New York City officials have approved Knicks watch parties outside Madison Square Garden and in Central Park for Game 1 of the NBA Finals on Wednesday. This comes after the city denied permits for similar events last week because the NYPD said some events had become too rowdy.

The city granted a permit for a watch party outside Madison Square Garden, on 33rd Street between Seventh and Eighth avenues, and a second event at SummerStage in Central Park after discussions among the mayor’s office, the NYPD and Madison Square Garden, a City Hall official said. The NYPD will staff both sites.

The permits cover Wednesday only, and officials said they will weigh whether to approve outdoor watch parties at future games on a case-by-case basis.

The playoff run has been a financial boon for the city, officials said Wednesday. The Knicks’ postseason has generated an estimated $202 million in economic activity so far and could reach a cumulative $465 million if the team plays all of its possible home games in the NBA Finals, according to the city’s Economic Development Corporation. Each additional home game is expected to generate about $90 million, the agency said.

"New Yorkers have been waiting 27 years for this moment," Mayor Zohran Mamdani said in a statement.

The about-face follows the Street Activity Permit Office’s decision last week to deny applications for outdoor watch parties at the Garden for both NBA Finals games. That office, which sits in the mayor’s office and makes the final call on permits, had earlier sided with the NYPD, which recommended against the gatherings.

An NYPD spokesperson declined to explain the reversal but said the events are meant to be safe and fun. The department does not issue the permits and only makes recommendations to the city, police said.

Impromptu screenings near the Garden grew rowdy at earlier moments during the Knicks’ playoff run. A spontaneous gathering outside the arena last month drew an estimated 6,000 people who brawled, climbed light posts and drank in the street, police said. Six people were arrested. A separate event on Memorial Day resulted in six summonses for disorderly conduct. The NYPD blamed some social media accounts for riling up the crowds.

The Knicks return to the NBA Finals on Wednesday night for the first time since 1999, with Game 4 scheduled back in Madison Square Garden on Monday, June 8.

Tickets to watch the game inside the Garden can be purchased for $10, according to MSG.