A groundbreaking $1 billion initiative aimed at transforming New York City neighborhoods will reshape both the construction landscape and workforce dynamics. The plan includes a $270 million redevelopment of Willets Point in Queens, which is set to include the city's first soccer-specific stadium and could pave the way for $50 billion in additional projects.

Under two new project labor agreements (PLAs), New York City Mayor Eric Adams announced that more than $1 billion in construction projects would move forward, with a focus on job creation and equitable workforce opportunities. These agreements include $270 million for the redevelopment of Willets Point, which will bring 2,500 affordable homes, over 20,000 square feet of retail space, a 250-key hotel, and the city’s first privately financed soccer-specific stadium, supported by the New York City Football Club.

The PLAs, negotiated with the Building & Construction Trades Council (BCTC) of New York, involve a design-build delivery method that streamlines construction timelines. The agreements also set hiring goals for underserved communities and promote contracts for minority- and women-owned business enterprises.

In addition to the Willets Point project, other key initiatives under the new PLAs include:

• A $150 million greenway along the East Side Coastal Resiliency project in Lower Manhattan.
• A $40 million deep sewer manhole project in Brooklyn.
• A $240 million bridge and roadway improvement project on Belt Shore Parkway in South Brooklyn.
• A $100 million waterfront dock and bulkhead reconstruction project at the Port Richmond and Rockaway Wastewater Resource Recovery Facilities in Staten Island and Queens.

Mayor Adams highlighted that the agreements lay the groundwork for even larger projects, with the potential to support up to $50 billion in future city initiatives. One example includes the New York City Economic Development Corporation's letter of intent with BCTC to negotiate additional PLAs for major projects such as the Hunts Point Produce Market, the Kingsbridge Armory redevelopment, and the Science Park and Research Campus (SPARC) in Kips Bay, totaling $1.88 billion.

Transforming Willets Point

The redevelopment of Willets Point represents a monumental opportunity to revitalize a historically industrial area. Known for its auto shops and junkyards, Willets Point was famously depicted as the "Valley of Ashes" in F. Scott Fitzgerald's The Great Gatsby.

“The work being done at Willets Point is a generational opportunity to transform what was once a dumping ground into a vibrant community that is a model for public-private partnership,” said Andrew Kimball, president and CEO of the New York City Economic Development Corporation. “We are showing our commitment to increasing union labor.”

The $780 million construction of the New York City Football Club's 25,000-seat stadium will be led by Turner Construction, with AECOM supporting the broader redevelopment effort.

New Approach to Project Delivery

The design-build method, where design and construction are combined into a single contract, marks a shift in New York City’s approach to project management. The streamlined process is designed to reduce project timelines and enhance efficiency, according to Mayor Adams.

Gary LaBarbera, president of the BCTC of New York, emphasized that the PLAs are key to not only driving large-scale infrastructure improvements but also ensuring equitable workforce opportunities.

“Project labor agreements make projects more efficient. They actually save money to the capital plan and the capital budget, which creates more opportunity,” said LaBarbera during a press conference. “This is just not a construction job. It is a pathway into the middle class, building a stronger middle class, a stronger blue-collar middle class.”

The PLAs also signify a new collaboration between unions and minority- and women-owned business enterprises (MWBEs), historically seen as incompatible. Under Mayor Adams' administration, the city is working to connect MWBE contractors with unions through mentorship programs, expanding opportunities for these businesses.

Michael Garner, the city's chief diversity officer, noted that “Access to contracts equals job creation in those communities of color who have historically been shut out. It also equals homeownership opportunities for the business owners, better education opportunities and healthcare options for their respective families.”