Chapter 2: Land Use, Zoning, and Public Policy A. INTRODUCTION This chapter considers the potential for the proposed actions to result in significant adverse impacts to land use, zoning, and public policy. Under the guidelines of the 2014 City Environmental Quality Review (CEQR) Technical Manual, this analysis evaluates the uses and development trends in the area that may be affected by the proposed actions and determines whether the proposed actions are compatible with those conditions or may otherwise affect them. The analysis also considers the proposed actions’ compatibility with zoning regulations and other applicable public policies in the area. Specifically the proposed actions would amend the regulations of the Special Grand Central Subdistrict of the Special Midtown District. The text amendments would create the Vanderbilt Corridor and a new Grand Central Public Realm Improvement Bonus for developments in the Vanderbilt Corridor for public space and transit improvements. The text amendments would also increase the maximum floor area ratio (FAR) bonus from 6.6 to 15.0 for sites in the Vanderbilt Corridor that utilize the existing landmark transfer special permit available in the Grand Central Subdistrict pursuant to Zoning Resolution (ZR) §81-635, increasing the maximum permitted FAR on the receiving site from 21.6 to 30.0, and modify the uses permitted in the Vanderbilt Corridor to allow the development, conversion, or enlargement of hotels only by a new special permit. The proposed actions would facilitate the development of an approximately 1.8 million-gross- square-foot (gsf), (1,299,390-zoning-square-foot [zsf]), 30.0 FAR building ( the proposed One Vanderbilt development) on a site owned by Green 317 Madison LLC (317 Madison). The proposed One Vanderbilt development would contain a mix of uses including office, trading floors, retail, restaurant, transit access, an enclosed public space at ground level, and rooftop amenity space. The proposed One Vanderbilt development would utilize floor area bonuses pursuant to the Grand Central Public Realm Improvement and landmark transfer special permits described above. As part of the proposed One Vanderbilt development, 317 Madison would provide the improvements to the Vanderbilt Avenue public place dedicated to pedestrian uses. This chapter provides an assessment of existing and future conditions with and without the proposed actions for the One Vanderbilt site, the Vanderbilt Corridor and a study area surrounding the Corridor, which are described in detail below. PRINCIPAL CONCLUSIONS The proposed actions include text amendments that would introduce the Grand Central Public Realm Improvement Bonus special permit and increase the maximum FAR that may be transferred from a landmark site from 6.6 to 15.0, increasing the maximum permitted FAR on the receiving site from 21.6 to 30.0 for sites in the Vanderbilt Corridor that utilize the existing landmark transfer special permit. These actions would support the goals for the East Midtown area, one of the premier business districts in New York City, as defined in Chapter 1, “Project 2-1 Vanderbilt Corridor and One Vanderbilt Description” and in the 2013 East Midtown Rezoning proposal. These goals include maximizing development suitable for modern commercial uses around East Midtown’s strong mass transit infrastructure, in particular Grand Central Terminal. The proposed actions would also support the goal of providing public infrastructure improvements, particularly pedestrian circulation and mass transit access improvements, around the Terminal, as well as the goal of expanding opportunities for transfers of unused development rights from landmarks in the area around the Terminal to support the preservation of those landmarks. The floor area bonus mechanisms created or expanded by the proposed actions are comparable to existing bonus mechanisms within the Special Midtown District and in other areas of New York City. Projects that utilize those bonus mechanisms would be subject to individual review through the special permit process to ensure that they support these goals and are compatible with the surrounding East Midtown area. Similarly, the text amendment mandating that hotels are only permitted in the Vanderbilt Corridor by special permit ensures that such hotels are subject to individual review to determine their compatibility with the predominant office uses in the East Midtown area. By utilizing the proposed Grand Central Public Realm Improvement Bonus and the expanded landmark bonus, the proposed One Vanderbilt development will carry out the proposed actions’ intended function of revitalizing the East Midtown area as a commercial center. The 1.8 million gsf of space would include modern office, trading floor, and retail space as well as public amenities that support the heavy pedestrian and transit-related circulation in the area. These amenities include below-grade circulation space connecting to Grand Central Terminal (with a new Terminal entrance on East 42nd