With regard to Mr. Sitt, after on-again, off-again discussions, the landlord seems to feel that a deal acceptable to him is within reach, according to multiple people familiar with talks. He is now negotiating with the Bloomberg administration for the city to buy a large portion of his property, leaving him a portion to sell or develop. He paid about $100 million over the past half decade to buy up the bulk of the land in the central amusement area.
Also from the article
This afternoon, the Council’s Land Use Committee voted 13-2 in favor of the rezoning plan, which would turn vacant lots now zoned for amusements into residential; and would allow some hotels, retail and indoor amusements in the central amusement area of the historic, if grungy, entertainment hub.