NYC’s Midtown Makeover Kicks Off Critical Phase
The mixed-use plan would create nearly 10,000 residential units across a wide swath of Manhattan.

The public review process for the Midtown South Mixed-Use plan in Manhattan, has been kicked off by New York City Mayor Eric Adams and New York City Department of City Planning Director and City Planning Commission Chair Dan Gardonick. MSMX is a forward-looking proposal to bring about a number of lively mixed-use neighborhoods across 42 blocks of Midtown South.
The plan calls for an update to zoning laws to allow a mix of commercial, manufacturing and residential uses in areas where housing is not generally currently allowed. This could result in delivery of approximately 9,700 new residences, including as many as 2,900 permanently income-restricted affordable homes. As a result of Adams’ efforts in the state capital to boost the floor-to-area ratio cap, the plan ushers in the first new high-density zoning districts to be allowed in New York City.
New rules
Public realm enhancements and additional investments will also be undertaken to help create a robust enclave marked by affordable housing, open space and good jobs. MSMX is part of Adams’ “Manhattan Plan,” which aims to create 100,000 new homes in the borough and bring total Manhattan residences to 1 million over the next decade.
“This is the start of the formal public review process, or ULURP, which takes roughly seven months,” Casey Berkovitz, press secretary with the New York City Department of City Planning, told Multi-Housing News. “It includes advisory recommendations from the local community boards and Borough President Mark Levine, followed by binding votes from the City Planning Commission and the City Council, in that order. If approved by the City Council, the zoning changes go into effect immediately, meaning individual property owners will be able to develop under the new rules.”
He noted, however, that the actual development timeline will depend upon each individual property’s circumstances. Michael J. Vardaro, managing partner of construction law firm Zetlin & De Chiara, said that the plan is well reasoned.
“New York City is facing a shortage of housing, coupled with the lack of excitement and vibrancy in certain Midtown neighborhoods due to lower amounts of office workers,” Vardaro, a member of the Board of Directors of the Center for Active Design and a member of the New York Building Congress and the American Council of Engineering Companies, told Multi-Housing News.
“The plan to unlock those areas to allow residential construction makes a lot of sense. The Pfizer headquarters on 42nd Street in Midtown East is a good example of a large-scale project that could be a rebirth of sorts for the local neighborhood.”
Owners incentivized
As a real estate industry professional and long-time Manhattan resident, Marshall Brozost, partner in the law firm of Allen Matkins, pronounced himself delighted that MSMX has progressed to the public review stage after years of planning and public engagement. “It seems like the stars are aligning behind the creation of a vibrant 24-7 neighborhood filled with thousands of new housing units, commercial and industrial businesses and public and open spaces, all served by a robust transit hub,” he told Multi-Housing News.
And while the review process continues, Brozost noted that conversations about future development and excited anticipation of the proposed rezoning and increased FAR are already underway. “An intended byproduct of the increased FAR and updated zoning is that historical owners of older buildings will be incented to rethink the uses of their real estate. And this should bring the change envisioned by the MSMX plan.”

Some reconversion projects that are already underway in the city show the viability of the plan to impact future buildings. Last week, a David Werner Real Estate Investments and Metro Loft Management joint venture secured more than $135 million in first mortgage financing for Manhattan’s largest office-to-residential conversion, involving two buildings and 1,600 units.
“Residential conversions and ground-up development are not inexpensive in Midtown Manhattan,” Brozost said. “That being said, if the numbers work for a project, financing will be available. This area is the heart of New York City, and people want to be part of it.”