They encourage and control development in an area.
Internet says:
Public Space/Private Management
The 34th Street Partnership (34SP) is a not-for-profit, private management company organized as a business improvement district (BID). 34SP is funded by assessments on property within its boundaries, fees from Herald and Greeley Squares' concessions, and revenue generated by events in the squares. One of the most ambitious BIDs in the United States, 34SP receives no tax dollars, nor does it solicit funds from philanthropic donors. The public pays not one cent for the outstanding services and capital plant that the Partnership delivers.
The 34th Street Partnership’s management team includes talented professionals in the fields of urban management, sanitation, security, industrial design, graphic design, horticulture, retail services, event planning and management, visitors’ services, and information systems. A privately funded organization with the responsibility of providing sanitation and security services over a 31-block area, 34SP also maintains over 2,000 pieces of street furniture, mostly of 34SP’s own design, and keeps the District green by maintaining trees and planters. Because of the public nature of its endeavors, 34SP cooperates closely with city agencies including New York City's Police, Parks, Transportation, Sanitation, and Small Business Services departments to help ensure the safety and vibrancy of our neighborhood. Our Board of Directors includes District property owners, business owners and residents, the Mayor and Comptroller of NYC, the NYC Council Speaker, the Manhattan Borough President, and representatives from LIRR, NJ Transit, and Manhattan Community Boards 4, 5 & 6.
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