| Eminent domain increasingly used in NYC private gain...."This sends a message, loud and clear that in the Big Apple, the American dream is subject to the whims of a tax-hungry govenment and land-hungry developers." -Christina Walsh, Institute of Justice, Arlington VA, Letter to NYPost 12-24-2007 on NYC and approval of COLUMBIA U expansion plans, and NYPost Editorial bashing those fighting it, "Let Columbia Grow."
CBA [Community Benefits Agreements] enforeable contracts? They may have some "wiggle room" but so much as the democratic process, or actual community at large is frozen out, as is the practice now in NY that the CBA may be challenged over "Lack of Consideration" between the politicians and private parties concerned. The Council is [prob. illegally] making deals on [union-]hiring and wages, and 'stuff' for all their buds [DOES so turn into kickbacks..] in project-breaking CBAs beyond what is allowed under URLURP/the City Charter. ULURP "Under the Bloomberg administration, land-use review has been turned into an opportunity for virtual extortion. In their eagerness to advance projects, the mayor and his team have encouraged such practices, saying these are private matter between developers and community parties-although they denounce them privately as corrupt." [-Alair Townsend, Sept. 14 - 20 CRAIN's NY Business]."Dangerous precedents have been set. We need more principled leadership from the mayor and the council speaker." - - She usually brown-noses them in print. But why ask why! It's the votes these activist blocks can deliver [or not], they savour as much as the development deal for their buds. PILOTs$ 7bil in City land off the tax rolls? $1.5 billion NYC commitment to Mets, Yankees, Nets construction! PILOTs as bond payment to pay off stadium construction costs and such, instead of taxes? -"[How a business entity can pay "taxes" on property it doesn't own and then use them to pay off its own private bonds is a matter understood only by IRS bean counters.]"-Neil deMause, "Dumb and dumber: the MSG tax wars" Metro 1-14-2008. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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[TOP] NYC Boondoggles NYC Parks Pay to Play Washington Square Macombs Dam Park Silence of the Trees.
Union Square - Hudson River Park - Ferry Pt. Park Golf - South Bronx Greenway NYC Water Supply- Leaks, Filtration plants MORE Government-Private Mutant Projects Governor's Island The New mid-West Side
Moynihan Station Upper West and Lower West Side: Batter Park City North. Columbia U North. U. N. PIER 17 South St. Seaport
BRONX - QUEENS - S. I. Fun and Games Grease Up the Pols
Yankee Stadium
Brooklyn served up hot to developers Atlantic Yards Brooklyn Bridge Park - Empire Stores Warehouse Cruising
Albee Sq Mall [BOTTOM]
Fiascos of Brooklyn Bridge Park and Governors Is.
"City officials have quietly floated the takeover of the waterfront park and Governors Island, two projects that could benefit from a portion of some $300 million earmarked for the delayed Jacob K. Javits Center expansion project."[!] Brookln Bridge Park is short at least $120 mil.-see DailyNews 3-13-2009. New city built parks are relatively dumps compared to what the State involved NYC parks [as Hudson River Park, Manhattan and Gatnry Park QNs ] turn out to be, despite unfortunate delays and high costs.
JUST as with the force behind demolition of PIER 17 / South St Seaport rebuild, THOR is primarily a MALL developer! LOOK at other projects. Read on down. In nearly every case of development the city has its hands in, a mall or such runs though it! Though the Mayor is not beholden to, is not in the "pocket" of mall developers, he sure plays that way! Or he just putting US in their pocket!
No. 3 Stephen Ross, CEO-Chari The Related Companies.
Mr. John Gallagher left as a spokesman for the Mayor in JUNE 2008. Don't worry, he was named in August as a Director and Vice President of Public Affairs at Tishman Construction..
Chief of Staff to Doctoroff, James Whelan, left NYC govt JAN 1 2008 for Muss Development Co. Marc V. Shaw was a former Deputy Mayor who works for Extell Development.
