC Memorial and Redevelopment Plan would have important economic impacts for the primary study area. This would include increased spending by those who commute to the area from other areas and from those workers who would reside locally. In addition, it has been estimated that over five (5) million visitors would visit the WTC site each year.14 These visitors would generate approximately 33,000 new jobs within the City, a significant proportion of which would be created directly within the primary study area. For all of Lower Manhattan, new commercial development would result in as many as 61,000 new workers in 2025.

ALTERNATIVE 9

The purpose of FSTC is to create a functionally and visually unified transit facility with a central distinguishing portal by substantially improving the Existing Complex and extending it with a subsurface connection west to the WTC site. The development of the FSTC has substantial potential for integrating transit and urban development for Lower Manhattan. In doing so, the FSTC would address the need for improved access to Lower Manhattan in support of economic recovery and resumed growth. In its operational state, the FSTC would support rather than substantially alter economic activity within the primary study area. Existing businesses on the site are expected to have relocated within the City and would not constitute a net loss of employment. As the proposed Entry Facility is not expected to increase ridership, street-front retail activity in the vicinity of the facility would be unaffected by the project. As described in Section 7B.4.2, retail outlets to be potentially developed within the proposed FSTC are expected to be more representative of destination-type establishments, such as bars, restaurants and gallery space, than was previously present on the site. The overall volume of retail area is expected to be less than the existing conditions. As such, the Entry Facility may attract local workers, shoppers and tourists to its internal retail spaces, in addition to transit passengers. Similar to the short term effects of transit investment described in Section 7A.4.2, the FSTC is not expected to generate long-term secondary development in the study areas. The retail businesses would continue to provide revenue and tax benefits.

14 Economic Impact of Redeveloping the World Trade Center Site. Appleseed, Oct. 20, 2003.

October 2004 7B Social and Economic Conditions 7-45 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation ALTERNATIVE 10 - THE PREFERRED ALTERNATIVE

Similar to Alternative 9, with implementation of the Preferred Alternative, the FSTC would support economic activity within the study areas. Existing businesses on the site are expected to have relocated within the study area and would not constitute a net loss of employment to the City. As the proposed Entry Facility is not expected to increase ridership itself, street-level retail activity in the vicinity of the facility would be unaffected by the project. As described in Section 7B.4.2, retail outlets to be potentially developed within the proposed Entry Facility are expected to be more representative of destination-type establishments, such as bars, restaurants and gallery space, than was previously present on the site. The overall volume of retail area is expected to be less than the existing conditions and similar to Alternative 9. As such, the Entry Facility may attract local workers, shoppers and tourists to its internal retail spaces, in addition to transit passengers. Similar to the short term effects of transit investment described in Section 7A.4.2, the FSTC is not expected to generate long-term secondary development in the study areas. The retail businesses would continue to provide revenue and tax benefits.

7B.5 SUMMARY OF ADVERSE IMPACTS AND MITIGATION MEASURES

Alternative 9 and the Preferred Alternative would not create significant adverse impacts to economic conditions in the study areas. As such, no further mitigation measures beyond coordinating street work to limit disruption; using alternative delivery entrances; coordinating with affected property owners, residents and businesses; providing signage to indicate that businesses are accessible; and site-specific maintenance and protection measures would be required. Additional measures to mitigate construction impacts are discussed in Chapter 4: Construction Methods and Activities. Measures to compensate individual businesses directly affected by the construction of the FSTC are discussed in Chapter 10: Displacement and Relocation.

As described in Chapter 4: Construction Methods and Activities, a key element of the construction management approach to the project is the Maintenance and Protection of Traffic Plan. This plan outlines measures for site specific maintenance and protection of pedestrian traffic in the vicinity of construction activity. Two important objectives of this plan are:

1. Maintain access to all building entrances and storefronts throughout the construction period; and, 2. Engage tenants and building owners in ongoing coordination to minimize the disruption.

October 2004 7B Social and Economic Conditions 7-46 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

SUB-CHAPTER 7C: COMMUNITY CHARACTER

This section provides an evaluation of the potential impacts of the FSTC on the community character immediately surrounding the proposed FSTC site and also within Lower Manhattan. This analysis considers the potential impacts to the area’s population, demography, housing stock, degree of community cohesion, mobility and public safety. The effect of the FSTC on the functioning and capacity of community facilities is also evaluated in this section.

The area surrounding the site of the FSTC is in the process of transformation from a predominantly commercial district, dominated by office worker employment and business-hour commerce, into a 24- hour residential and commercial neighborhood. The effect of the FSTC on this transformation and the potential for adverse effects on community character are also discussed.

7C.1 METHODOLOGY

As part of this analysis, the existing population and demographic profiles of Manhattan, Lower Manhattan and the study areas were prepared using U.S. Census of Population and Housing for 1990 and 2000. These profiles describe the age, income distribution and other demographic characteristics of residents. Based upon data from the Census and the NYC Housing and Vacancy Survey 2002, a housing profile is presented that displays the number of housing units, tenure and occupancy and a summary of housing expenses.

Since housing, recreation and cultural facilities are prominent features of plans for Lower Manhattan and conversion of commercial buildings to residential use has accelerated in recent years, particular consideration has been given to Lower Manhattan as a place of residence and recreation, in addition to employment.

The description of the current and future character of the community supports an evaluation of the potential adverse effects of the FSTC, particularly during the construction period and the potential beneficial effects of the FSTC, particularly in its operational phase.

