Horizon » Case Studies » NYC Metropolitan Transit Authority

Vision

  • NYC MTA requires an occupancy for its headquarters and six operating divisions including MetroNorth Railroad, consistent with current and anticipated operational practices. Simultaneously the MTA must diminish it’s reliance on leased premises and properly leverage current real estate assets.

Challenge

  • Current headquarters are located in obsolete older buildings with small floor plates, substantial deferred maintenance and code issues and the agency must compete with operational needs for capital. A major limitation is the lack of “swing” space needed to embark on a renovation and restack of the occupancy.

Resources

  • Horizon, in conjunction with HLW conducted long term planning analysis, evaluated the current buildings to assess the economics required to bring them into compliance and configure the renovated space to new, more efficient workplace standards.
  • Three alternative additional space alternatives have been studied – one a part of a new development over the Westside rail yards where the MTA could contribute air rights in exchange for subsidized occupancy, a second that recaptures a portion of Grand Central terminal that has historically been subleased to others. And a third in White Plains, New York, a suburb north of NYC where numerous operation functions for MetroNorth Railroad reside.

Impact

  • The MTA is on a path to renovate their existing buildings over a six year period that will conclude with improved adjacencies and efficiencies, new workplace standards, the disposition of leased space and an overall reduction in occupancy costs.