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July 21, 2006
Joint Partnership Announces Station Square Community Benefits Agreement
Yesterday, Forest City Enterprises, the parent company of Atlantic Yards developer Forest City Ratner, announced a "community benefits agreement" signed with a local development corporation in Pittsburgh.
From the press release:
Details of the South Side LDC-Forest City partnership include: * a commitment to proactively enhance transportation along East Carson Street and alternate routes including: continued operation of the South Sider shuttle, a connection of the riverfront trail network from the South Side to the West End, advocating for the immediate rebuilding of McArdle Roadway and reconnecting the street grid at Bingham Street to Station Square Drive; * the creation of a working group that will include professional staff to work closely with Forest City to improve and provide input on the development; * plans to market and cross-market the existing business community in conjunction with the new development; * a commitment by Forest City to actively participate in community and municipal planning issues relative to the Station Square and the South Side community.
This news also got play in Commercial Property News.
The South Side Local Development Co. in Pittsburgh has endorsed a proposal by Cleveland-based Forest City Enterprises and Harrah's Entertainment in Las Vegas to develop the South Side's Station Square into a $1 billion gaming enterprise.
NoLandGrab: There's been much talk about the recent tinkering with the template for "Community Benefits Agreements." Atlantic Yards opponents point out that many stakeholders in the community have been left out, while the Yankee Stadium agreement was negotiated by local politicians who will have control over funds distributed to the community.
Signing a "Community Benefits Agreement" with a local development corporation, which is a semi-governmental-quasi-public-private non-profit corporation charged with promoting local economic revitalization and devlopment, is a real stretch, and hardly seems to pass the smell test for the definition of "community" typical to such agreements.
Also, both parties in the case of Pittsburgh's South Side have only agreed to work together toward mutual goals. That falls short of what Community Benefits Agreements were originally designed to accomplish.
At this point, CBAs seem to benefit developers as a publicity tool for securing approval for their controversial projects.
Posted by lumi at July 21, 2006 8:22 AM