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Gary Barnett’s Extell on development rampage in Manhattan
Extell Development, led by Gary Barnett, is advancing a wide range of projects and property acquisitions across Manhattan, from hotels and medical facilities to very tall residential and mixed-use towers. The activity highlights the company’s expanding influence in the city’s development pipeline, despite criticism from rivals who describe Barnett’s approach as ruthless.
The projects include the 1,067-foot Torch hotel, now at 40 storeys, backed by a $1.1 billion construction loan and expected to be completed in 2028. Extell has also bought several sites and air rights, including a First Avenue tenement for $27.9 million and Sixth Avenue property for $18 million, while plans include an 86-storey Upper West Side building and a possible 1,130-foot tower near the Wellington Hotel.
In short
- Extell is pursuing a broad slate of Manhattan developments.
- The Torch secured $1.1 billion in construction financing.
- Recent purchases support plans for several major towers.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
Extell’s projects could add hotel rooms, medical facilities and housing while bringing investment and construction jobs to Manhattan. A developer willing to assemble sites and take on complex, high-cost projects may help meet demand and make productive use of scarce urban land.
The case against
The scale and concentration of Extell’s acquisitions and proposed towers raise concerns about how development reshapes neighbourhoods and who benefits from rising land values. Critics may argue that very tall buildings and aggressive site assembly can put pressure on existing communities and give a small number of developers outsized influence over the city’s future.
Explained simply
Extell Development is a New York property company led by Gary Barnett, which buys sites and develops buildings. In Manhattan, projects can combine land purchases with air rights, which allow a building to use more of the space permitted above a site.
The company’s plans span homes, hotels and medical facilities, including proposals for very tall towers. Their progress depends on financing, planning approvals and construction, and can affect the shape and supply of buildings in neighbourhoods where land is scarce.
Barnett’s methods have drawn criticism from some rival developers, while Extell’s growing portfolio makes it an influential participant in Manhattan’s development market. Its projects are part of wider debates about how the city grows and what gets built on valuable urban land.