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June 22, 2009
MTA "Yard" sale: Everything must go, no offer too low!
The Brooklyn Paper, So here’s the deal: Ratner to get huge break from MTA
A Metropolitan Transportation Authority panel has recommended a massive public bailout of the struggling Atlantic Yards project, calling for changes in the project’s financing that would save developer Bruce Ratner hundreds of millions of dollars.
The MTA’s finance committee met on Monday to approve a new deal with the developer, who had originally promised $100 million for rights to build over the Vanderbilt railyards in Prospect Heights, but will now pay just $20 million up front for the prime eight-acres.
The remaining $80 million will be paid out, at 6-1/2 percent interest, over the next 22 years.
Ratner had originally gotten the railyard rights for less than its MTA-appraised value because he also promised $345 million in infrastructure improvements to the MTA facility.
Under the new deal, which is expected to be rubber-stamped by the full MTA board on Wednesday, Ratner would make just $147 million in railyard improvements.
“It’s not quite as good as we had hoped,” said Gary Dellaverson, the MTA’s chief financial officer, who added that the reduced renovations would result in diminished capacity.
NoLandGrab: Presumably, Dellaverson said that with a straight face.
City Room, Developer Seeks to Defer Payments on Atlantic Yards Site
The Metropolitan Transportation Authority, as expected, has offered the developer Bruce C. Ratner, a break on the sale of the Atlantic Yards site in Brooklyn.
Crain's NY Business, MTA gives Atlantic Yards developer breathing room
“This is not a good market for transacting large real estate deals," Mr. Dellaverson said. He added that it was unclear when the financial and real estate markets would rebound so mothballing development plans didn’t make sense either.
...Many residents and legislators are livid that the MTA opted not to rebid the deal, claiming that many of the community benefits have been diluted or erased during the downsizing.
2nd Ave. Sagas, Will the MTA kowtow to Ratner on Atlantic Yards plans?
This deal has the potential to be a flat-out giveaway. The MTA is going to give away valuable public lands. They’re going to give away provisions requiring a modern rail facility. They’re going to gift wrap this for Bruce Ratner.
The MTA has long suffered from a credibility problem. People don’t understand why the fares have to go up. They don’t understand delays and service advisories. What New Yorkers see is this blatant back-room bargaining.
Brownstoner, Big Week for Atlantic Yards Sweetheart Deal-Making
The revised plan is poised to be breathtaking in its concessions to Forest City Ratner.
AP via Philly.com, Transit agency reaches new Brooklyn arena deal
Government agencies are set to approve new deals for a $4 billion plan for a Brooklyn basketball arena and thousands of apartments.
But critics say the developer of the New Jersey Nets arena shouldn't get special government favors to build a scaled-down version of the project.
Nets Daily, ESDC: Further Appeals Would Put Arena “In Jeopardy”
Posted by eric at June 22, 2009 2:50 PM