The Garment District was established in 1919 and is the fashion center of New York City. Over the century, garment manufacturing dwindled as the price of floor space increased for firms in the area.

One of the new grant programs, dubbed the CFDA x NY Forward Grant Fund, will provide “partially matching grants” to designers and manufacturers based in New York City’s Garment District. The pilot grant program was also developed by the New York State Department of State as part of Gov. Kathy Hochul’s NY Forward initiative to revitalize downtowns in New York’s smaller and rural communities.

The initiative is one of four Garment District projects the state is focused on reinvigorating. In 2024, the state provided $1.5 million to launch the grant for Garment District-based fashion development studios, manufacturers and brands to expand in-house development and production capabilities.

“CFDA is aware through its 470-plus constituents and industry outreach that garment and fashion businesses often struggle to scale their operations due to a lack of capital for new equipment and a lack of familiarity with how to best utilize new equipment once acquired,” a 2024 Garment District strategic plan stated. “The Garment District and its businesses would particularly benefit from a program that addresses both of these challenges.” 

The program is expected to launch mid-2026 and will be distributed in two rounds, awarding 16 to 20 applicants, according to the CFDA. The first round is set for the third quarter of 2026 and the second in 2027, according to Ralph Lauren’s press release. 

Garment District-based fashion designers and manufacturers interested in learning more can fill out an inquiry form at CFDA’s website.

The second grant program, the U.S. Fashion Manufacturing Fund, is supported by Ralph Lauren and will run from 2027 through 2029, according to the luxury designer’s press release. The initiative will focus on funding creativity and workforce development in U.S. apparel-producing regions. The program will provide partially matching grants to manufacturers investing in new machinery, software and workforce training.

The manufacturing fund will cover 80% of each grant award, with recipients committing to cover the remaining 20%. 

The programs build on the CFDA’s Fashion Manufacturing Initiative that it launched in 2013 in affiliation with the New York City Economic Development Corp., former Theory founder Andrew Rosen, Ralph Lauren and other supporters. To date, the U.S.-based luxury designer has contributed $2 million which provided grants to 54 factories and supported more than 2,000 jobs. Funding for the Fashion Manufacturing Initiative expired in 2024, according to the Garment District strategic plan.

“Strengthening American manufacturing to ensure designers have local partners has long been at the core of CFDA’s mission,” Steven Kolb, CFDA CEO and president, said in a statement. “We are proud to extend our decade-plus work with Ralph Lauren Corp. and expand to a national level while also continuing our local NYC investments alongside our first-ever partnership with the New York State Department of State.”

Despite the state’s actions to revitalize the Garment District, its future is at risk. In August 2025, the New York City Council approved a Midtown South mixed-use plan that would rezone 42 blocks to build residential housing. 

The Garment District had special protections that limited the area to manufacturing and commercial use. The CFDA said in July 2025 that removing the Garment District’s special protections could potentially displace 114 businesses. Additionally, in April 2025, the Department of City Planning report stated the mixed-use development could put 779 businesses located within a half-mile radius at risk, as well as decrease warehouse and industrial space.