Street), a transit hall on the ground floor, and a new public place on Vanderbilt Avenue. Additional pedestrian circulation improvements around the Terminal would be provided off-site pursuant to the Public Realm Improvement Bonus special permit (see Chapter 1, “Project Description”). The proposed One Vanderbilt development also features a design that is similar in scale to other modern office towers and complements the surrounding area, providing expanded views of the Terminal from street level and above. The proposed actions and the proposed One Vanderbilt development would support PlaNYC’s sustainability goals, particularly those relating to transit-oriented development, energy efficiency, and public open space. Overall, the proposed actions would not result in significant adverse impacts to land use, zoning, or public policy. B. METHODOLOGY The study area for this analysis of land use, zoning, and public policy encompasses the area within a ¼ mile of the Vanderbilt Corridor, which includes the One Vanderbilt site, because this is the area in which the proposed One Vanderbilt development and development on other Vanderbilt Corridor sites pursuant to the proposed actions could reasonably be expected to potentially result in significant adverse impacts. The study area extends roughly from East/West 52nd Street to the north,1 Third Avenue to the east, East/West 37th Street to the south, and Avenue of the Americas to the west (see Figure 2-1). The Vanderbilt Corridor and a large portion of the study area are located within Community District 5, with a portion of the study area also extending to Community District 6. 1 In Manhattan, streets running east-west are divided into east and west sections by Fifth Avenue. 2-2 W 52 ST E 52 ST 7/17/2014 W 51 ST E 51 ST W 50 ST E 50 ST E V A W 49 ST E 49 ST K R A P ROCKEFELLER PLAZA W 48 ST E 48 ST W 47 ST E 47 ST W 46 ST E 46 ST DE PEW PL W 45 ST E 45 ST 5AVE 3AVE MADISON AVE LEXINGTON AVE VANDERBILT AVE W 44 ST E 44 ST E 44 ST AVE AVE OF THE AMERICAS W 43 ST E 43 ST E 43 ST PARK AVE VIADUCT W 42 ST E 42 ST W 41 ST E 41 ST W 40 ST E 40 ST W 39 ST E 39 ST W 38 ST E 38 ST PARKAVE W 37 ST E 37 ST 0 400 FEET One Vanderbilt Development Site Public Facilities and Institutions Proposed Vanderbilt Corridor Residential Vanderbilt Corridor Study Area Boundary (1/4 Mile Perimeter) Residential with Commercial Below Commercial and Office Buildings Transportation and Utility Hotels Vacant Land Industrial and Manufacturing Vacant Building Open Space and Outdoor Recreation Under Construction Parking Facilities Existing Land Use Vanderbilt Corridor and One Vanderbilt Figure 2-1 Chapter 2: Land Use, Zoning, and Public Policy Consistent with the guidance of the CEQR Technical Manual, this analysis identifies anticipated changes in land use, zoning, and public policy that are expected to occur independent of the proposed project by 2021, the proposed actions’ Build year1, and assess any potential adverse impacts to land use, zoning, and public policy that may occur as a result of the proposed actions. Sources for this analysis include the New York City Department of City Planning (DCP), the New York City Department of Buildings (DOB) and recent environmental assessment and impact statements in the area, particularly the East Midtown Rezoning and Related Actions Final Environmental Impact Statement (FEIS) (2013). C. EXISTING CONDITIONS LAND USE Land use refers to the activity that is occurring on land and within the structures that occupy it. Types of uses include residential, retail, commercial office, industrial, vacant land, and parks. VANDERBILT CORRIDOR The Vanderbilt Corridor includes the five blocks along the west side of Vanderbilt Avenue between East 42nd and East 47th Streets.2 The One Vanderbilt site is discussed in more detail below. Overall, the Vanderbilt Corridor is predominantly developed with commercial uses. Two blocks are fully occupied by large modern office towers. The site between East 43rd and East 44th Streets (Block 1278, Lot 20) contains the 335 Madison Avenue building (also known as Bank of America Plaza), a 28-story office tower. Originally constructed in the early 20th century as the New York Biltmore Hotel, it was fully renovated with a complete façade reconstruction and interior commercial office conversion in the 1980s. The site at the northern end of the Vanderbilt Corridor between East 46th and East 47th Streets (Block 1282, Lot 21) contains the 383 Madison Avenue building (formerly known as the Bear Stearns Building), a 47-story office tower completed in the early 2000s. The remaining sites within the Vanderbilt Corridor contain older commercial buildings. The site between East 44th and East 45th Streets (Block 1279, Lots 23-25, 28, 45, and 48) contains multiple lots developed with buildings that date from the early 20th century. The Madison Avenue frontage contains three 12- to 20-story buildings (341, 343, and 347 Madison Avenue) that serve as the headquarters of the Metropolitan Transportation Authority (MTA).