N.Y.C. Admin. Code § 5-437: § 5-437 Release to owners.

In any case where any street which has been conveyed or ceded to the city without compensation, shall be discontinued and closed and the person or persons who have made such grant or conveyance, or his, hers or their heirs, devisees, executors or successors, are the owners and have retained title to the property fronting thereon, the board of estimate is authorized, on behalf of the city, to release and convey without compensation or upon such terms as may appear to such board to be just and equitable, to such owner or owners, his, hers or their heirs, devisees, executors or successors, all the right, title and interest which the city may have so acquired in and to the part of such street, in consideration of the release by such owner or owners of any and all claims for damages or compensation for and on account of the discontinuance or closing thereof. In such case no proceeding shall be had to estimate such loss and damage as provided in this subchapter.