7C.2 STUDY AREA

To evaluate the FSTC in context and to evaluate the potential for impacts, the primary study area was defined as an area encompassing a quarter-mile radius around the project site (Figure 7-1: Generalized Land Use 2003). The primary study area is approximately defined as the area bordered by Chambers Street to the north, Pearl Street to the east, Exchange Place to the south and West Street along the western periphery. This definition of the study area reflects the boundaries of the area that would most likely be affected by the construction and operation of the FSTC with respect to community character.

To provide a context for the primary study area, a larger, more general study area was also defined consisting of Lower Manhattan south of Canal Street, including the Financial District, BPC, Civic Center, Tribeca and Chinatown (below Canal Street) (See Figure 7-1). The Borough of Manhattan (New York County) is also included as part of the analysis, to allow for a comparison of the demographic characteristics of the primary study area within a regional context and for an evaluation of potential indirect and cumulative effects of the FSTC in conjunction with other Lower Manhattan Recovery Projects (see Chapter 2: Analysis Framework).

October 2004 7C Social and Economic Conditions 7-47 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation 7C.3 AFFECTED ENVIRONMENT 7C.3.1 POPULATION AND DEMOGRAPHY

LOWER MANHATTAN STUDY AREA

All census tracts south of Canal Street were included in the analysis of the demographic and population characteristics for Lower Manhattan. According to the 2000 U.S Census, 83,239 persons resided within the project area in 1999 and the total number of households was 33,404. Table 7-16 presents a comparative demographic profile of the primary study area, the Lower Manhattan study area and New York County. Within the Lower Manhattan study area, either non-Hispanic or Hispanic whites comprise 39 percent of the total population and minorities make up nearly 70 percent of the total population. The high proportion of minorities is due to the location of Chinatown within the boundaries of the Lower Manhattan study area. New York County has 1,537,195 persons and more than half (54.4 percent) of this total was comprised of whites. The percentage of minorities in the county was 54.2 percent (these two (2) groups total more than 100 percent due to the double counting effect from the respondents who classify themselves as white and Hispanic). Ethnicity, population distribution by age and a profile of poverty and income for the Lower Manhattan study area and the entire county are discussed in greater detail in Chapter 19: Environmental Justice.

PRIMARY STUDY AREA

The quarter-mile primary study area consists of specific block groups within Census Tracts 7, 13, 15.01, 15.02 and 21. According to the 2000 U.S Census, the total population within the primary study area was 7,816 persons (see Table 7-16). Nearly three quarters of the total population is white. The total number of households in the study area was 3,623. A detailed discussion on population trends, distribution by age and poverty levels specific to the study area is included in Chapter 19: Environmental Justice.

7C.3.2 HOUSING

LOWER MANHATTAN STUDY AREA

Table 7-17 presents an overview of households and housing units observed in the primary study area, Lower Manhattan and New York County. The entire region is undergoing a transformation from a purely business and commercial district to a 24-hour community with an increased supply of residential units. From 1990 to 2000, the primary study area experienced almost 113 percent growth in households and a 104 percent growth in housing units. According to a recent study conducted by Community Board 1 in Lower Manhattan15, there are at least 8,173 units currently planned or under construction below Canal Street.

One of the immediate effects of events of September 11 included the displacement of thousands of downtown residents. Vacancy rates in the buildings closest to the project site reached 45 percent, according to a study of 7,000 apartments in the area.16 After the attacks, rents across Lower Manhattan fell about 20 to 25 percent below pre-September 11 levels.17 Restoring occupancy has been the top priority not only for property owners but also for the Federal, State and City governments. To achieve this objective, LMDC announced a substantial package of residential incentives to re-invigorate Lower Manhattan. Incentives for homeowners and renters affected by the events of September 11 are discussed in Appendix E.

15 Elizabeth O’Brien. “Downtown’s New Population Boom.” Downtown Express. June 24-30, 2003.

16 Accessed from website, http://www.gothamgazette.com/housing/91102.shtml

17 “Lower Manhattan Residential Community: Growth and Strength After September 11th. Alliance for Downtown. New York. November 2002. October 2004 7C Social and Economic Conditions 7-48 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

Table 7-16 Population/Demographic Characteristics Comparison Based on U.S. Census, 2000

