Big payoffs are expected for the $2.1 billion the project willcost, and proponents predict transit-oriented development to springup in one of Manhattan's most underserved and underdeveloped areasas a result of the build. It is also expcetced to serve as acatalyst for the Hudson Yards project, according to a preparedgovernment statement. The economic development resulting from thecompletion of this 1.5-mile extension will yield approximately $60billion in tax revenues to the state and city over the next 30years, and will create hundreds of thousands of new constructionand permanent jobs, the release determined.

The subway advancement might relieve some hesitation developersmay have had about developing in the Hudson Yards area. Jeff Katz,president & CEO of Sherwood Equities Inc., who currently ownstwo parcels in the neighborhood, previously told GlobeSt.com thatgetting the subway line in place was essential, not so much forresidential property, but for office buildings in the area.

The first $1.1-billion contract for tunnel boring was approvedby the MTA on Oct. 24. Mayor Michael Bloomberg says in a statementthat the development of the Far West Side "simply couldn't happenwithout this extension, and because of it we will see this areagive rise to a vibrant and exciting neighborhood with neededhousing, office space, commercial and cultural venues, and parksand open spaces."