NEW YORK CITY—The Metropolitan Transportation Authority’s board on Wednesday approved a new agreement with the Related Cos. over the massive Hudson Yards development, which delays closing on the project until certain triggers are reached in the city’s real estate market. Wednesday also brought progress on two big mixed-use projects elsewhere in the city: Thor Equities’ release of plans for advancing its Coney Island redevelopment and the Queens borough president’s endorsement of Flushing Commons.

The agreement approved by the MTA board secures Related’s commitment to redeveloping the Far West Side rail yards via a down payment of $21.7 million. Related will not be obligated to close on the deal, and start paying its 99-year lease, until Midtown’s office availability rate declines to 11%, apartment sale prices reach an average $1,200 per square foot and the AIA Architectural Billings Index hits 50. For the MTA, the value of the deal to lease air rights over its 26-acre Long Island Rail Road yards remains $1 billion.

In a statement, Jay Cross, president of Related Hudson Yards, says the company plans to sign the agreement “shortly.” He says the project team is “working diligently on design and construction logistics,” and adds, “We remain optimistic about the future of New York and fully expect the construction of the Hudson Yards will be an integral part of the city’s resurgence. We remain fully committed to this historic development opportunity to create New York’s next great neighborhood.”

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