Public-Private Partnerships

If all goes as planned, Midtown Manhattan will soon add a high-rise to its skyline substantially taller than the Empire State Building. In exchange for the gargantuan skyscraper, commuters would receive some $210 million of improvements to Grand Central Terminal, easing congestion. This pact would not only serve as a towering example of how cities rely on partnerships with the private realm to build civic spaces, it would also demonstrate how these arrangements influence the very projects architects design.

Over the past two decades, cities across the country have been turning to the private sector to help build schools, libraries, parks, and infrastructure. In recent years, the practice has become almost commonplace as municipalities grapple with budget shortfalls, high land prices, and a public that bristles at tax hikes. Today, the average American city relies on the private sector to help it perform a third of its municipal services, according to the National Council for Public-Private Partnerships, a nonprofit group. That proportion is sure to grow.