New York City is weighing whether to hand Tishman Speyer a $100 million property tax break for a new 48-story office tower rising in Hudson Yards, a project valued at $2.7 billion. The board overseeing the city's discretionary tax incentives is set to vote on the measure next Tuesday, September 15.
As reported by Bloomberg, the vote will be cast by the board of the New York City Industrial Development Agency. According to the same report, approval would make the abatement the single largest economic subsidy New York City has awarded since Mayor Zohran Mamdani took office on January 1, 2026.
A Familiar Playbook for Tishman Speyer
This would not be Tishman Speyer's first project in Hudson Yards. The developer also built The Spiral, an office tower at 66 Hudson Boulevard, according to New York YIMBY. That building was completed in 2023.
The financial world has kept coming back to that tower since. Hoodline previously reported on Point72's expansion at The Spiral, where the hedge fund quietly signed a 60,000-square-foot lease expansion in late 2025, joining tenants including Pfizer and HSBC in the tower.
How the Hudson Yards Tax Mechanism Works
The city's Ten Year Capital Strategy discusses the financial arrangements associated with Hudson Yards' transit and public spaces.
The city's capital strategy document also discusses Hudson Yards' infrastructure corporation and its financing.
The Cost Side of the Ledger
The Cost Side of the Ledger Not everyone views the subsidy structure as a clean win for the city. A fiscal analysis has questioned the cost of commercial office incentives in Hudson Yards.
New York City distinguishes between renovation incentives and the separate industrial development agency process. Tishman Speyer's new tower is seeking incentives through the latter process.
More Towers Rising Nearby
Tishman Speyer is not the only developer building big on the Far West Side right now. Construction began in spring 2025 on Related Companies' 70 Hudson Yards, a neighboring 47-story, 1.1 million-square-foot office tower anchored by Deloitte, located at West 36th Street and Tenth Avenue adjacent to Bella Abzug Park. New York YIMBY has reported that the tower is designed as New York's first all-electric, zero-carbon office skyscraper.
The competing projects underscore how much activity continues to concentrate in Hudson Yards even as the city debates the cost of subsidizing it. Whether the industrial development agency's board approves the $100 million measure next Tuesday will determine the tax treatment of the new 48-story office tower.
