The New York City Dept. of Buildings’ 968-page report on the July 26, 2023 incident—written in concert by the NYC Dept. of Investigation and engineering consultants Gilsanz Murray Steficek (GMS)—is prompting new fire-safety requirements for diesel-powered tower cranes operating citywide. City leaders say the findings underscore the need for tighter protocols on equipment inspections, fire suppression and operator oversight.

Buildings Commissioner Jimmy Oddo called the accident a “nightmare scenario” for the industry and noted that the city has “already implemented new changes to help prevent it from happening again.”

A Chain of Failures

According to the report, crews were using a Favelle Favco diesel-powered tower crane owned by New York Crane & Equipment Corp. and operated by Cross Country Construction for concrete placement when a hydraulic hose near the engine compartment detached from its crimp fitting. The failure is believed to have released hydraulic oil that ignited upon contact with a hot surface on the crane deck. Temperatures in the compartment reached an estimated 900°C as the fire spread.

The crane collapse and fire occurred after this failed hydraulic hose, with spiral delamination, detatched from its crimp fitting. Photo courtesy of NYC Dept. of Buildings

The operator attempted to put out the flames with an on-board extinguisher but was forced to descend the tower to escape the blaze. The fire critically damaged the luffing rope supporting the crane’s 165-ft boom, which then failed, sending the boom onto 10th Avenue and striking the facade of the adjacent 555 10th Avenue building. Workers on the site suffered minor injuries. 

The report says casualties were "likely" prevented because the project's general contractor, Monadnock Construction, swiftly shut down surrounding streets.

"By doing so the industry can learn and promote among employees the importance of prompt action from this example," the report states.

Monadnock said in a statement provided to ENR that it has "a 50-year track record of safely managing complex construction sites and appreciates that the decisive, life-saving action by our team on the day of the incident is the only reference to our firm in this report and it notes that that those efforts should set the standard for the construction industry." 

New York Crane & Equipment Corp. could not be reached for comment and Cross Country Construction did not provide a comment before publication.  

Regulatory Response and Violations

In the aftermath of the collapse, the city issued four violations to general contractor Monadnock Construction and crane user Cross Country Construction for failing to safeguard the site, maintain housekeeping standards and implement adequate safety measures.

A spokesperson for Monadnock said that one of the three DOB violations citing their firm for a missing handrail was dismissed, and one violation citing general housekeeping after the incident was cured immediately. A third violation for failure to have ensured that a daily inspection log was maintained is being contested in the New York State Supreme Court, New York County.

Citing the investigation’s findings, DOB has now made the manufacturer’s previously voluntary fire-safety recommendations mandatory for all diesel tower cranes in New York City. Every unit operating in the five boroughs must now include fire suppression and detection systems in the engine-compartment area, along with enhanced inspection procedures.

The agency has also strengthened oversight of lift directors—who supervise crane movements, jumps and load picks—by adding new registration requirements and experience thresholds. Additional reforms enacted since 2023 include a new licensing class for operators of smaller hoisting devices such as knuckle-boom trucks, minicranes and telehandlers. Any equipment rated for 2,000 lb or more must now be operated by a DOB-licensed professional with at least 3,000 hours of experience.

Parallels to Earlier Accidents

Investigators also reviewed global incidents involving similar Favelle Favco models and found the circumstances closely mirrored tower-crane fires and collapses in Sydney in 2012 and Melbourne in 2016. After those events, the manufacturer issued a technical bulletin to crane owner NYCE recommending optional—but not required—enhancements such as leak-inspection protocols, engine-compartment fire suppression systems, fire detection devices and additional extinguishers near the crane cab.

The report says that while the bulletin "was not mandatory, NYCE should have implemented some or all the recommendations and informed the equipment user (CCC)" of the bulletin "so they could have taken appropriate measures."

Industry Impact
DOI Commissioner Jocelyn Strauber said the incident highlights the importance of “robust safety protocols,” noting that the investigative work has already accelerated industry-wide improvements.

The city is reviewing additional recommendations from technical consultants—including Crane Tech Solutions, TJ Russo Consultants and Edgett Williams Consulting Group—aimed at further modernizing New York’s crane regulations. DOB officials say they will continue collaborating with the City Council and industry stakeholders to enhance standards.

“This investigation offers critical lessons to help prevent future incidents and informs new fire safety requirements for tower cranes citywide,” Jeff Roth, deputy mayor for operations said in the statement.