« Some confirmation on the ESDC's mystery volunteer: it sure sounds like she's in charge | Main | What’s going on with the Carlton Avenue Bridge? »
June 2, 2009
Not So Suite: Ratner's Faulty Arena Revenue Model
Develop Don't Destroy Brooklyn
No new luxury suite sales over a one year period, and now a reduction in the overall number of luxury suites. Clearly there is no demand for Barclays Center suites. Luxury suites are the raison d'être for building a new arena.
The lack of demand and the reduction of suite sales demands attention towards Ratner's revenue model for paying back the arena bond holders. The revenue model appears to be faulty, making the $800 million arena bond more risky for the bond holders and New York State which would be on the hook if there were to be a default.
NoLandGrab: We're pretty sure this raises no flags in the NYC EDC's sophisticated financial analysis model.
Posted by eric at June 2, 2009 12:04 PM