Lower Manhattan New York County Primary Study Area1 Race Study Area (Manhattan) Number Percent Number Percent Number Percent A. White alone 5,664 72.5 32,331 38.8 835,298 54.4 Non-Hispanic White 5,356 26,441 703,462 Hispanic White 308 5,890 131,836 B. Non-white alone 2,152 27.5 50,908 61.2 701,897 45.6 Black/ African American 380 4.9 5,642 6.8 265,682 17.3 alone American Indian/Alaska 27 0.3 174 0.2 6,904 0.4 Native alone Asian alone 1,111 14.2 37,414 44.9 144,368 9.4 Native Hawaiian/Other 0 0.0 26 0.03 612 0.04 Pacific Islander Other2 634 8.1 7,652 9.2 284,331 18.5 Total (A+B) 7,816 100.0 83,239 100.0 1,537,195 100.0 Minority Population3 2,460 31.5 56,798 68.2 833,733 54.2 Hispanic Origin 590 7.5 12,314 14.8 417,816 27.2 Age (Years) 0-5 395 5.1 4,868 5.8 89,694 5.8 6-12 360 4.6 4,649 5.6 101,582 6.6 13-18 290 3.7 4,793 5.8 81,309 5.3 19-24 1,336 17.1 9,250 11.1 138,623 9.0 25-34 2,600 33.3 14,768 17.7 332,210 21.6 35-49 2,040 26.1 20,122 24.2 369,132 24.0 50-64 730 9.3 12,375 14.9 237,997 15.5 65 years or older 65 0.8 12,414 14.9 186,648 12.1 Total 7,816 100.0 83,239 100.0 1,537,195 100.0 Number of 3,623 33,404 738,644 Households Poverty Population for whom poverty 7,057 77,971 1,491,423 status was determined Persons below 604 8.6 17,872 22.9 298,231 20.0 poverty Median Household $97,654 $45,111 $47,030 Income (1999)4 1 The Primary Study area comprises block group 3, census tracts 7 and 13, block groups 1, census tracts 13 and 21, block groups 2, census tracts 13, 15.01, 15.02 and 21, block groups 4, census tracts 13, block group 2, census tract 31 and block group 2, census tract 7. Lower Manhattan includes all census tracts south of Canal Street. 2 The Other Category includes census categories 'some other race alone' and 'two (2) or more races'. 3 The total minority population includes all those who are Black, Hispanic Whites, American Indian and Alaskan Native, Asian, Native Hawaiian, Other Pacific Islander and Other Categories. 4 The median household income was calculated by taking the weighted average of the median incomes of all the census tracts in a given study area. Source: U.S Department of Commerce, Bureau of Census, U.S. Census of Population and Housing, 2000.

October 2004 7C Social and Economic Conditions 7-49 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

Table 7-17 Trends in Households and Housing Units, 1990 and 2000

1990 2000 % Growth Region Housing Households Households Housing Units Households Housing Units Units Primary 1,704 1,973 3,623 4,024 112.6 104.0 Study Area Lower Manhattan 28,066 29,783 33,404 36,346 19.0 22.0 Study Area New York 716,422 785,127 738,644 798,144 3.1 1.7 County Source: U.S Department of Commerce, Bureau of Census, U.S Census of Population and Housing, 1990 and 2000.

Table 7-18 presents the trends in housing tenure observed within the study area and the immediate region. The number of rental units in the study area increased by 170 percent between 1990 and 2000. For the areas within the Lower Manhattan study area, the percentage growth for rental units was approximately 14 percent and the percentage growth for owner-occupied units was found to be approximately 38 percent for the same period.

Table 7-18 Trends in Housing Tenure, 1990 and 2000

1990 2000 % Growth Region Rental Owner Rental Owner Rental Owner Units Occupied Units Occupied Units Occupied Primary Study 1,033 60.6% 671 39.4% 2,794 77.1% 829 22.9% 170.4 23.5 Area Lower Manhattan 23,593 84.1% 4,473 15.9% 26,854 80.4% 6,550 19.6% 13.8 46.4 Study Area New York 588,385 82.1% 128,037 17.9% 589,912 79.9% 148,732 20.1% 0.2 16.2 County Source: U.S Department of Commerce, Bureau of Census, U.S Census of Population and Housing, 1990 and 2000.

Of particular relevance to this analysis is the trend toward residential conversion of commercial properties. Such conversions have traditionally become popular in periods of weak demand for commercial real estate. In the mid-1990s, many smaller Class B and C grade commercial properties in the region were converted due to the incompatibility of their design and level of amenities with modern office requirements. However, as office market demand strengthened in the late 1990s, this trend was reversed. The events of September 11, the general economic downturn in the region and the availability of the Liberty Zone Tax Package (discussed in Appendix E), have encouraged a return to the trend of residential conversions. While from 1995 through September 2001, approximately 5,300 residential units were created through conversion,18 since September 11, 14 potential conversion developments have applied for Liberty Bond tax-exempt financing representing 3,300 additional residential units. 19

PRIMARY STUDY AREA

The primary study area contains a similar breadth of housing types as that found in the broader Lower Manhattan area and includes units in new high-rise apartment buildings and in former industrial and commercial space. The anecdotal information presented in the previous section is consistent with the

18 Mr. Carl Weisbrod. Alliance for Downtown.

19 “Advocates Press for Affordable Housing Downtown.” Downtown Express. October 2004 7C Social and Economic Conditions 7-50 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation trends captured by the 2000 Census information in Tables 7-15 and 7-16 and indicates the land use profile of the area is in a state of transformation. One of the first recent residential conversions in the study area was the renovation of “The Renaissance” at 100 John Street in 1995. Since that time, five (5) additional commercial buildings have been converted on John Street. Similar projects are proposed for buildings within the primary study area at 150 Nassau Street (125 units), 63 Wall Street (430 units) and 15 Park Row (210 units).

7C.3.3 COMMUNITY CHARACTERISTICS

LOWER MANHATTAN STUDY AREA

A full description of neighborhoods that currently exist in Lower Manhattan is presented in Section 7A: Land Use, Zoning and Public Policy. Section 7A of this chapter describes five (5) distinct neighborhoods below Canal Street: the Financial District, City Hall, BPC, Tribeca and Chinatown. Several notable community facilities are located in each of the five (5) neighborhoods described below.

Financial District - The Financial District includes the area south of the Brooklyn Bridge and Chambers Street, between Route 9A and the East River. Two (2) notable religious and cultural institutions include Trinity Church and St. Paul’s Chapel on Broadway. Notable open spaces and plazas within the district include the Chase Manhattan Plaza, Vietnam Veteran’s Plaza, Bowling Green and the Peter Minuit Plaza. In addition, a new public school opened in 2003 at Broad Street.

