Honestly, if you’ve walked past the corner of 7th Avenue and 31st Street recently, you probably noticed something felt... off. The grand awnings are there. The towering 31-story brick facade still looms over the Penn Station crowds. But the vibe is gone. No bellhops, no tourists frantically checking Google Maps, and certainly no check-ins.
People keep asking: what happened to the Stewart Hotel New York City?
The short answer? It’s not a hotel anymore. It hasn’t been for a while. If you were hoping to book a suite with a view of Madison Square Garden for your 2026 trip, I’ve got some bad news. The building is officially undergoing one of the most massive residential conversions in Manhattan history. It’s a wild story that involves a $255 million sale, a stint as a migrant shelter, and a future as a massive affordable housing complex.
The End of an Era at 371 Seventh Avenue
For decades, this place was a staple. It opened back in 1929 as the Governor Clinton Hotel. Think Romanesque arches, Italianate stone details, and that old-school New York grit mixed with glamour. Over the years, it changed names like some people change socks—it was the Southgate Tower, then the Affinia Manhattan, and finally the Stewart Hotel.
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But the pandemic was the final nail in the coffin. While other Midtown hotels eventually reopened their doors to tourists, the Stewart stayed dark. In 2022, it shuttered its hospitality operations for good.
For a minute there, it served as a temporary shelter for migrants as the city struggled with a housing crisis. It was a weird, liminal space for the building. But as of late 2025 and heading into 2026, the deal is done. Slate Property Group and the nonprofit Breaking Ground closed on a $255 million acquisition. They aren't bringing back the room service. They’re turning the whole thing into 579 permanently affordable apartments.
Why You Can’t Book a Room (and Where to Go Instead)
I still see travel sites listing the Stewart Hotel New York City as "temporarily closed." Don't fall for it. You can't stay there. The "temporary" tag is just a ghost of the internet.
If you’re a traveler who loved the Stewart for its location, you’re basically looking for that "Penn Station adjacent" life. You’ve got options, but they aren't quite the same. The Renaissance New York Midtown is right there if you have the budget. For something more boutique, The Gregory or The Herald 8 are nearby. But the Stewart’s specific brand of "huge rooms with kitchenettes" is officially a thing of the past.
Construction is already kicking off. Because about a third of the old hotel rooms already had those little kitchenettes, the developers are actually saving a ton of time. They aren't gutting the whole thing to the studs; they’re merging rooms and upgrading systems to make them actual livable homes.
The $500 Million Facelift
It’s not just a paint job. We’re talking:
- Total replacement of mechanical and HVAC systems.
- Converting the famous ballrooms—where FDR once dined—into social service offices.
- Merging 611 hotel rooms into 579 studio and one-bedroom units.
- Projected completion? Late 2027 or early 2028.
The Misconception About "Affordable" in Midtown
When people hear "affordable housing" in the middle of Manhattan, they usually assume it’s a pipe dream or a scam. But this project is part of a real shift. New York passed the Housing Our Neighbors with Dignity Act (HONDA), which basically makes it easier to turn dead hotels into permanent housing.
The Stewart is the flagship for this. It’s weird to think that a place where people used to pay $400 a night for a "Deluxe Queen" will now have rents ranging from roughly $1,385 to $1,731 for low-income New Yorkers.
A Ghost Tour of the Architecture
Even if you can’t stay there, the building is still worth a look from the sidewalk. It was designed by Murgatroyd & Ogden along with George B. Post & Sons. If those names sound familiar, it’s because they’re the same folks who did the Barbizon Hotel for Women.
The Stewart Hotel New York City is famous for its setbacks and crenelated cornices. In plain English? It looks like a stone fortress. It actually has an underground tunnel—now sealed, mostly—that used to connect directly to the subway and Penn Station. Imagine the 1930s: you hop off a train from Chicago, walk through a private tunnel, and you're in the lobby of the Governor Clinton without ever touching a raindrop.
What This Means for Midtown Travelers
The loss of the Stewart is actually a bit of a blow for the "mid-range" traveler. It was one of the few places where you could get a massive suite for a family without spending $1,000 a night. Now, that corner of 7th Avenue is going to feel a lot more "residential."
You’ll see less luggage on the sidewalk and more people carrying groceries. It changes the energy of the block. For a long time, this was a transit-heavy, transient zone. Now, it’s becoming a neighborhood. Sorta.
Where to Pivot Your Travel Plans
If you were a Stewart loyalist, look at these instead:
- The New Yorker Hotel: Just a block away. It’s got that same Art Deco soul, though the rooms are... cozy. (Read: small).
- Hotel Penn? Nope, that’s gone too. Demolished.
- Motto by Hilton NYC Chelsea: It’s a bit further south, but it captures that modern, efficient vibe if you don't mind smaller square footage.
The Verdict on the Stewart’s Future
Is it sad to see a 100-year-old hotel die? Maybe. But the building isn't being torn down. Unlike the Hotel Pennsylvania across the street, which was reduced to a pile of rubble, the Stewart’s bones are staying put.
It’s a win for the city’s skyline and a win for people who actually live here. But for the tourists who loved the Fitzgerald Ballroom and the view of the Macy’s Thanksgiving Day Parade route? Yeah, that chapter is closed.
If you’re still seeing "Book Now" buttons for the Stewart Hotel New York City on random discount travel sites, be careful. Those are likely outdated caches. If you show up with a suitcase in 2026, you’re going to find a construction site and a very confused security guard.
Actionable Next Steps:
- Stop searching for bookings: Any site offering a room at 371 Seventh Avenue for 2026 is a technical error or a scam.
- Check the neighborhood: If you need to be near Penn Station, prioritize the Staypineapple or Arlo Midtown for a similar "walk-to-the-train" convenience.
- Watch the transition: If you’re a fan of NYC architecture, keep an eye on the exterior; the developers are required to maintain the historic facade, so the "Governor Clinton" aesthetic will remain a Midtown landmark even as the interior changes forever.