Long a Vacation Inn, the West 57th Avenue residence was reinvented as a boutique getaway in 2017 by a new operator, BD Accommodations, whose portfolio features downtown warm spots like the Mercer, the Bowery and the Jane. But then Covid hit, and BD defaulted, regardless of turning a great deal of the Watson Lodge into a homeless shelter, for which the town reimbursed it.
For the 1964 building’s latest chapter, Yellowstone will convert 1 of the hotel’s two towers into market place-fee apartments, in accordance to sources familiar with the offer, even though leaving the other tower as a hotel. Isaac Hera, the firm’s main government, claimed in an electronic mail that plans were being not set but, but included that “having the versatility of applying diverse works by using and diverse business enterprise plans is a very attractive proposition.”
Town and state officials have pushed for the conversion of hotels into inexpensive housing, but developers observe that developing codes could make that hard.
For starters, residences will have to be at minimum 150 square feet, when hotel rooms are permitted to be smaller. And residences require kitchens, though in some economical-housing complexes, tenants can share kitchen area services, mentioned Mark Ginsberg, a principal at Curtis + Ginsberg Architects, which has made reasonably priced initiatives.
Adding kitchens and enlarging rooms to satisfy codes could also finally lessen the range of beds, a counterproductive go, Mr. Ginsberg claimed. It could also balloon fees, turning a common resort makeover with $3 million in beauty improvements into a $30 million overhaul.
The course of action appears so challenging that an investor fascinated in converting a battling 60-space hotel on the Lower East Side is getting cold feet, claimed Mr. Ginsberg, who is examining the web site for the investor.
Because final spring, Mr. Ginsberg has seemed at about a 50 percent dozen other lodge web sites for equivalent customers. “With the destruction of the tourism industry, this is the time to act,” he said.