The Hotel Carter stands as a monument to urban decay in Times Square, its lobby covered in plywood after decades of squalor and crime. Opened in 1930 as the Dixie Hotel, it defaulted during the Great Depression and later housed homeless families in the 1980s. Its dark history includes murders, drug use, and multiple titles as America's dirtiest hotel, creating a complex real estate challenge in one of the world's most valuable neighborhoods.

A planned May 6 auction to sell the property was halted when owners, two brothers with other city holdings, convinced a judge to stop the sale. The litigation stretches back more than a decade, tying up what could be a valuable redevelopment opportunity worth millions in prime real estate. Local business groups envision transforming the property into affordable housing for artists and theater workers.

The entrance that once gleamed in neon lights is now a shelter for people who sleep there or inject drugs. Rickety scaffolding creates an imposing tunnel over the sidewalk. The property remains empty since 2015, with its future uncertain as legal proceedings continue. The Times Square Alliance has attempted to improve the appearance with industrial lighting, yet the building persists as a persistent eyesore in Manhattan's tourist corridor.