Civic Center – The Civic Center is the area between Worth Street, Pearl Street, Brooklyn Bridge and Broadway. Institutional facilities include the Manhattan House of Detention for Men, Pace University, the NYU Downtown Hospital and Police Headquarters (located across the landmark Municipal Building). The Brooklyn Bridge is located to the east of City Hall. Several public open spaces in this area include City Hall Park, Foley Square and the public plazas around civic buildings such as 26 Federal Plaza. Numerous historic and cultural resources exist in this area, including the African Burial Memorial site and the Museum of the American Piano.

BPC - BPC, a 92-acre mixed-use development in the area between Chambers Street, the Hudson River, Route 9A and Battery Place, was constructed in the 1970s on land created from the excavated material from the construction of the WTC. Cultural institutions include the Museum of Jewish Heritage and the Skyscraper Museum, scheduled to be open before the end of 2003. Schools include P.S. 89, I.S. 89 and Stuyvesant High School. Open space is comprised of Rockefeller Park in the north and Robert F. Wagner Park in the south. The area also includes a waterfront esplanade running from Chambers Street in the north and connecting to Battery Park in the south. BPC also includes a section of Hudson River Park, a linear waterfront park along Route 9A. BPC also includes the Winter Garden, an indoor public space that is part of the WFC.

Tribeca - Tribeca is located north of the Financial District and west of the Civic Center. The area is bounded by Canal Street, Church Street, Park Place and the Hudson River. A notable cultural resource is the Tribeca Film Center. The BMCC on Chambers Street is home to the Tribeca Performing Arts Center and the school’s Triplex Theater hosts many concerts and plays throughout the year. Other schools include P.S. 234 and New York Law School. Open space is comprised of Washington Market Park, a 1.65 acre landscaped park popular for its active recreation areas for children.

Chinatown (below Canal Street) – Chinatown is located northeast of the Civic Center and east of Tribeca. The study area includes the southern portion of Chinatown bounded by Canal Street, Pike Street, Brooklyn Bridge, Pearl Street, Worth Street and Broadway. Schools include P.S. 130, P.S. 124, P.S. 1, P.S. 114, P.S. 126, I.S. 131 and the Transfiguration School. Important cultural uses include the Museum for Chinese in the Americas, the New York Chinese Cultural Center and the Eldridge Street Project. Open spaces include Columbus Park, a popular place for the elderly and children who use the playground. Several ball fields near the Manhattan Bridge at the East River are host to regular pick-up games and tournaments.

October 2004 7C Social and Economic Conditions 7-51 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation In addition to the distinct neighborhoods described above, land use in Lower Manhattan is also characterized by a concentration of transportation facilities. Lower Manhattan is strategically important to the City and the New York metropolitan region as a major transportation hub (see Chapter 1: Purpose and Need). Most subway lines have stops south of Canal Street and PATH trains to New Jersey also serve Lower Manhattan. Ferry service to New Jersey, Staten Island and Queens also serves the area. Ferry service to major tourist attractions including the Statue of Liberty and Ellis Island departs from Battery Park City. The Brooklyn Bridge, Brooklyn Battery Tunnel and Holland Tunnel link Lower Manhattan to the surrounding regions.

PRIMARY STUDY AREA

As described in Section 7A: Land Use, Zoning and Public Policy, the neighborhood surrounding the FSTC represents the transition from the predominantly office environment of the Financial District to the south, to the institutional land use of the City Hall neighborhood to the north. The area is characterized by vibrant streetfront retail activity at the base of medium sized walk-up commercial buildings. The area is in a state of transition, as many existing commercial buildings are converting to residential occupancy and many new residential buildings are being constructed.

The primary study area is notable for the high concentration of pedestrian traffic that is generated by the large numbers of workers at nearby employment centers (City Hall and the Financial District). Most of this pedestrian traffic occurs during the morning and evening rush hour and at lunch time on weekdays. Outside this period, the neighborhood is relatively quiet and pedestrian and vehicular traffic is substantially reduced.

The primary study area also contains several notable community facilities. Notable religious institutions include Trinity Church and St. Paul’s Chapel on Broadway. St. Paul’s Chapel is the only pre- revolutionary church building in the United States. The Wall Street Synagogue is an 80-year-old Orthodox synagogue located on Beekman Street, just north of the project site. Pace University and NYU Downtown Hospital are located two (2) to three (3) blocks north of the project site. Other notable community facilities in the primary study area include Trinity Church, John Street Methodist Church and St. Peter’s Church (see Figure 7-10 and Table 7-19).

7C.4 ENVIRONMENTAL IMPACTS 7C.4.1 ANALYSIS YEAR 2005/2006 (CONSTRUCTION)

NO ACTION ALTERNATIVE

In 2005/2006 without the FSTC, community character in the primary study area would likely continue to follow established trends. Neighborhood business and community activity would continue to recover from the effects of September 11, as the daytime employment population returns with the recovery of several major office properties. As a greater number of residents move into the area, local businesses may begin to open for longer hours to cater to early morning and late night patrons. By 2005/2006, the anticipated completion of new residential units in the primary study area would result in an additional 1,800 residents (as described in Section 7A.4.1). As pedestrian numbers begin to return to pre-September 11 volumes, the sidewalks and temporary vehicle-free pedestrian malls would become more active. For 2005/2006, NYCDOT has proposed to undertake scheduled street surface reconstruction of Fulton Street and Broadway. This roadwork can be expected to create temporary localized impacts to neighborhood character as the selected street segments are temporarily closed and construction machinery operates. Visual, noise and other construction-related effects of redevelopment vitality would temporarily alter the circulation of local workers and residents and temporarily affect the surrounding streetscapes in an adverse manner.

