Daily News from New York, New York • 15

By OWEN MORITZ UrbM Affair Editor with the City Planning Commission, the city's Public Development Corp. and the Department of Ports and Terminals involved. "We have an infrastructure, and we're looking at the potential of the sites," Planning Commission Chairman Herbert Stun said yesterday. Sturz noted that a revived Manhattan Landing would be a logical link between the $300 million South Street Seaport, due to open this summer, and Battery Park City on the Hudson River, and thus continue one of his goals-waterfront development and an esplanade along the length of the East and Hudson rivers. PHILIP E.

AARONS, president of the Public Development said retail businesses would not be emphasized in the revived Manhattan Landing as they were in the original plan, but most of the other Components would be, principally offices and a hotel. The stock exchange, which has seen business booming since last still owns first rights on the site at the foot of Wall St But its present building has undergone a $70 million upgrading where the Grand Central Post Office is located. Helmsley was quoted last month as saying: "New York is the greatest city in the world. Why shouldn't it have the tallest building?" Manhattan Landing was a proposed $1.2 -billion public-private project, announced with great fanfare in 1972! by then-Mayor John Lindsay and Chase' Manhattan Bank Chairman David Rockefeller. Stretching along one mile of the East River waterfront from the Brooklyn Bridge to the Battery, it was to be the home for offices, a department store, a 400-room hotel, 9,500 apart- ment units and a new location for the New York Stock Exchange at the foot of Wall St Some groundwork was laid, but after the stock market went Into a tails-pin in the 70s, the exchange decided to remain at its present headquarters at Wall and Broad Sts.

This, combined with inflation, the city's debt problems and an uncertain real estate market, put a damper on the development plans. BUT THE IDEA has been revived, Three city agencies are exploring; plans to revive the dormant Manhattan Landing commercial complex along the lower Manhattan waterfront, and builder Donald Trump has talked with city officials about acquiring land there for what could be the nation's tallest building. City officials say their talks with Trump have been for what one official calls an "extraordinarily tall" building, one that presumably would top Chicago's 110-story Sears Tower, the nation's tallest building. Trump, in an interview, sought to downplay the talks, saying he thinks the office market is weak now and the' cost of building anything taller than 50 stories is "tremendous." But he added: "If they came out with the right plan, I would be willing to discuss it" RIVAL BUILDER Harry Helmsley is already exploring plans for a $500 million, L550-foot 112-story skyscraper at Lexington Ave. and 44th St, fc.

Par ED MURAWtMSM DALY Waterfront commercial complex would rise at Manhattan Landing. and sources at the exchange said they doubt it would now consider a new home in view of the sizable investment sells old KQ; chars going to wife -ft 'V; v. 7 SfW tributions have been funded out of earnings generated by our long-distance business. The foundation, of course, will derive funding from earnings on its investments, together with periodic contributions of additional funds from Brown said many corporations elect to endow foundations, rather than rely solely on current earnings, "as a means of assuring continuity and stability in their charitable contributions. This is our thinking as well." Brown said the forthcoming divestiture of the Bell telephone companies was a factor in the decision to establish the foundation.

Jin By ROBERT CARROLL American Telephone Telegraph Co. announced yesterday it has sold its downtown Manhattan headquarters and will use the proceeds to create a philanthropic foundation. The purchaser of the building at 195: Broadway, between Fulton and Dey was Kalikow Downtown Real Estate a unit of H.J. Kalikow Co. of Manhattan.

Purchase price was not disclosed. plans in the fall to move its headquarters from the Broadway building to a new building at 550 Madison at 56th St Of the 2,000 people now working downtown, 1,400 will move uptown and the rest will be reassigned to other locations in the city, in the state and in New Jersey, a spokesman said. CHAIRMAN Charles Brown said the proceeds of the sale will provide a substantial amount of the initial capital for the fund, which will make charitable, scientific, cultural, civic and educational grants. The fund, Brown said, "represents a change in the way we will accumulate and disburse funds as charitable contributions, not a change in policy." "Heretofore," said Brown, "our con- winaiaiitfoiiiiiii fir'WrriTti JOHN IIOCA 0A1.V NEWS Toying with their emotions Luton. England CUPD Sant tationmen tore frantically through a truckload of trash yesterday, searching for the source of a muffled cry from within the five-ton pile.

Was there a baby under all that garbage? After several minutes of looking, Stan Anderson found a brown-haired, blue-eyed talking doll still wailing. Lips that touch liquor Barbara Kane and Dino DeLorean click champagne glasses (empty) while remaining locked In a kiss as they pass their own Guinness world record for the longest kiss at Manhattan's Only Hearts boutique. They set the old record of six days In February. Couple have been challenged by another loving twosome In Las Vegas. "We'll go at It for 10 days (until Saturday) and see If there still going," said DeLorean.

Smooch-athon will benefit the Leukemia Society of America. etiaraes I B. By ROBERT GEARTY At Moynihan's request, Breindel resigned from his position yesterday Breindel, of Manhattan, and Prude, who also was charged with destruction of evidence, were released on $5,000 bond each following their arraignment before a federal magistrate. Moynihan, the ranking Democrat on the Intelligence panel, said Breindel had been on the committee staff about eight weeks. WE HAVE NO REASON to believe Police were tipped by a "confidential source" and went to the hotel Monday night, the government said in an affidavit Pol's son indicted Arlington, Va.

(AP The 19-year-old son of Rep. Harold L. Volkmer (D-Mo.) has been indicted on charges of distributing cocaine and conspiracy to distribute the drug, prosecutors said yesterday. A county grand jury returned the indictment against John Volkmer in connection wilh a March 21 police undercover operation, court" records said. Washington (News Bureau Eric Breindel, a Senate Intelligence Committee aide to Sen.

Daniel P. Moynihan with access to top secret material, was arraigned yesterday on charges of heroin possession and conspiracy to violate drug laws, District of Columbia police said. Breindel, 27, a lawyer, and Winston Brown Lee Prude, 34, also a lawyer, and thorough investigation." Breindel, who listed his home address as Gramercy Park North in Manhattan and whose father is a doctor, graduated from Harvard Law School last year and was studying for a doctorate "at the London School of Economics. As an undergraduate at Harvard, he took at least one course taught by Moynihan. Breindel received his top secret clearance after an FBI background check three days before he started the Intelligence Committee job.

Sources indirntH ho FRT ha" in-vestigation to see if any breach in security occurred. that there have been any intelligence were arrested in a nortneast wasmng- Were aires teu in a um ton hotel-eftei-they allcgodly-pareh tesses-attributsMp tn him. ased heroin from an undercover agent, said in a statement issued by his office, authorities said. This is, however, a matter for further.