The Port Authority of New York and New Jersey recently announced it selected commercial real estate services firm CBRE as its new site-wide property manager for the World Trade Center campus. CBRE will replace Cushman & Wakefield, which managed the WTC since 2013, according to The Wall Street Journal.
CBRE will operate and maintain a variety of public spaces and centralized infrastructure, including the $3.9 billion Oculus transit hub, PATH transportation hub, Liberty Park, heating and cooling systems and other facilities. The firm will also work to maintain the World Trade Center campus as a safe landmark of international significance and modern world-class destination while also serving as a vibrant anchor for the lower Manhattan community, according to the Port Authority of New York and New Jersey. CBRE’s seven-year contract will begin on July 1. The firm will receive an annual fee of $850,000, which is subject to annual inflation-based escalations with penalty provisions for failing to meet performance standards.
“The diverse and complex infrastructure that supports operations at the World Trade Center campus, such as the transportation hub which connects to 11 NYC Transit lines, the PATH system and ferry terminal and retail and office buildings, requires 24/7 operational support that is seamless and efficient,” Kevin O’Toole, Chairman of the Port Authority of New York and New Jersey, said in a statement. “Based on the firm’s record of achieving maintenance cost-savings for other local and national clients, we look forward to working with them to bring our campus to the next level of performance.”
Partnering creates Opportunity
Partnering with CBRE will give the Port Authority an opportunity to work with an experienced CRE industry expert to help it reach its goals of bringing operational efficiency, modern amenities, and the highest levels of technological excellence to the WTC campus. CBRE is expected to create and implement a data-driven strategy to enhance operations and provide an improved customer experience for commuters and the surrounding lower Manhattan community.
“This contract will provide the Port Authority with best-in-class management of the iconic WTC campus with new provisions in place to meet key performance standards,” Rick Cotton, Executive Director of the Port Authority of New York and New Jersey, said in a statement. “The firm has committed to utilize the latest in technology and real-time data for preventative and predictive maintenance that will maintain the World Trade Center to the highest standard as a premier destination in the region.”
“CBRE is excited to bring our experience and resources to the iconic World Trade Center and to serve the Port Authority and its customers as New York and New Jersey rebound from the challenges of COVID-19,” CBRE Senior Managing Director, Investor Services, Tom Lloyd said.
Additionally, the WTC campus moves closer to completion. The Port Authority and Lower Manhattan Development Corporation approved development team selection for 5 World Trade Center, the former Deutsche Bank Building site. Meanwhile, construction resumed last May on the Ronald O. Perelman Performing Arts Center, which is projected to open in 2023.
Meanwhile, New York Governor Andrew Cuomo and His Eminence Archbishop Elpidophoros of America announced construction resumed on the new Saint Nicholas National Shrine in New York City last August. Additional campus activities are anticipated to return in the near future.
Joe Dyton can be reached at email@example.com.