October 2004 7C Social and Economic Conditions 7-52 ,.

Figure 7-10 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation

Table 7-19 Community Facilities in the Primary Study Area, 2003

Community Facility Location Facility Type

Day Care and Head Start Facilities

1. Trinity Parish Pre-School & Nursery 74 Trinity Place Group Day Care - Private 2. Hamilton Madison Head Start 80 Beekman Street Head Start Center - Public 3. J.P. Morgan Chase Back-up CCC 20 Pine Street Group Day Care - Private 4. The Downtown Little School 15 Dutch Street Group Day Care - Private 5. Trinity Parish Pre-School Nursery 68 Trinity Place Group Day Care - Private Public Schools - Elementary

6. City Hall Academy 52 Chambers Street Public School - Elementary Public Schools - Secondary 7. High School for Leadership and Public Service 90 Trinity Place Public School – Secondary 8. High School for Economics and Finance 100 Trinity Place Public School – Secondary Private and Parochial Schools Special/ Other School – 9. United Cerebral Palsy of NYC 80 Maiden Lane Private/ Parochial Facilities for Seniors 10. City Hall Senior Center 100 Gold Street Senior Center Hospitals 11. NYU Downtown Hospital 170 William Street Hospital Colleges and Other Post-Secondary Institutions 12. Pace University 1 Pace Plaza College 13. NYU School of Business Administration 100 Trinity Place College Other Post-Secondary 14. NY Career Institute 15 Park Row Institution Libraries 15. New Amsterdam Library 9 Murray Street Public Library Branch

Public Safety and Criminal Justice Facilities 16. NYC Fire Department Engine 6 49 Beekman Street Fire Station 17. NYC Fire Department Engine 10 124 Liberty Street Fire Station Ladder 10 Religious Institutions 18. Trinity Church Broadway at Wall Street Place of Worship/Museum 19. St. Paul's Chapel Broadway and Fulton Street Place of Worship/Museum

20. John Street Methodist Church 44 John Street Place of Worship/Museum 21. St. Peter’s Church 22 Barclay Street Place of Worship 22. Wall Street Synagogue 47 Beekman Street Place of Worship 23. Church of Our Lady of Victory 60 William Street Place of Worship Source: NYC Department of Planning, Community Board 1 Profile (on-line version), 2003 and Field Surveys.

October 2004 7C Social and Economic Conditions 7-54 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation Within Lower Manhattan, NYCDOT street reconstruction projects would affect many additional streets and thoroughfares. The reconstruction of Route 9A west of the WTC site would be in its early stages of construction. Trucks from the WTC site, Route 9A and MTA South Ferry Subway Terminal construction sites would be routed along West Street through local streets south of the WTC site and north along Church Street (for a full list of affected routes, see Chapter 6: Traffic and Transportation).

For all of Lower Manhattan south of Canal Street, over 4,500 additional residential units are anticipated through 2005/2006. The resulting increase in population is projected at approximately 6,500 residents (as described in Section 7A.4.1).

ALTERNATIVE 9

Alternative 9 is expected to affect aspects of community character during its construction in 2005/2006. Although construction is unlikely to directly affect overall land use, population and permanent employment in the area, localized construction noise, air quality, visual and circulation effects would cause temporary impacts. Dey Street and Fulton Street would be closed to vehicular traffic and pedestrians would be limited to egress corridors on each side of the street. Partial lane and sidewalk closures would also be required on John, Church, Nassau, Dutch and William Streets (see Chapter 4: Construction Methods and Activities for additional details). Due to construction activities on both sidewalks of Broadway, pedestrians would be routed onto the outside lanes of the roadway, which will reduce the number of operable traffic lanes to two (2) southbound lanes. Construction activities would be underway below and above street-level and the existing buildings on the FSTC site would be deconstructed and the Entry Facility constructed. It is not expected that building occupants in the Corbin Building would be permanently displaced under this alternative. Under this alternative, there is the potential for temporary displacements of basement tenants during underpinning activities, should this be required. The temporary limited access to street-front businesses and building entrances, and the reduced pedestrian traffic flow on sidewalks, would temporarily disrupt local residents, workers and shoppers in the community.

While the construction-related air, noise and traffic effects of the FSTC would contribute to the disruptions to local workers and residents, these impacts would not exceed maximum thresholds and do not constitute a significant adverse impact (see Chapter 6: Traffic and Transportation, Chapter 12: Air Quality and Chapter 13: Noise and Vibration). The noise and vibration impacts will not occur between 10pm and 7am, but will occur intermittently throughout daylight hours. These impacts would be short- lived and any effects would be closely contained within the immediate location. Noise and vibration impacts would not permanently impact community character in the region of the FSTC. As the bulk of construction would occur below-grade, pedestrians at street-level would be largely shielded from much of the adverse air quality and noise effects. NYCT would coordinate with local residents and institutions to minimize disruptions and impacts.

