They’ll break out the champagne downtown on July 9, when ground will be broken for the long-awaited American Express tower at Two World Trade Center. The public start of construction caps a quarter-century struggle to fully replace the Twin Towers and other buildings at the 16-acre site that were destroyed on 9/11.
“It will be a banner day for New York and since it’s Amex, it’s a banner made of platinum and gold,” quipped Downtown Alliance President Jessica Lappin.
It’s celebration time as well for Larry Silverstein, who’ll build the tower for Amex. The developer of 3, 4 and 7 World Trade Center and the original developer of 1 World Trade before he turned it over to the Port Authority and the Durst Organization had been stymied by his inability to sign an anchor tenant for the 55-story project, which could cost up to $4 billion.
The groundbreaking for American Express’ new headquarters at Two World Trade Center will be July 9.Foster Partners
Amex will not be a tenant, but the tower’s owner under a ground lease with the PA. It joins the other thriving Trade Center towers, which are nearly 100% leased with asking rents of over $200 per square foot.
The design by Foster + Partners includes six exposed corner gardens and three large terraces to break up its towering glass curtain wall.
Underground work has been going on for months. Sources said the supertall tower will first poke its head out of the ground in August with the start of vertical core construction.
Structural steel will begin to rise in late spring 2027, followed by topping out in late 2029. The skyscraper will be substantially finished in 2030 and doors will open in 2031.
It’s celebration time as well for developer Larry Silverstein, who’ll build the tower for Amex.Tamara Beckwith
“I can’t imagine a better partner to complete the World Trade Center campus than American Express, an iconic institution embodying the strength, resilience, and global significance of the project,” said Silverstein Properties CEO Lisa Silverstein.
The July 9 ceremony will be attended by yet-to-be-named executives from Amex, government, the landowning Port Authority and real estate.
Such important groundbreakings typically draw the governor and mayor.
The design by Foster + Partners includes six exposed corner gardens and three large terraces to break up its towering glass curtain wall.Foster Partners
“Even Mayor Mamdani, no fan of major corporations, will probably show up,” said a source familiar with the project.
The far-left mayor previously called the project “a testament to the power of union labor and the dignity of work.”
Rental affordability remains far superior to mortgage affordability, with the U.S. 30-year fixed mortgage rate trending around 6.5% in early June. With home prices still at record highs, last week's housing report showing sellers pulling listings at a near-record pace as buyers balk at prices is yetanother warning signthat the frozen housing market remains well intact.
The Trump administration's affordable housing strategy focuses on market deregulation, expanded homeownership, stricter citizenship requirements for federal housing assistance, and Fannie Mae and Freddie Mac purchasing $200 billion of their own mortgage-backed securities to artificially lower mortgage rates and increase home affordability.
JPMorgan analysts recently said that the current housing shortage of around 2.8 million homes could take about 10 years to resolve. That is simply not enough time for the Trump administration to make good on its promise to unfreeze the market, as younger generations are forced into rentals.
But there is good news: Goldman analysts led by Arun Manohar outlined that manufactured housing remains one of the most underused affordability tools, as the estimated housing shortage is well north of 3 million and as high as 4 million homes.
Manohar pointed out that shipments of manufactured homes averaged about 265,000 units annually before 2000, but plunged to around 80,000 per year since 2010 after the 1990s boom ended in delinquencies, tighter lending standards, and more zoning restrictions.
"One approach for increasing the supply of homes at more affordable price points is to promote access to manufactured housing," Manohar wrote in the report last week.
Manufactured homes now account for about 6% of owner-occupied U.S. housing, down slightly from roughly 7% in 2010. There are about 8.4 million manufactured housing units nationwide, mostly concentrated in the South and Southeast.
Mostly situated in rural areas.
... and typically have less square footage than a traditional single-family home.
Manohar continued that these manufactured housing units are "residences that are prefabricated in a factory setting and then transported to their final location for installation," adding, "This method not only streamlines the construction process but also offers significant cost savings compared to traditional site-built homes, making manufactured housing a promising solution for those seeking affordable housing options."
Manufactured homes are cheaper and faster to build than stick-built homes.
These tiny homes could be a meaningful supply-side lever to improve housing affordability, especially for lower-income and first-time buyers, as the frozen housing market is expected to take years to normalize.
Mortgage applications in the United States jumped by 10.8% in the week ending June 5 compared to the previous week, the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey revealed on Wednesday.
According to the report, the average contract interest rate for 30-year fixed-rate mortgages rose to 6.60% from 6.57%. The Refinance Index climbed 15% from the prior week and was 20% higher than a year earlier, while the seasonally adjusted Purchase Index advanced 7% on a weekly basis and increased 4% year-over-year.
"Mortgage rates were volatile last week as news from the Middle East continues to drive markets," MBA Senior Vice President and Chief Economist Mike Fratantoni said. "While the average rate was up slightly, there were opportunities where borrowers were seeing somewhat lower rates," he added.
So when he received a Post-it on his door on March 20 saying that the owners were planning to sell the park for $42.5 million, his heart sank.
“The next morning, I was sitting on my back porch working with ChatGPT to explore my options, just feeling the stress of the unknowns,” he tells Realtor.com®.
“As I was sitting there, I also felt the stress of the 212 other households that were feeling the same thing, and that was enough for me to take action.”
The medicallyretiredNavy veteran had learned of a Colorado law granting mobile home park residents the opportunity to buy their park if the owner plans to sell it or repurpose the property, giving residents the first right of refusal.
