ARE · News · 20260804N

Kips Bay Project Litigation

ALEXANDRIA REAL ESTATE EQUITIES, INC. · 2026-08-04 · Importance 71 · Surprise 60

Alexandria Real Estate Equities is in a legal dispute with New York City over the third building at its Alexandria Center for Life Science campus in Kips Bay. New York City alleges Alexandria missed a construction deadline and is seeking to terminate the ground lease, while Alexandria alleges that the city delayed the project and favored competing developments. The dispute could expose Alexandria to a loss of approximately $183 million in preconstruction costs. Early court rulings have largely favored the city, and Alexandria's efforts to suspend the default notice have been denied.

Key facts

• New York City alleges Alexandria failed to meet a construction deadline and is attempting to terminate its ground lease in the Kips Bay dispute. source