How much is a view worth?

They didn’t really have a choice, looking at the floor plans. Article quoted the share of the cost was “maybe a million” for this apt. A tower there in front of all the lotline windows would have done more than $1MM in damage, no? https://streeteasy.com/sale/1395972

It's interesting that Extell picked up the site for $11 million from a long term hold Real Estate family who could have done the same thing, but looked at the development environment and rather than build immediately used the threat of building to ? extort? $11 million from these condo owners. Then they turned around and sold controlling interest in the site valuing it at $29 million.
https://therealdeal.com/2016/07/06/extell-sells-interest-in-two-chelsea-buildings-in-29m-deal/

I have to wonder what kind of retail would be interested in going into the new building, considering Barney's is looking like it's getting ready to bite the dust. I think a restaurant/night club would do well there but the neighbors would be screaming.

Looks like there would have been lot-line issues with a tall build on that lot. At least from the photos it appears all the inward-facing windows of the loft building would be too close for code to a new building in that space.

I'm not in the industry but as far as I know, it's not the responsibility of a new building to make accommodations for the light or ventilation of an existing property (that utilizes lot-line windows) https://www.nytimes.com/2018/08/31/realestate/lot-line-window-keep-your-fingers-crossed.html

That's what I mean Cook--the loft building might have been required to brick up windows facing the lot line. That's a lot of windows.

I think they got off easy. It's roughly a ~$1 million penalty per floor for abusing lot line windows. The value of the space would have dropped by way more than that had those windows gone away.

I only looked a few floor plans but some of them had bedrooms on the lot line. Hard to imagine DOB would let that fly today... the plan examiners there won't care if you own the air rights next door or not.

According to the article the building has a prior history of illegal conversions so I'm wondering if some of those bedrooms got grandfathered.