Video taken by a bystander and posted on Twitter showed people running through the lobby for the exits.
New York Police Department spokesman Stephen Davis said the backpack was found near the entrance to a Niketown store in the building. The bomb squad checked out the package and gave an "all clear" just after 5 PM (local time).
President-elect Donald Trump lives in the tower and has his offices there, though he was at his Mar-a-Lago estate in Florida at the time.
"Police were shouting and telling people to leave," he said.
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