« In 15 minutes, four ESDC board members approve AY project | Main | Nets get closer to debated Brooklyn move »
December 10, 2006
Press Release - State Lawsuit
Following the vote of the board of directors of the Empire State Development Corporation on December 8, 2006, which approved of the use of eminent domain in furtherance of the Atlantic Yards Project, 13 Rent Stabilized tenants, who live in the footprint of the Atlantic Yards Project at 624 Pacific Street and 473 Dean Street, and who are tenants of the developer, Forest City Ratner Companies, commenced a lawsuit in state Supreme Court against the state agency.
In the lawsuit against ESDC, the tenants allege that by voting to exercise eminent domain and so-called “friendly condemnation” against tenanted buildings that were purchased by FCRC after the Project was announced, ESDC has exceeded its lawful authority:
First, under Article I section 7 of the New York State Constitution, which is implemented by the Highways Law, Article 11, sections 300-315, a jury is required to determine the necessity of using eminent domain to seize property in order to build a private road, and the amount of compensation to be paid.
ESDC is precluded from and has no authority to exercise eminent domain against plaintiffs, under the Eminent Domain Procedures Law, so that FCRC, a private entity, can construct some 16 miles of private roads within the Atlantic Yards Project. In New York, only a jury has the power to make such a determination, which has not occurred.
This limitation on the use of eminent domain to build private roads has been law in New York since 1846. New York is the only state where a jury is required to determine the necessity of using eminent domain, in any context.
Second, any landlord that wants to refuse to renew the lease of its Rent Stabilized tenant, extinguish the tenancy, and evict that tenant, in order to demolish the building, must apply to and obtain permission from the New York State Division of Housing and Community Renewal. FCRC has not done so.
The New York state legislature has given DHCR exclusive and original jurisdiction over a landlord’s proposed demolition of its building housing its Rent Stabilized tenants, and ESDC may not scheme with FCRC to ignore the legal requirements enforced by DHCR.
ESDC, an agency that is wholly accountable to the Governor, cannot lawfully override DHCR’s legislative mandate, ignore the State laws and regulations on demolitions, which govern, and suspend Forest City Ratner Company’s legal obligations, as a landlord, to its Rent Stabilized tenants under those laws and regulations.
The lawsuit against ESDC seeks declaratory and injunctive relief that will prevent ESDC from exercising eminent domain against the plaintiffs in furtherance of the Atlantic Yards Project.
Posted by amy at December 10, 2006 12:49 PM