The New York City Housing Authority (NYCHA) has scrapped a controversial private development on an Upper East Side public housing complex after fierce pushback and a lawsuit against the project.

NYCHA withdrew its application for a 50-story building on a playground at the Holmes Towers development it had planned with Fetner Properties. The building was intended to be the first of NYCHA’s 50/50 projects—rental towers built by private developers on public housing property—and was set to rise 530 feet above East 92nd Street with 339 apartments.