Steve Roth’s Vornado Realty Trust has filed an application with the city to rezone the site of the 90-year-old Hotel Pennsylvania, clearing hurdles for the real estate firm to demolish the hotel and build an office tower of up to 2.85 million square feet in its place.
In paperwork filed with the Department of City Planning, Vornado indicates it wants to rezone the site on 33rd Street and Seventh Avenue to allow for the development of a skyscraper of up to 1,198 feet, one that could hold one major tenant with a large set of trading floors, or a multi-tenant building with a large base of retail.
Mr. Roth, Vornado's chairman, has long billed the 1.4 million-square-foot hotel site as a prime development parcel, part of what he imagines as a completely remade office district surrounding Penn Station (Vornado owns about 7 million square feet of commercial space in the area and has the potential to develop millions more if the redevelopment of the station, known as Moynihan Station, ever happens). He previously called the hotel “a placeholder, sort of like a parking lot, but in this case with $22 million of earnings.”
Finally, Checkout Time for Hotel Penn?