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November 2, 2009
Compensating Justly? What Is the Property Being Condemned at the Atlantic Yards Site Really Worth?
Noticing New York
This blog post examines how developer Bruce Ratner benefits from eminent domain abuse. He can both underpay for a condo he's planning to take via eminent domain and yet claim over-the-top value for the property he owns due partially to an upzoning given to him via state leadership on the proposed Atlantic Yards project.
Atlantic Yards Report noted that Forest City Ratner wanted to pay Daniel Goldstein an `estimated’ $450 per square foot for his condo in the Atlantic Yards footprint while at the same time FRC is getting state agency blessing to proceed with its (no-bid) mega-monopoly based on a (suspect- we’ll get to that) KPMG market survey that says that the current condo market in Prospect Heights is $470-$1225 p/s/f. Further, as AYR notes, FCR estimated in 2006 it would get $850 p/s/f for its proposed Atlantic Yards condos.
...
Atlantic Yards Report “estimated” the $450 p/s/f offer to Goldstein based on the fact that during the Lehrer program Mr. Goldstein phoned in to speak about the absence of “just compensation,” saying that Forest City Ratner was offering below the $466 p/s/f Goldstein paid in 2003 explaining, "It is even below what I paid for the place... over six years ago, and everybody knows the market is not lower.”
Read the rest to see how the proposed Atlantic Yards project continues to be structured for the benefit of the developer, regardless of whatever public benefits might, or might not, come of it.
Posted by steve at November 2, 2009 4:23 AM