Direct Displacement Effects on Community Character - The direct displacement of existing commercial tenants from the site of the FSTC is not expected to create significantly adverse permanent impacts to the neighborhood surrounding the FSTC. The street-front retail establishments and small commercial and institutional offices displaced by the FSTC are part of a larger commercial district compromised of similar land uses. Also, it is expected that some amount of new retail space would be reinstated within the Entry Facility of the FSTC as a result of the construction (see Chapter 10: Displacements and Relocation).

Indirect Displacement Effects on Community Character - Indirect displacements may occur when a project introduces new volumes of residents to the area, or infuses substantial increase in economic activity in terms of indirect growth (see Section 7A). As the FSTC represents the modernization of an existing facility, the FSTC is neither expected to intrinsically attract additional residents to the area, nor induce economic activity beyond that which is related to construction. Furthermore, the proposed FSTC would be a facility that houses public transit and public retail spaces, a land use that is similar to current

October 2004 7C Social and Economic Conditions 7-55 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation land use on the site and one that is compatible and supportive of existing neighborhood character. Consequently, the FSTC is not expected to generate substantial patterns of indirect displacements.

The construction of Alternative 9 would not unduly burden the use of, or access to, community facilities in the study area. No facilities (as defined in Section 7.3: Affected Environment) are located adjacent to the proposed location of any construction activities. As such, these facilities would be unaffected by the air quality and noise impacts of construction activities. Normal vehicular, transit and pedestrian access would be maintained to all community facilities.

Overall, the construction of Alternative 9 is not expected to create substantial adverse impacts on community character.

ALTERNATIVE 10 - THE PREFERRED ALTERNATIVE

The Preferred Alternative would have similar effects on aspects of community character during construction to those associated with Alternative 9. Although construction is unlikely to directly affect overall land use, population and permanent employment in the area, localized construction noise, air quality, visual and circulation effects would temporarily impact community character. Dey and Fulton Streets would be closed to vehicular through-traffic and pedestrians would be limited to egress corridors on each side of the street. Due to construction activities on both sidewalks of Broadway, pedestrians would be routed onto the outside lanes of the roadway which will reduce the number of operable traffic lanes to two (2) southbound lanes. Partial lane and sidewalk closures would also be required on John, Church, Nassau, Dutch and William Streets (see Chapter 4: Construction Methods and Activities for additional details). Construction activities would be undertaken below and above street-level and the existing buildings on the FSTC site would be deconstructed and the Entry Facility constructed. Under this alternative, the northern traffic lane and sidewalk of John Street would be closed to pedestrian and vehicular traffic throughout the construction of the Entry Facility. The temporary limited access to street- front businesses and building entrances, and the reduced pedestrian traffic flow on sidewalks, would temporarily disrupt local residents, workers and shoppers in the community.

Construction-related air and traffic effects of the FSTC would not exceed maximum thresholds and would not produce an adverse impact (see Chapter 6: Traffic and Transportation, Chapter 12: Air Quality). While the construction-related air, noise and traffic effects of the FSTC would contribute to the disruptions to local workers and residents, these impacts would not exceed maximum thresholds and do not constitute a significant adverse impact (see Chapter 6: Traffic and Transportation, Chapter 12: Air Quality and Chapter 13: Noise and Vibration). The noise and vibration impacts will not occur between 10pm and 7am, but will occur intermittently throughout daylight hours. These impacts would be short- lived and any effects closely contained within the immediate location. Noise and vibration impacts would not permanently impact community character in the region of the FSTC. As the bulk of construction would occur below-grade, pedestrians at street-level would be largely shielded from much of the adverse air quality and noise effects. NYCT would coordinate with local residents and institutions to minimize disruptions and impacts.

Similar to the effects of Alternative 9, the Preferred Alternative is not expected to create adverse impacts in the surrounding area due to direct or indirect displacements of businesses and residents.

The construction of the Preferred Alternative would not unduly burden the use of, or access to, community facilities in the study area. No facilities (as defined in Section 7.3: Affected Environment) are located adjacent to the proposed location of any construction activities. As such, these facilities would be unaffected by the air quality and noise impacts of construction activities. Normal vehicular, transit and pedestrian access would be maintained to all community facilities.

Overall, the construction of the Preferred Alternative is not expected to create adverse impacts on community character.

October 2004 7C Social and Economic Conditions 7-56 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation 7C.4.2 ANALYSIS YEAR 2008 (INITIAL OPERATION)

NO ACTION ALTERNATIVE

In 2008, the primary study area would include a large volume of new commercial and residential buildings that would result in larger volumes of local workers and new residents. These land-use changes would continue to transform the character of Broadway, Fulton, John and Nassau Streets and adjacent streets. On the WTC site, the Freedom Tower would be available to prepare for new commercial tenants in the latter part of 2008. The property on the former WTC 7 site would have been occupied and operational for a number of years. New volumes of employees would utilize the streets at the center of the primary study area to purchase goods and services. Unlike in 2000, many of these employees are likely to reside in the area, in converted office buildings or new residential developments. Notably, pedestrian activity, and consequently retail business activity, would continue the trend toward increased early morning, evening and late night activity. No new residential units are scheduled for completion in the primary study area between 2005/2006 and 2008. As such, no net change in the residential population is anticipated for the primary study area between 2005/2006 and 2008.

