What if one of NYC’s most iconic office towers became your next home? Discover how 5 Times Square is transforming into 1,250 stunning apartments—bringing affordable housing to the heart of Midtown Manhattan and reshaping the future of urban living.
5 Times Square, once the shining beacon of corporate life as Ernst & Young’s global headquarters, is undergoing a dramatic transformation. In a strategic move that reflects New York City’s evolving post-pandemic landscape, this 38-story skyscraper at the heart of Times Square will be converted into a dynamic residential community featuring over 1,250 apartments.
This shift is part of a broader trend in urban redevelopment, where underutilized office towers are being reborn as high-density housing—a critical response to New York City’s persistent housing crisis.
The Project Overview: From Corporate Tower to Residential Hub
Key Facts at a Glance:
- Location: 5 Times Square (between W 41st and W 42nd Streets)
- Total Units: 1,250 apartments
- Unit Mix: 1,050 studio apartments and 200 one-bedroom apartments
- Affordable Housing: 25% of units reserved for low-income residents (up to 80% AMI)
- Retail Space Retained: 37,000 sq ft
- Construction Timeline: Starts late 2025, Phase 1 completion by 2027
- Developers: RXR, Apollo Global Management, and SL Green
- Ownership: Ground lease held by RXR; building owned by the City of New York
This adaptive reuse plan is supported by both city and state officials, aligning with Mayor Eric Adams’ broader strategy to create housing opportunities across every NYC neighborhood—even in landmark districts like Times Square.
Why the Conversion Matters: Addressing NYC’s Housing Shortage
New York City’s housing crisis has been building for decades, with skyrocketing rents and insufficient inventory pushing many residents out of central boroughs. The conversion of commercial office spaces into residential units is now seen as a vital solution.
Strategic Benefits:
- Unlocking Prime Real Estate: Times Square, once seen as purely commercial, now opens up to residential development.
- Public-Private Partnership: This project exemplifies how collaboration between developers and government agencies can accelerate housing creation.
- Affordable Housing Integration: With 25% of units permanently affordable, the project ensures socio-economic diversity in a high-demand neighborhood.
Mayor Adams underscored this vision by stating that solving the city’s housing crisis “requires creating new housing in every neighborhood at an accelerated pace.”
Office-to-Residential Conversion: A Rising Trend in NYC
5 Times Square isn’t an isolated case—it joins the ranks of other high-profile office-to-residential conversions in NYC, such as:
- 25 Water Street – Once home to JPMorgan Chase and major media firms, now a residential mega-project.
- 55 Broad Street – Goldman Sachs’ former HQ being reimagined as a housing complex.
These conversions are part of a broader urban planning initiative to revitalize downtowns, repurpose obsolete office buildings, and meet rising housing demand in highly desirable areas.
Times Square: From Tourism Magnet to Thriving Neighborhood
Long known for its electric billboards, Broadway theaters, and entertainment draws, Times Square has rarely been associated with residential life. But that’s changing fast.
Why Living in Times Square Now Makes Sense:
- 24/7 Accessibility: With multiple subway lines, Times Square is one of the most transit-connected locations in NYC.
- Retail & Entertainment: Living here means having world-class shopping, dining, and shows right outside your door.
- Revitalization & Safety: Post-pandemic improvements, enhanced policing, and tourism recovery are making the area more livable than ever.
By injecting new housing into this traditionally commercial zone, developers are transforming Times Square into a mixed-use, vibrant urban ecosystem.
Developers Leading the Way: RXR, Apollo, and SL Green
The transformation is spearheaded by some of the biggest names in NYC real estate:
- RXR – Holds the ground lease and leads development efforts. CEO Scott Rechler emphasized how public-private collaborations can turn vacant office buildings into thriving communities.
- Apollo Global Management & SL Green – Partnering in financing and project execution, bringing deep experience in large-scale urban developments.
These firms are taking advantage of recently expanded office-to-residential tax incentives, which reward developers for repurposing underused spaces into affordable housing.
Economic and Urban Impact of the 5 Times Square Conversion
Urban Planning Perspective:
- Density Rebalancing: Helps shift residential population into Midtown, relieving pressure from outer boroughs.
- Infrastructure Efficiency: Maximizes the use of existing transit, utilities, and retail infrastructure.
- Sustainability: Adaptive reuse is greener than demolition-rebuild cycles—preserving materials and reducing construction waste.
Economic Outlook:
- Job Creation: Construction, architecture, and future retail operations will generate thousands of jobs.
- Retail Foot Traffic: New residents will boost surrounding businesses, increasing economic vitality.
- Tourism Enhancement: A residential population adds to the 24-hour vibrancy, making Times Square feel less transient and more like a real neighborhood.
Affordable Housing in a Premium Location
One of the most compelling aspects of this conversion is its commitment to affordability in a luxury district. By setting aside 25% of apartments as permanently affordable, the project opens the door for middle- and low-income New Yorkers to live in one of the most iconic neighborhoods in the world.
Who Qualifies?
Residents earning up to 80% of the Area Median Income (AMI) will be eligible to apply for these units through the city’s housing lottery system. This initiative supports:
- Essential workers
- Young professionals
- Families priced out of other Manhattan neighborhoods
The Future of NYC Real Estate: Adaptive Reuse and Innovation
The transformation of 5 Times Square is part of a larger movement reshaping urban real estate. As remote work redefines the need for office space, developers and city planners are rethinking how buildings serve communities.
What This Means for the Future:
- Flexible Zoning Laws: Expect continued updates to NYC zoning codes to encourage adaptive reuse.
- Incentivized Development: More tax credits and grants will likely follow to spur similar projects.
- Community-Driven Urbanism: Development is no longer just about profits—it’s about sustainability, livability, and inclusivity.
Conclusion: A Symbol of Resilience and Reinvention
The 5 Times Square redevelopment is more than a building conversion—it’s a blueprint for the future of New York City. By transforming a mostly vacant office tower into a vibrant residential hub, the city is embracing innovative urban design, solving long-standing housing issues, and reinvigorating one of its most famous neighborhoods.
As Times Square evolves from a commercial icon into a residential community, it stands as a bold example of how cities can adapt, recover, and thrive in the face of change.
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