Friday's move comes as the 68-year-old organization deals with a dwindling endowment, a multimillion-dollar deficit, and contentious negotiations with its union staff.
George Steel, the opera's general manager and artistic director, said an announcement on a new home would be made in weeks. He said staff cuts would include administrative positions.
The New York City Opera is revered as a pillar of American culture that has delivered daring new productions and built the careers of such stars as Placido Domingo and Beverly Sills. It has been at Lincoln Center since 1966.
