More than 25 years after the Sept. 11 attacks, the site of 5 World Trade Center in Lower Manhattan remains undeveloped, standing out as a vacant lot amid the revitalized World Trade Center complex. Originally slated to become the only residential tower on the site, the project has stalled despite repeated announcements and plans by government officials and developers.
In 2023, New York Governor Kathy Hochul pledged that construction on 5 World Trade Center would begin imminently, asserting that the project was not years away. However, as of now, the site remains an empty asphalt lot enclosed by fencing, with no construction underway. Officials from the Port Authority of New York and New Jersey, the Lower Manhattan Development Corporation, and the governor’s office—entities jointly overseeing the redevelopment—have indicated that the current plan is no longer proceeding. Governor Hochul’s office confirmed this setback and emphasized its ongoing commitment to delivering a vibrant, mixed-use development consistent with the broader vision for the World Trade Center campus.
The current development agreement was led by Silverstein Properties and Brookfield Properties Real Estate (BGRE), but state officials are now seeking to remove the project from the current developers and put it back out to bid. Representatives for both development firms declined to comment on the delay.
The site’s troubled history contributes to the challenges it faces. Severely damaged on Sept. 11 when debris from the nearby 2 World Trade Center tore a 15-story hole into the building, 5 World Trade Center was deemed irreparable. Two workers died during the attacks, and hundreds of shattered windows further highlighted the extent of destruction. Demolition did not begin until 2007, after prolonged disputes over insurance and concerns over toxic contamination from lead, asbestos, and dioxins. During demolition, a significant fire in mid-2007 killed two firefighters and exposed lapses in safety oversight. It took until 2011 for the building to be completely removed.
Efforts to develop the site into affordable housing have become entangled in economic and political obstacles. The initial plan called for over 1,000 residential units, with 25 percent designated as affordable. Local activists and some politicians pushed for a fully affordable building prioritizing those impacted by the attacks who lived or worked near Ground Zero. Governor Hochul’s final plan in 2023 increased affordable units to one-third of apartments, including 80 reserved for nearby residents and workers, supported by $65 million in state subsidies and $32 million in federal funding allocated after Sept. 11.
Despite these commitments, officials cite post-COVID spikes in construction costs, rising interest rates, persistent inflation, and policy-related uncertainties as factors undermining the project’s financial viability. An Empire State Development spokesperson attributed delays to these economic challenges and political complexities, noting the difficulty in reconciling affordable housing mandates with the project’s economic realities. Industry experts point to political factors rather than market demand as primary obstacles in securing developer participation.
Residents and activists continue to press for a fully affordable tower that prioritizes victims and local community members affected by the Sept. 11 attacks. Mariama James, a neighborhood advocate whose mother worked in the building on Sept. 11 and who lost both parents to related illnesses, called for a renewed focus on serving the community’s needs. “If they’re going to build a building there and anybody is going to live at ground zero, it should be the residents that are here," she said. "We find the money for other things. I think we can find the money for this.”
As of now, the future of 5 World Trade Center remains uncertain, highlighting the ongoing tension between redevelopment goals, community demands, and economic realities in one of New York City’s most symbolic locations.