Permits & development · Deals & development · 10/21/2026
Lottery opens for 162 affordable units at 77 Water St office conversion
A housing lottery is open for 162 affordable apartments at 77 Water Street, also known as 1 Gouverneur Lane, in the Financial District. Vanbarton Group is converting the 26-story office building into 648 rentals and adding seven floors. Rents range from $1,056 to $2,823 a month, and applications are due November 17, 2026.
Reported by 6sqftRead the original ↗
What happened
A housing lottery opened the week of October 21, 2026 for 162 affordable apartments at 77 Water Street, also known as 1 Gouverneur Lane, in the Financial District. 6sqft reported the news. The building is a 26-story office tower that Vanbarton Group is converting into 648 rental apartments with 30,000 square feet of amenities.
The affordable units are for households earning 40, 80, or 100 percent of the area median income (AMI). Rents range from $1,056 to $2,823 a month for studio to two-bedroom apartments. Applications are open until November 17, 2026. Questions about the offer go to NYC Housing Connect by calling 311.
Vanbarton bought the building from Sage in 2024 for $90 million. The architecture firm CetraRuddy is leading the project. It adds 50,000 square feet and seven new floors, with studio to three-bedroom apartments. Planned amenities include fitness and wellness spaces, resident lounges, and outdoor areas. The building is a block from the East River, near the Seaport District and the Pier 11 ferry.
6sqft also noted changes to the old building. Citing Untapped New York, it said the rooftop replica of a World War I fighter plane was taken apart and the lobby penny candy store has closed. Citing Crain's, it said the developer plans to remove two metal sculptures and some trees from the plaza and add benches, planters, and a few new trees.
Key facts
- Address
- 77 Water Street (1 Gouverneur Lane), Financial District, Manhattan
- Affordable units
- 162, studio to two-bedroom
- Total units
- 648 rental apartments
- Rents
- $1,056 to $2,823 per month
- Income limits
- 40, 80, or 100 percent of AMI
- Developer
- Vanbarton Group
- Deadline
- November 17, 2026
- Questions
- NYC Housing Connect, via 311
What it means
Tenants and voucher holders
Households at 40, 80, or 100 percent of AMI can apply through Housing Connect until November 17, 2026. The lowest listed rent is $1,056, but the material does not say which rents match which income bands or unit sizes.
Caseworkers
Clients who may qualify should apply before the November 17, 2026 deadline. Direct questions about the offer to Housing Connect by calling 311.
Landlords
This is another office-to-rental conversion adding supply in Lower Manhattan, with 648 units in one building. Owners renting nearby studios to two-bedrooms may see more competition when it opens.
The highlights
- Rents run $1,056 to $2,823 a month for studios to two-bedrooms.
- Open to households earning 40, 80 or 100 percent of area median income.
- Applications close November 17, 2026.
Why it matters
Income-qualified renters and the caseworkers helping them have a new FiDi lottery option, with a November 17, 2026 deadline.
What to do: Apply through NYC Housing Connect by November 17, 2026.
Not known yet
- Which rent applies to each unit size and income band
- Exact income ranges and household-size limits for each AMI level
- Whether vouchers are accepted or set-asides exist for voucher holders
- Expected move-in date
Background
Affordable apartments in new NYC buildings are usually rented through the city's Housing Connect lottery system. Applicants apply online for free, and their applications are randomly ranked. Each unit has set income ranges by household size, tied to a percentage of area median income. Applicants who are selected must document income and household size before they can sign a lease. Some lotteries also have preferences, such as for local community board residents or people with disabilities.
Summary written by Bulwark from 6sqft’s reporting. The original story is at 6sqft.com. This is general information, not legal advice.
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