Developers “Think Outside the Box” to Add More Housing at Hudson Yards West (2025)

In a dramatic shift aimed at regaining community and political support, Related Companies and Oxford Properties Group announced today (Friday) they plan to significantly increase the number of proposed housing units at Hudson Yards West — from 1,500 to as many as 4,000 — while maintaining the originally agreed 324 affordable units, fulfilling their commitment to the City.

The announcement follows months of heated opposition to the developers’ previous plans, which include a casino on the Western Rail Yards site, that many local leaders said prioritized commercial interests over housing in one of Manhattan’s last major development opportunities.

The new plan is built on what the developers describe as an “innovative public-private financing structure,” using a payment-in-lieu-of-taxes (PILOT) program. That structure, which helped fund the eastern section of Hudson Yards, would allow Related and Oxford to construct the $2 billion platform needed to build over the active Long Island Rail Road tracks. Crucially, it would also allow for the replacement of a previously planned office tower with two residential towers, tripling the total housing units in the proposal.

“Over the last few months, we met with the community and heard consistent calls to add more housing to Hudson Yards West, even as many acknowledge the unique financial hurdles of developing the site,” said Related CEO Jeff Blau. “We tried to think outside the box and identified a historically successful funding model that would allow us to increase the amount of housing at the site to up to 4,000 units, while still preserving the other critical benefits of the project. This is the type of creative solve the community has been asking us to find, and we look forward to discussing it with the City Council.”

The development is currently under review in the final stage of the City’s Uniform Land Use Review Procedure, with the City Council expected to vote on zoning and land use modifications in the coming weeks.

The pivot by Related and Oxford comes in response to mounting criticism from Manhattan Community Board 4 (MCB4), which unanimously voted to reject the developers’ earlier plan, citing a sharp reduction in housing from the 2009 vision for the site and concerns over a proposed casino. That prior plan reduced total residential units by 4,000 and shifted the focus to commercial towers, including a resort and casino partnership with Wynn Resorts.

“The applicant and City Hall should reflect on [the Planning Commission’s] vote and recognize that their proposal is not in the best interest of the city,” said MCB4 Chair Jessica Chait following the City Planning Commission’s 9-4 vote to advance the rezoning proposal in March. That vote drew sharp dissent from several commissioners, who echoed concerns from community leaders about housing, design, and the impact on the High Line. W42ST reached out to MCB4, who declined to comment until they are able to review the details of the new plan.

Today’s announcement appears aimed squarely at those critics. In addition to the added housing, the revised proposal retains several of the benefits touted in the original: a new 5.6-acre public park, a public K-8 school, a daycare center, a community facility, 35,000 union construction jobs, and more than $2 billion in projected revenue for the MTA, which owns the site.

In the press release, Related emphasized that the expanded housing proposal came after “over 200 community meetings where housing emerged as a top priority.” It also noted that a similar financing model had already returned over $500 million in excess revenue to the City from the eastern Hudson Yards development and could remit another $2 billion by 2028.

Still, skepticism is likely to remain high in Hell’s Kitchen and Chelsea, where community leaders have been wary of Related’s shifting plans. Many have expressed concern that without a binding commitment to housing, the area could be left with a cluster of office towers — and, potentially, a casino — rather than a vibrant mixed-use neighborhood.

W42ST has reached out to Protect the High Line for comment on this developing story and will update when received.