Transformation of Brooklyn and Howland Hook terminals announced

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Mayor Adams, Governor Hochul, NYCEDC, and Port Authority announced a plan to transform Brooklyn and Howland Hook terminals.

New York City Mayor Eric Adams, New York Governor Kathy Hochul, and the Port Authority of New York and New Jersey on 14 May 2024 announced an agreement in principle between the City of New York, New York state, the Port Authority, and the New York City Economic Development Corporation (NYCEDC) that will enable the city to transform the Brooklyn Marine Terminal into a modern maritime port and vibrant mixed-use community hub.

This agreement will allow the Port Authority to drive long-term expansion of Howland Hook Marine Terminal, which the Port Authority currently operates on Staten Island.

The project to build the 122-acre site stands to potentially help create thousands of jobs for New Yorkers while generating significant economic impact for New York City.

Brooklyn Marine Terminal transformation

As part of the effort, the city will assume control of the entire marine terminal in Brooklyn, encompassing 122 acres of waterfront in Red Hook and the Columbia Street Waterfront District, including the existing Brooklyn Cruise Terminal.

Mayor Adams also today announced an initial US$80 million investment in the Brooklyn Marine Terminal to stabilize and repair Piers 7, 8, and 10, and to fund planning for the waterfront’s future, including an up to US$15 million investment to fund a new modern, electrified container crane for operations at the terminal.

By mid-June, NYCEDC will assume responsibility for the management and operations of Brooklyn Marine Terminal, while supporting existing tenants, including assuming the recent five-year extension of Red Hook Container Terminal’s operating agreement.

Governor Hochul also announced a US$15 million commitment for a future cold storage facility on-site. The lack of cold storage in Red Hook has contributed to traffic, pollution, and other quality-of-life concerns as perishable merchandise is transported in and out of Brooklyn.

Additionally, Mayor Adams announced today that the city has submitted grant applications for over US$350 million in federal funds from the U.S. Environmental Protection Agency and the U.S. Department of Transportation to help transform Brooklyn Marine Terminal into the world’s first model for a modern maritime facility optimized for international cargo handling, as well as low-carbon, last-mile freight movement.

The funding requests prioritize replacing the defunct Piers 9a and 9b with a new marginal pier for greater capacity to handle international containers and micro-freight, and traffic improvements to improve traffic flow around the Brooklyn Cruise Terminal and in the Red Hook community.

Over the past decades, as part of the city’s lease and operation of the Brooklyn Cruise Terminal, NYCEDC has invested over US$162 million into Piers 11 and 12.

NY transforms Brooklyn and Howland Hook terminals

Howland Hook Marine Terminal

The city will amend its lease of a 225-acre portion of Staten Island’s Howland Hook Marine Terminal to the Port Authority, which currently leases Howland Hook from the city, to give the Port Authority operational control of the site. This will bring the entirety of Howland Hook under Port Authority control, supporting its ability to drive future expansions.

Howland Hook is one of the key container terminals in New York Harbor, and it recently attracted its largest-ever private investment. As part of an amended lease agreement announced in September 2023, Howland Hook’s new operator, CMA CGM, committed more than US$200 million to transform the site with modern facilities, expanded capacity, and sustainability upgrades

This agreement between the city and the state will help to build on recent investments at Howland Hook and help to drive even more long-term investment in the terminal. Additionally, CMA CGM has committed to boosting the facility’s capacity by 50% over the next seven years, allowing it to handle up to 750,000 container lifts each year.

In the coming weeks, NYCEDC and Port Authority will execute a lease and associated agreements for both sites, allowing each to assume immediate control of onsite operations, subject to the approval of each agency’s board.

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