There would be notable changes in local and regional accessibility within the primary study area by 2008. New transit infrastructure at the WTC site would be built to route pedestrians through a network of sub- grade concourses to simplify and shorten the pedestrian paths of transit passengers and to alleviate street- level sidewalk congestion. Central to this redevelopment would be construction of the Permanent WTC PATH Terminal and concourse network. The Permanent WTC PATH Terminal is proposed to occupy a large atrium space on Church Street between Dey and Fulton Streets that would create a formal entrance to the PATH facilities and a prominent architectural presence at street-level. The terminal would also act as a central hub for numerous subterranean pedestrian concourses. PATH passengers, shoppers and tourists would be able to traverse the entire site, from BPC to the eastern side of Church Street, without the need to exit to street-level; new tunnels are proposed below West and Church Streets. These access improvements are consistent with post-September 11 policies and plans for Lower Manhattan that identify the age, poor design and lack of sub-grade connectivity as critical factors that could hinder the revitalization of Lower Manhattan.

In the absence of the FSTC within the Existing Complex, this connectivity would not extend to the several MTA NYCT subway lines that converge at Fulton Street. The large volumes of workers employed in the new commercial developments at the WTC site who arrive at the Existing Complex would be required to ascend to street-level on Fulton Street or Broadway, merge with local retail pedestrian traffic and cross Church Street and Broadway in order to access the WTC site. Similarly, the existing transfers among subway lines would remain unchanged and would continue to hinder wayfinding and the utility of MTA transit facilities.

As described in Section 7A, there are preliminary planning studies commissioned by the LMDC currently being undertaken that evaluate the effect of converting Fulton Street into a dedicated retail and arts corridor that would encourage pedestrian activity, reinstating its historic role as the “street that links two rivers”. Current proposals include a designated thoroughfare from Church Street to the South Street Seaport containing a range of restaurants, retail and service businesses intended to support the new influx of local residents and the establishment of a 24-hour mixed-use community. The plan would be greatly enhanced by the presence of the FSTC. Large volumes of commuters arriving and departing from the existing Fulton Street stations would create significant pedestrian congestion at existing entrances. The existing stairwell entrances, presently recessed into alcoves within buildings or located in the center of sidewalks, would continue to create physical barriers to smooth pedestrian flow. In the absence of the proposed Entry Facility, wayfinding would continue to be compromised and the immediate neighborhood would lack a visible and obvious portal to the various subway lines that converge at Fulton Street.

Community character within Lower Manhattan would be similar to that within the primary study area. The proposed Route 9A bypass to the west of the WTC site would provide a pedestrian link between the new commercial development and BPC. Consistent with the desire to improve transit connectivity within

October 2004 7C Social and Economic Conditions 7-57 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation Lower Manhattan, the MTA NYCT South Ferry Station has been proposed to be rebuilt to accommodate modern train lengths and to create a new connection between the 19 and RW lines. Increased residential land use due to converted office space and new development is expected to occur throughout the area, transforming the entire area south of Canal Street into a 24-hour mixed-use community. Within Lower Manhattan, approximately 4,300 new residents would occupy residential projects scheduled for completion between 2005/2006 and 2008.

ALTERNATIVE 9

The operation of the FSTC would not impair community character changes expected within the primary study area. Although the FSTC would provide increased convenience and reduced station crowding conditions, the amount of subway service would not materially change. The FSTC would not adversely disrupt the existing vibrancy of the street-front retail district, nor would it discourage the area’s transformation into a 24-hour mixed-use residential and commercial community. In fact, it is expected that the FSTC would facilitate this transformation and would act as a visual icon in the center of the revitalized district.

The FSTC would improve local and regional connectivity. The FSTC would provide a critical link in the sub-grade network of pedestrian concourses that would be established by other development projects in Lower Manhattan. Pedestrians traveling subsurface through the WTC site would be able to continue their journey beneath Church Street, Dey Street, Broadway and directly into the Entry Facility. Passengers exiting the subway would be able to move west underground. Peak hour commuter pedestrian traffic would mostly occur below-grade and leisure-based pedestrian traffic would be concentrated at street- level. The streets between the Existing Complex and the WTC site would experience reduced pedestrian traffic congestion associated with peak hour commuter traffic surrounding subway stairwell entrances. Details of pedestrian flow are described in Chapter 6: Transportation and Traffic.

ALTERNATIVE 10 - THE PREFERRED ALTERNATIVE

The FSTC would not adversely disrupt the existing vibrancy of the street-front retail district, nor would it discourage the area’s transformation into a 24-hour mixed-use residential and commercial community. In fact, it is expected that the FSTC would contribute to this transformation and would act as a visual icon in the center of the revitalized district. Because the Corbin Building would be accessible to the public through its use as part of the FSTC, the Preferred Alternative would also add an important community attribute – access to a historic property for use and enjoyment and a local transit gateway to the John Street-Maiden Lane Historic District. As a publicly owned structure, the Corbin Building’s integrity as a community resource would be assured in perpetuity.

The FSTC would improve local and regional connectivity. The FSTC would provide an important link in the subsurface network of pedestrian concourses that would be established by other development projects in Lower Manhattan. Pedestrians traveling subsurface through the WTC site would be able to continue their journey beneath Church Street, Dey Street, Broadway and directly into the Entry Facility. Passengers exiting the subway would be able to move west underground. Peak hour commuter pedestrian traffic would mostly occur subsurface and leisure-based pedestrian traffic would be concentrated at street- level. The streets between the Existing Complex and the WTC site would experience reduced pedestrian traffic congestion associated with peak hour commuter traffic surrounding subway stairwell entrances. Details of pedestrian flow are described in Chapter 6: Transportation and Traffic.