The owners of San Lazaro Mobile Home Park in Boulder County, Colorado, are planning to sell the property for $42.5 million — and residents hope to buy the whole park.Google Maps
Damien Teague had learned of a Colorado law granting mobile home park residents the opportunity to buy their park if the owner plans to sell it or repurpose the property, giving residents the first right of refusal.Google Maps
Twenty-two other states have similar laws on the books, according to manufactured housing industry expert Glenn D. Esterson.
In Colorado, residents have 120 days after receiving notice of the intent to sell to submit an offer. If no agreement is reached by the end of the 120-day period, the seller can proceed to sell the mobile home park to other buyers.
This gives San Lazaro residents until July 18 to obtain financing for the park’s full asking price, or face the risk of a new owner either jacking up monthly leases on lots or redeveloping the land.
Neighbors joining forces
While the task was daunting, Teague immediately began to organize.
“I posted notices that we would have a meeting about what options we have and what’s in front of us,” he says.
“Now, we have a nine-person steering committee, and the state and county have been really good working with us. A lot of people want to see us succeed.”
Sarah Huntley, the director of communication and engagement for the city of Boulder, tells Realtor.com, “City staff members have been in discussion with the residents of San Lazaro, and we’ve indicated support for their efforts. The city and the county of Boulder have agreed to get an appraisal of the property together.”
“I posted notices that we would have a meeting about what options we have and what’s in front of us,” Teague says.Google Maps
To raise funds, San Lazaro residents are reaching out to the Colorado State Housing Board, the Colorado Department of Local Affairs Mobile Home Park Acquisition Fund, local employers, investors, and organizations including Thistle Community Housing—a nonprofit that helps mobile home communities become resident-owned communities.
Lisa Krebs, Boulder County senior communications specialist, tells Realtor.com, “The county is aware that residents have begun the initial steps necessary to pursue becoming a resident-owned community.
“Boulder County has been talking with residents and organizations supporting them, including Thistle Community Housing. Boulder County is actively exploring ways to support residents through this process.”
Teague says the tight-knit community of 800-plus residents is worth fighting for. “We help each other out and have each other’s backs,” he says.
“We have a food share and a services share—and if someone is in need, we step up.”
He says there are many long-term tenants—including a 93-year-old woman who has lived in the park since it was established in 1966.
Crunching the numbers
Teague owns his mobile home, and rents the lot underneath it for about $1,000 a month. That’s 40% less than the median asking rent in the US, which is $1,673 per month according to Realtor.com data.
Teague says San Lazaro residents are fearful of what would happen if a corporate entity purchased the property and either hiked up rents or shut the park down.
It can cost a whopping $10,000 to $20,000 to move a manufactured home in most locations, according to Esterson.
Teague says San Lazaro residents are fearful of what would happen if a corporate entity purchased the property and either hiked up rents or shut the park down.Google Maps
“It’s scary to be in this unknown place,” says Teague.
But Teague and other residents are inspired by the nearby Sans Souci manufactured home community, which was purchased by residents in 2021 for $3.3 million.
“Since then, their lot rents have stabilized, the values of their homes have appreciated, and they have a voice of ownership in their homes,” says Teague. “It’s very inspiring to see other people who have been down this road and have been successful.”
San Lazaro Park Properties LLP, which is based in Minnesota, has owned San Lazaro Mobile Home Park since 1983.
Attorney Brian Ray, who represents San Lazaro Park Properties, tells Realtor.com, “The park owner would like to communicate they are eager and excited to explore the possibility of the residents purchasing the park and will work with them in good faith towards their effort.”
San Lazaro residents are proposing a financing model similar to the one used last year to acquire two mobile home parks in Colorado’s Roaring Fork Valley for $42 million.
According to the Denver Post, that purchase was financed by a $26 million loan, with the remaining funds coming from a coalition of seven local governments that offered forgivable loans or grants, along with contributions from private donors.
Resident ownership on the rise
Esterson, the industry expert, tells Realtor.com that resident ownership of manufactured home communities has grown substantially over the last decade, and the pace is accelerating.
“A large driver is Resident Owned Communities USA, a national nonprofit that provides technical assistance and financing to resident groups looking to buy their communities,” he says.
“In states with strong purchase opportunity laws like New Hampshire, Massachusetts, Vermont, and Rhode Island, over 20% to 30% of parks are already resident-owned. We are seeing legislative momentum and more organized efforts nationally.”
Esterson says owning the park provides residents with stability.
Glenn D. Esterson tells Realtor.com that resident ownership of manufactured home communities has grown substantially over the last decade, and the pace is accelerating.Google Maps
“When residents own the land under their homes, the threat of closure, redevelopment, or abrupt rent escalation is reduced,” he says.
“Manufactured homes placed on leased land tend to appreciate in value because the tenure is secure. Residents also gain governance control, they elect the board, set policy, and direct capital improvements.”
However, Esterson says there are trade-offs.
“Resident ownership doesn’t eliminate the financial pressures of operating a park, it transfers them,” he explains.
“Many communities are carrying years of deferred maintenance, aging infrastructure, and rising tax and insurance burdens at the time of purchase.
“It’s a significant undertaking, and the success of a resident-owned community depends heavily on the quality of its management, its access to capital, and realistic expectations about operating costs from day one.”
Teague says they’re preparing for those expenses, and will do what it takes to keep their village intact.
“We’re a true community, which in this day and age is becoming much more rare,” he says. “We don’t want to lose that.”
