Paterson's office did not return calls for comment from ABCNews.com, but he told CNN's "Larry King Live" on Wednesday that he is open to finding a compromise site with the Islamic center's developers.
"If people put their heads together, maybe we could find a site that's away from the site now but still serves the ... area. That would be a noble gesture to those who live in the area who suffered after the attack on this country, and at the same time would probably in many ways change a lot of people's minds about Islam, which is really a peaceful religion practiced by peace-loving people," he said.
"There's no attempt at pressure or coercion here. I'd just like to talk about what might be a magic moment in our history."
Meanwhile, House Speaker Nancy Pelosi, D- Calif., has called for an investigation into funding, not for the center, but for the conservative effort to oppose it.
"There is no question that there's a concerted effort to make this a political issue by some," Pelosi told San Francisco radio station KCBS. "I join those who have called for looking into how is this opposition to the mosque being funded."