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3 Hudson Boulevard Seeks EB-5 Investors

3 Hudson Blvd. rendering Rendering of 3 Hudson Boulevard/ Photo credit: FXFOWLE

NEW YORK CITY—New York Governor Andrew Cuomo and developer Joseph Moinian launched the official ground breaking of the Moinian Group’s two-billion-dollar, 53-story, two-million-square-foot office tower, 3 Hudson Boulevard.

With the infrastructure work on the 34th Street 7 train station complete, the tower construction, on top of one of the subway entrances, can begin.

“The groundbreaking of 3 Hudson Boulevard is another significant step in developing the Hudson Yards District and attracting new businesses and investments to the Far West Side of Manhattan,” Governor Cuomo said. “The Moinian Group’s investments in the state-of-the-art tower will support New York’s construction workers, and provide space for future tenants, as we continue supporting the economic development of the entire region.”

At Friday’s ceremony, Moinian said he’s in the midst of the paperwork involved in arranging for EB-5 investors, who may come from China or India. He is working on attracting $250 million to $500 million through the program. However, he notes his company is at the beginning of the process and does not have a number of EB-5 investors committed. 

The EB-5 Immigrant Investor Visa Program allows foreign nationals to become legal permanent residents by investing $1,000,000 in a US business that will employ American workers. A $500,000 amount is the qualifying investment for a US business in target employment areas. The program’s purpose is to encourage foreign investment and economic growth in the US.

The EB-5 program has not been without controversy including congressional scrutiny for uncovered cases of fraud. This was the program, as reported in the Washington Post, that Nicole Meyer, the sister of presidential advisor Jared Kushner, had pitched to Chinese citizens to invest in a Kushner family development in New Jersey—while mentioning her relationship to her brother.

News outlets including Bloomberg and the Real Deal have reported that other Hudson Yards developers such as the Related Cos. have attracted EB-5 investment funds and have secured tenants to lease significant spaces in their developments. However, 3 Hudson Boulevard continues to receive attention for its inability to secure an anchor tenant.

The Moinian Group hired new brokers, moving the account from Avison Young’s Arthur Mirante to JLL. At the ground breaking, president of JLL’s New York tri-state region, Peter Riguardi, who is now leading the leasing efforts, expressed optimism, calling 3 Hudson Boulevard, the area’s premier development site.

Designed by architect Dan Kaplan of FXFOWLE, the building will take up the entire square block between 11th Avenue and Hudson Boulevard Park, from West 34th to West 35th streets. Set on the densest bedrock in Manhattan, the tower will not require a platform, according to the Moinian Group. In addition to the street-level, multi-tiered lobby with retail space, and the office tower space, the development will be topped with a duplex rooftop entertainment area, outdoor terrace and sky garden.

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