


Gov. Kathy Hochul seemingly acknowledged Thursday that she would likely have to find a new way to raise the $7 billion needed to overhaul the Big Apple’s much-hated Penn Station, as her plan to finance the project with new office towers seems to have gone bust.
Hochul made the comments just days after a key lawmaker, state Sen. Leroy Comrie (D-Queens) described the plan to finance the overhaul with the construction of as many as ten new office towers was “not going anywhere.”
The biggest developer attached to the project, Vornado Realty, had already signaled that it would likely be years before they could build the towers, citing the post-pandemic surplus of office space and rising interest rates, which are making construction more expensive.
“I will shift gears and find other ways to make this happen and it is not contingent on what Vornado was planning in the entire neighborhood,” Hochul said during an appearance on WNYC.
“We can be open-minded and consider other options at this time and that’s what i”m looking at,” she added. “But people have been begging for a better experience at that station for decades and I’m going to respond to that and get this done.”
Hochul’s plan — including the financing with new office towers — was largely inherited from her disgraced predecessor, Gov. Andrew Cuomo.
She trimmed down the size of the towers in response to community opposition and promised additional space for the public surrounding the station.
The MTA already has a $560 million improvement program underway at Penn Station that has dramatically enlarged and remodeled the Long Island Rail Road’s main corridor through the station beneath 33rd Street.
It installed a new entrance along 7th Avenue to reduce crowding.
However, the MTA and Hochul are dreaming of a grander overhaul that would unify the station’s two main levels into one dramatic concourse and waiting area that would feature massive ceilings and more natural light.
They claim the renovation would restore some of the grandeur lost when the original Penn Station was knocked down in the 1960s and replaced with the current complex, which included the construction of Madison Square Garden above.