Several lawmakers have withdrawn their support for the state’s project in Midtown Manhattan as new developers rush to offer alternatives for remaking the transit hub.
A lawmaker asked inspectors to look at millions given to the university, which has argued it is a religious institution, not an educational one, to justify its ban on an L.G.B.T.Q. club.
The cloak-and-dagger antics in Queens signal an escalation in the battle between a state agency and James Dolan, the owner of the arena, with millions at stake.