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May 2, 2009
Forest City In The News
Inside Bay Area, My Word: No need for 'interim' parking lot in Uptown Oakland
What do you get when you give Forest City subsidies, but then it decides it can't build? Parking lots!
The Uptown renaissance is occurring despite a huge blemish in the heart of the district — a one-acre mud pit surrounded by an eight-foot chain link fence on the prominent corner of Telegraph and 19th. The future use of this site — flanked by the dazzling Fox Theatre and the handsome Uptown apartments, and located across the street from the art-deco landmark building housing Flora — is pivotal to the continued transformation of Uptown into a vibrant walkable district.
A residential tower has been approved for this lot; but the developer, Forest City, does not anticipate commencing construction for at least three years due to current market conditions.
Some City Council members are advocating for a 120-space interim surface parking lot on the site...
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The parking lot proposal ignores the larger picture. While maximizing parking for the Fox might sell a few more tickets, a surface parking lot consuming an entire city block on Telegraph will jeopardize the revival of the entire district. A one-acre mass of asphalt and sea of cars will deter pedestrians contemplating a stroll up Telegraph to explore the new restaurants, bars and shops.
Shoppers prefer an uninterrupted flow of attractive storefronts and inviting open spaces.
For these reasons, these same City Council members gave Forest City a $60 million subsidy four years ago to eliminate the old surface parking lot at this very site. The previous parking lot was discouraging economic development and investment in Uptown.
Why should we care so much about a temporary parking lot? Because "interim" parking lots often remain for years or decades, depending upon market conditions and developers' whims. The new Cathedral Christ of Light, for example, was built on the site of an "interim" parking lot that remained for more than 40 years.
Cleveland Plain Dealer, Possible expansion of TALF for commercial loans?
by Michelle Jarboe
In Forest City's home base, they know that the developer will look for every opportunity to get its hands on taxpayer loot.
The Wall Street Journal reported this morning that the Federal Reserve is getting ready to announce new terms of a program that might soothe the troubled commercial real estate market.
The Journal cites unidentified sources in reporting that the Fed could expand the Term Asset-Backed Securities Loan Facility, which is designed to give investors low-cost loans to buy securities backed by consumer debt including car loans and credit-card loans. So far, the program has involved three-year loans. But, according to the Journal, the Fed could announce new, five-year loans better-tailored to investors in commercial-mortgage backed securities -- a market that disappeared during last year's financial meltdown.
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You can be sure that local real estate companies -- including shopping center owner Developers Diversified Realty Corp. and Forest City Enterprises Inc. -- are watching closely as the TALF program evolves.
Washington Business Journal, Contractors have filed nearly $28M in liens in D.C., Northern Virginia
By Melissa Castro
Problems with a different FCR "Yard" project seem to indicate financial problems for the developer.
Dozens of high-profile projects are facing liens from hard-pressed contractors. In just one week of March, Forest City Washington was slapped with a $191,460 lien for work done at its Yards project near the baseball stadium, while Faison Enterprises Inc. and Canyon-Johnson Urban Funds LLC got hit with a $118,674 lien at the nearby Onyx Apartments. The CityVista mixed-use project faces a nearly $400,000 lien for work related to Results, The Gym’s outpost there, and Intrepid Real Estate’s uber-luxury condominium building at 2501 Pennsylvania Ave. NW is on the hook for $154,555.
Posted by steve at May 2, 2009 6:08 AM