New York real estate developers are paying $430 per square foot of air so their apartment building will have a view of Central Park.
Developers William and Arthur Zeckendorf had agreed to pay Christ Church and Grolier Club in midtown Manhattan $37 million to keep the view of Central Park available to the upper floors of a planned 35-story apartment building, The New York Times reported.
The Times said the rate of $430 per square foot of airspace was about twice the going New York rate. Developers use air rights to erect taller structures by buying the space over smaller buildings and "transferring" it over other buildings, the newspaper said.
The Zeckendorfs reportedly plan to put up their apartment building west of the Grolier Club, using the air space credit to build higher than zoning would usually allow. The deal with Christ Church gives the new apartments a tony Park Avenue address, the Times said.