Brookfield Property Partners to build One Manhattan West tower; Will generate 10,000 construction and permanent jobs

The de Blasio Administration revealed a major agreement with Brookfield Property Partners to build a new office tower, One Manhattan West, that will generate more than 10,000 construction, office and retail jobs - all subject to the city's expanded living wage standard. It will be the first such project under the mayor's recent Living Wage Executive Order, which increased wages to over $13 per hour and expanded the law's reach to building tenants for the first time. "We are fighting inequality by raising the floor for workers at every opportunity. This is going to be an economic engine that lifts up New Yorkers at every rung of the economic ladder - something many didn't believe was possible just a year or two ago. We are incredibly proud to see this agreement come to fruition, and thank Brookfield Properties, Skadden Arps and the staff of the city's Economic Development Corp. for collaborating on this dynamic addition to our city," said de Blasio. The $2.2 billion, 2.1 million s/f project will rise at 401 Ninth Ave. on the northeast corner of West 33rd St. Construction will begin this year and is expected to be completed by 2020. At its base will be a two-acre plaza, lined with trees and retail, with a class A office tower above anchored by Skadden, Arps, Slate, Meagher & Flom LLP, one of the nation's largest law firms. Brookfield's five-acre Manhattan West development is located in the Hudson Yards district. The project is subject to living wage standards because of an executive order signed last year by de Blasio that built upon the law previously passed by the City Council. The Order eliminated exemptions for future development in the Hudson Yards District and for tenants at city-backed projects. Jobs in retail stores, parking facilities and office cafeterias - many of which are customarily minimum wage - will now see significantly higher hourly wages. The project is expected to generate more than 4,500 construction jobs and more than 6,000 permanent jobs. The Living Wage - increased under the de Blasio administration - stands at $13.30 per hour without benefits, or $11.90 with benefits, and is adjusted each year to match changes in the Consumer Price Index. By 2019, it is expected to surpass $15 per hour. State Senator Brad Hoylman said, "I'm extremely grateful to Mayor Bill de Blasio, Deputy Mayor Alicia Glen and Brookfield Property Partners for reaching this historic agreement to provide a living wage for this new development in the Hudson Yards in my district. It sets a fair and just new precedent that developers who receive city subsidies must ensure their workers aren't stuck below the poverty line." "The de Blasio administration has taken a solid first step in ensuring that our living wage law has meaningful application in the lives of all workers on projects that receive fiscal assistance from the City. Our collective variability as a City is conditioned upon the ability of each individual and family to climb up the ladder of economic fairness and equality. I urge the administration to aggressively replicate this living wage model in all projects and prove, once and for all, that the only way for our interconnected communities to grow is together," said State Senator Bill Perkins. "Mayor de Blasio's agreement with Brookfield Properties at Hudson Yards is absolutely monumental in that it sets a precedent for other companies that may be seeking tax breaks or other subsidies from the City," said Council Member Corey Johnson. "With the construction of One Manhattan West tower, the lives of thousands New Yorkers will be impacted due to its generation of thousands of jobs subject to the Living Wage standard of over $13 per hour. The agreement sends a clear message to developers that times are finally beginning to change: should City money be involved in cutting a deal, it is expected they give back to New Yorkers in the process." "Economic development is only truly effective when the jobs created enable people to earn enough to survive in this city. Otherwise, we are only creating poverty wage jobs which accomplish little for this city. We congratulate Mayor de Blasio for discarding outdated notions of economic development which thought building for building's sake was sufficient. New Yorkers need good jobs; and today's announcement is an important step in that direction," said Stuart Appelbaum, President of the Retail, Wholesale and Department Store Union (RWDSU), UFCW.