7C.4.3 ANALYSIS YEAR 2025 (FULL OPERATION)

NO ACTION ALTERNATIVE

In 2025, the community in the primary study area would have completed its transformation into a truly mixed-use residential and commercial neighborhood. On the WTC site and surrounding sites, all five (5) towers of commercial space plus the new building on the site of 7 WTC would have been occupied and

October 2004 7C Social and Economic Conditions 7-58 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation operational for many years. Large volumes of new workers would frequent the streets at the center of the primary study area during lunch-time hours to purchase goods and services. In 2025, many more of these employees are likely to reside in the area, in converted office buildings or new residential developments. Notably, pedestrian activity, and consequently retail business activity, would now occur throughout the day and night, as it does in other residential neighborhoods in the city. Similar to conditions in 2008, in 2025 Lower Manhattan would be more easily traversed by commuter, local and tourist pedestrian traffic due to the full build out of the WTC site. The network of subsurface concourses emanating from the WTC site would result in reduced pedestrian flows crossing Church, Liberty, Vesey and West Streets. By 2025, the full build-out of the WTC site would have reinstated the WTC as a clearly defined employment node within Lower Manhattan. In the absence of the FSTC, this center of employment generation would be physically separated from the main arrival/departure node used by commuters on the MTA subway service - the Existing Complex at Fulton Street. This physical disconnect would cause significant congestion and inconvenience to commuters, and other Lower Manhattan pedestrians, in the vicinity of the WTC site as large volumes of pedestrians would be required to journey at street-level, using local streets, crosswalks and sidewalks.

Changes in community character within Lower Manhattan would be similar to those within the primary study area by 2025. Increased residential land use due to converted office space and new development is expected to occur throughout the area. Consistent with the developments in the primary study area, Lower Manhattan in 2025 would be a collection of 24-hour residential and commercial communities. The proposed Route 9A bypass to the west of the WTC site would provide a pedestrian link between the new commercial development and BPC. The additional residential units would be occupied by approximately 24,000 residents in the area south of Canal Street.

ALTERNATIVE 9

The FSTC would not adversely disrupt the existing vibrancy of the street-front retail district, nor would it discourage the area’s character as a 24-hour mixed-use residential and commercial community. It is expected that the FSTC would facilitate this transformation and would act as a visual icon within the revitalized district. In 2025, the FSTC would provide an important pedestrian link between the employment center of the WTC and the major point of arrival/departure of MTA subway commuters to Lower Manhattan – the Fulton Street Station. Large volumes of employees who work at the WTC site, and who arrive at Fulton Street on the subway, would be able to access the site using the Dey Street Passageway.

By 2025, the Entry Facility of the FSTC would create a transparent and obvious portal to the improved sub-grade transit facilities. Specifically, transit passenger and local pedestrian flow would be substantially improved in the vicinity of new large entrances and within the Entry Facility. Finally, the proposed revitalization of Fulton Street and its transformation into the center of a 24-hour mixed-use community that supports a range of local arts and entertainment venues, would be greatly enhanced by the presence of the FSTC.

ALTERNATIVE 10 - THE PREFERRED ALTERNATIVE

This FSTC would not adversely disrupt the existing vibrancy of the street-front retail district, nor would it discourage the area’s character as a 24-hour mixed-use residential and commercial community. It is expected that the FSTC would facilitate this transformation and would act as a visual icon within the revitalized district. Because the Corbin Building would be accessible to the public through its use as part of the FSTC, the Preferred Alternative would also add an important community attribute – access to a historic property for use and enjoyment and a local transit gateway to the John Street-Maiden Lane Historic District. As a publicly owned structure, the Corbin Building’s integrity as a community resource would be assured in perpetuity.

In 2025, the FSTC would complete a critical pedestrian link between the employment center of the WTC and the major point of arrival/departure of MTA subway commuters to Lower Manhattan. Large volumes

October 2004 7C Social and Economic Conditions 7-59 MTA New York City Transit Fulton Street Transit Center FEIS and Section 4(f) Evaluation of employees who work at the WTC site, and who arrive at Fulton Street on the subway, would be able to access the site using the Dey Street Passageway. Shoppers, tourists and lunchtime pedestrian traffic would traverse at street-level in a less congested environment than without the FSTC.

By 2025, the Entry Facility of the FSTC would provide a transparent and obvious portal to the improved sub-grade transit facilities. Specifically, transit passenger and local pedestrian flow would be substantially improved in the vicinity of the new large entrances and within the Entry Facility. Finally, the proposed revitalization of Fulton Street and its transformation into the center of a 24/7 community that supports a range of local arts and entertainment venues, would be greatly enhanced by the presence of the FSTC.

7C.5 SUMMARY OF ADVERSE IMPACTS AND MITIGATION MEASURES

Alternative 9 and the Preferred Alternative do not create substantial adverse impacts to community character; rather, both provide benefits to community character. As such, no mitigation measures are proposed beyond those discussed in this chapter. Proposed measures to reduce potential construction impacts are discussed in Chapter 4: Construction Methods and Activities. Measures to compensate individual businesses directly affected by the construction of the FSTC are discussed in Chapter 10: Displacement and Relocation.

1. Maintain access to all building entrances and storefronts throughout the construction period; 2. Engage tenants and building owners in ongoing coordination to minimize the disruption.

October 2004 7C Social and Economic Conditions 7-60