NYC Partnership economic impact analysis update, February 2002

NYC 9/11 Public Portal Document

professionals drawn to this neighborhood offered proof of Lower Manhattan’s potential to become a model 21'* Century neighborhood with a vibrant live-work environment.

The attack on Lower Manhattan killed several thousand people. It displaced 100,000 jobs temporarily, damaged valuable commercial real estate and destroyed essential public and private infrastructure. The downtown area lost nearly 29 million square feet of office space (30% of its total). This includes 15.2 million square teet lost m tne destruction of the World Trade Center complex, 3.5 million square feet that is heavily damaged and will take more than a year to repair and 10.1 million square feet of less damaged property that can be restored within a year. Also destroyed was half a million square feet of retail space, mainly in the underground mall of the World Trade Center. Large amounts of commercial space were also destroyed on September 11th.

The damage to infrastructure has made reaching Lower Manhattan even more difficult. It has also rendered communications and utilities less reliable in and around the area. This region of New York City lost commuter service on both the PATH and the 1/9 subway lines. Tens of thousands of workers used those trains to get to work prior to September 11th. Verizon, the local telecommunications provider, sustained $1.9 billion in damage, including the loss of a switching station and major network equipment. Con Edison lost two substations, and its local distribution system was badly damaged. Much of Lower Manhattan now relies on a combination of emergency generators and other temporary solutions. To avoid power shortages in 2002, Con Edison needs to rebuild one substation before next summer.

The combination of real estate and infrastructure damage forced more than 100,000 workers to relocate to different offices or to work from home. Seven major financial services firms have temporarily relocated. Approximately 19,000 workers, who previously worked in Manhattan, are now working outside of New York City. Many of them may not return, even after transport and communications services are restored in Lower Manhattan.

r -100,000 Jobe Displaced From Lower Manhattan

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