New York City Plans $400 Million Renovation of Fifth Avenue
The New York City government is planning to allocate $400 million for a large-scale renovation project on Fifth Avenue in Manhattan, stretching from Bryant Park to Central Park. The project is set to begin in early 2028 with the goal of transforming this iconic commercial avenue, which has a history of over 200 years, into a pedestrian-friendly urban space.
Mayor Eric Adams officially announced the plan on Wednesday, May 21st. According to city officials, $152.7 million was allocated for the project in the 2024 budget, and Mayor Adams proposed an additional $250 million in the fiscal year 2026 budget, bringing the total budget to $400 million.
The area targeted for renovation includes several important landmarks such as the Rockefeller Center and St. Patrick’s Cathedral. Currently, Fifth Avenue consists of five lanes of traffic and two 23-foot-wide sidewalks on each side. Even though pedestrians make up around 70% of the total foot traffic on the avenue, only 46% of the space is allocated to them.
Under the latest design plans, the sidewalk width will be expanded to 33.5 feet, with an additional 25-foot-wide pedestrian-only zone; the number of lanes will be reduced from five to three. The renovation project will also include planting over 230 trees, approximately 20,000 square feet of greenery, and the installation of seating, lighting, and rainwater management facilities to enhance the walkability and comfort of the street.
Mayor Adams stated that “the number of pedestrians on Fifth Avenue per hour exceeds the audience at a sold-out NBA Knicks game at Madison Square Garden.” Through a $400 million investment, New York City aims to turn this street, known as the “Avenue of Dreams,” into a true pedestrian paradise.
City officials estimate that the economic benefits of the renovation are expected to recoup costs within five years, primarily through property and sales tax revenue generated by commercial activities. According to official data, Fifth Avenue currently generates approximately $111.5 billion in economic output each year and supports over 310,000 direct or indirect job opportunities.
Since the city government first introduced the “Future of Fifth Avenue” initiative in 2022, the area has seen nearly $4 billion in commercial real estate transactions on Fifth Avenue. The Adams administration views this trend as a testament to the market’s long-term confidence in the area’s potential.
This project is a collaborative effort between the city government and several private organizations, including the Fifth Avenue Association, Grand Central Partnership, Central Park Conservancy, and Bryant Park Corporation, forming a coalition to drive the initiative forward.
Madelyn Wils, CEO of the Fifth Avenue Association, highlighted that this investment will breathe new life into one of the world’s most iconic streets and set a foundation for the next 200 years.
The renovation project is expected to begin with upgrading underground infrastructure to allow simultaneous ground and underground operations. The initial design is still in the planning stages, with the city government aiming to complete the conceptual design before the summer of this year.
Inspired by iconic streets like the Champs-Élysées in Paris, Oxford and Regent Streets in London, Calle Serrano in Madrid, and Ginza in Tokyo, the design concept will integrate the existing decorative art deco style of Fifth Avenue to emphasize its blend of historical and modern streetscape features.
Fred Cerullo, President of the Grand Central Partnership, believes that this project will not only reshape the urban function of Fifth Avenue but also contribute to the overall redevelopment of Midtown East in Manhattan.