New Development Planned for Lower Manhattan
A once-stalled development site in Lower Manhattan is now deemed ready to move forward.
Chelsea Piers Fitness is gearing up to establish a five-story, 76,000-square-foot health and wellness center at 250 Water St., a vacant lot covering an acre that Tavros acquired last year from the Seaport Entertainment Group.
This lease marks the project’s first significant step, with construction set to begin next winter. The development will include 600 apartments, 25% of which will be categorized as “affordable,” alongside various commercial spaces and ample public outdoor areas.
Atlantic Retail will handle the leasing of 35,000 square feet of high-ceilinged retail space on the ground floor.
With this development, there’s hope to finally transform a long-standing eyesore on the East River side of downtown.
In July, Tavros and Atlas Capital purchased the property for $150 million. The Howard Hughes Company had previously owned 250 Water Street for many years but faced numerous legal challenges, particularly from local residents concerned about the potential changes.
Ultimately, HHC won the legal battles and turned to SOM for the design plans. After spinning off in 2024, SEG opted to sell the land. Notably, Bill Ackman, the head of Pershing Square Capital, holds significant shares in both HHC and SEG, although the companies maintain he does not engage in daily decision-making.
While Tavros plans to stick closely to the original SOM design, they have also appointed Fogarty Finger as the principal architect.
Tavros partner Colin Rankowitz expressed that the agreement with Chelsea Piers aligns with their vision of creating a complete neighborhood asset, featuring what he described as a “best-in-class fitness community destination.”
David Tewkesbury, the CEO and co-founder of Chelsea Piers Fitness, commented that the expansive new facility will be “full of light” and boast “beautiful indoor and outdoor spaces.” This new location aims to become a premier place for fitness enthusiasts.
Tavros, a privately owned firm, is also collaborating with Charney Companies on a 55-story condominium in Long Island City and the five-building Gowanus Wharf campus in Brooklyn, along with a site located behind 50 Ninth Avenue in the Meatpacking District, where Rolls-Royce has its luxury showroom.
