Governors Island stood as a military sentinel in New York Harbor for more than two centuries. But with its enviable location just off the southern tip of Manhattan, it has long attracted the attention of urban planners, who argued it was better suited as a public park or airport. Perhaps it was unsurprising, then, that after the U.S. Coast Guard announced in 1996 it was giving up the island, a fierce struggle ensued between planners and the state and city politicians who would have to find the money for any major development. As they bickered, a remarkable collection of historic...