New Hub. City moving on station project. (Image by Hellmuth, Obata + Kassabaum, P.C., and James Carpenter Design Associates/Rendering by Neoscape)

The planned conversion of a midtown Manhattan postal office building into a signature transportation hub is moving forward after years of financial snags. On July 18, New York Gov. George E. Pataki (R) and New York City Mayor Michael R. Bloomberg (R) announced the joint venture developer for the $818-million Moynihan Station project.

Local developers The Related Cos. and Vornado Realty Trust will contribute $300 million to the project, which will convert 300,000 sq ft of postal space into a station with 11 platforms serving New Jersey Transit and linking to Pennsylvania Station across the street. Another 850,000 sq ft will hold a boutique hotel, housing and shops. The U.S. Postal Service will rent 250,000 sq ft.

The design by James Carpenter Design Associates and Hellmuth, Obata+Kassabaum preserves the post office’s facade, similar to that of the original Pennsylvania Station that was demolished in 1963, while incorporating an undulating skylight. The environmental impact statement will be completed next year.