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June 11, 2012
A successful private-public partnership and one less so
2nd Ave. Sagas
by Benjamin Kabak
And the MTA giveth to Bruce Ratner, and Ratner keeps takething away — over and over again.
In New York, one of the more problematic public-private partnerships has concerned the Atlantic Yards project. While more of a direct sale, Bruce Ratner’s obligations involved transit. In a nutshell, the MTA gave Ratner a sweetheart price for the air rights to the Vanderbilt Yards in Brooklyn with the original promise of a new nine-track train yard for $225 million. In 2009, the MTA agreed to a reduction in the size of the train yard. Ratner would have to build only a seven-track facility instead. A sweetheart deal had just gotten sweeter.
Now, we learn that despite a guaranteed delivery date of 2016, Ratner is facing delays in the construction of the train yard. As The Wall Street Journal reported last week, the delays are due to “higher-than-expected costs and a sluggish economy.” These same excuses have been percolating around the Vanderbilt Yards for years.
Posted by eric at June 11, 2012 11:36 AM