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May 14, 2009

When will MTA get any of FCR’s $100 million? Not yet, so it's worth asking about an alternative fate for the Vanderbilt Yard

Atlantic Yards Report

According to publicly available project documents that outline what is/was supposed to happen between the cash-strapped Atlantic Yards developer Forest City Ratner and the financially troubled Metropolitan Transportation Authority (MTA), the MTA won't be seeing any cash from the $100,000,000 deal until details for the "construction of temporary and permanent improvements" to the railyard are agreed upon. In addition, the temporary railyard, which was supposed to be under construction according to a license agreement, is now nearly two years late.

[A] license for temporary yard work signed 2/14/07 states that, if construction of a permanent railyard does not begin within 24 months, the MTA has the option to ask Forest City Ratner "to fully restore the Present VD Yard Functions" and--apparently, though the language is murky--end the deal.

It's worth asking the MTA whether it renewed the license, and why, or in what circumstances it would restore the railyard functions.

After all, it's been nearly four years, and the MTA hasn't received the capital funds it expected from the Vanderbilt Yard deal.

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Posted by lumi at May 14, 2009 5:25 AM