Despite his posturing about public financing of such things as stadiums, "Mr. Bloomberg ,,has proven to be every bit as generous as his predecessor
Merrill Lynch was courted by VORNADO to partner in a new tower on the site of Hotel Pennsylvania. Though [__ 2008] they seemed to rule that out, VORNADO early 2009 applied for NYC to rezone parcel, will use other zoning bonuses available so when demolished they can build one of the tallest buildings in NYC.
Merrill Lynch is trying for City $$$ subsidy to remain in Manhattan. 20% of Bloomberg LP is owned by Merrill. Doctoroff was in thick of those negociations, amongst so much stuff- - the Mayor takes pains to at least give appearance of avoiding conflict of interest. NYC Conflicts of Interest Board - Bloomberg complex "understanding" and agreement of 2002 is for Mayor to keep out of day-to-day affairs of his company and avoid anything to do with city business involving Merrill Lynch [-S. Kovaleski/ R. Rivera "The Roles Blur For the Mayor And the Mogul" NYTimes 12-8-2007]. And what of the overlapping roles of the man, his company, and the City in city BOND issues and renegociation of VERIZON cable franchise.
Doctoroff took NYC for a ride with his roles in OLYMPICS NYC 2012, Moynihan Sta - Hudson Yards, Atlantic Yards, PLaNYC and congestion pricing. How much profit was delivered to mostly to how few top connected fellow financiers and developers? Financier Doctoroff himself could afford to take a "$1" city salary but other perks are worth far more...
Discrimination / harassement lawsuits against Bloomberg LP busted open some info on the extent of Mayor's role in the company. The Mayor does have regular private high level meetings with company leadership that surely are more than just "golf talk" and staying in touch.
Giveway: CONEY Is. boardwalk in bad shape. ol wood being replaced withe concerete or composite planks. Contractor hired by NYC gives away the salavageable wood to "Old Good Things" shop, who are selling funiture made from them at quite a tidy sum. HOT and NOT SPOTS: *Biggest NYC rezoning passed SEPT 10 2007 for JAMAICA Qns.* *NIMBY - no new ENERGY for NY practically for decades! NIMBYer blocked Chelsea elec substation [See MORE->]for a very loong time, NO power production in LI on LI sound but NO elec cables UNER it, NO Broadwater liquid natural gas incoming facility in LI Sound and no gas lines across it, all blocked by f___ CT elitests and environmental activists who consume their own megawatts just for their wine chillers I'm sure!* SOLOW 1Av properties. NO start, in default of a payment and letter of credit on 2004 $490mil letter of credit for the project which was expected way back. "He" even just reached "final" agreement on the overall scope with NYC, MAR 2008 for cleared former Con Ed land just south of UN. Jets-Westside Stadium-Exposition Ctr dead. Queens Olympic Ctr dead. NYC bombed in final rounds of OLYMPICS 2012 site pick. NYC will not be allowed to make US Olympic bid for 2016. The Jets played for the best deal with the GIANTS by playing their QUEENs card met with officials there [they never did want to go back] but co-development agreements of 2006 with GIANTs lead to financing deals finalised AUG 2007 with SEPT 2007 groundbreaking expected. NO Guggenheim mega-museum as briefly mentioned as part of westside stadium area plans[?] |
Government Busts and Boondoggles
Mired in lawsuits, advocacy group challenges and impossible bureaucracy:
*NYC Accessible taxis* *NYC scheming to take back "its land" given to 7th Regiment in 1874 [where they or the State built the Armory] only as long as it is used for military purposes! at 67st-68st Park-Lex. Seventh Regiment Veterans and DAV July 31 2007 are suing to void lease to Seventh Regiment Conservancy which was given the 99-year lease by NY State in 2005 -instead of Veterans group[s]- and made connections and bidded for operators of new 1500 seat "visual and performing art" centre and luxe restaurant which will deny public access to any restored historic interior space and discarded a "promised" military museum. Its affluent, connected Upper East Side neighbors are taking sides.* *RIKERS ISLAND Correction Dept Commissioner moving havoc from Astoria to various city neighborhoods as the wants to close the place and to open jails close to the courthouses in each borough.*
Public bathroom program in doubt as communities fight them. Getting street toilets has been a f-up process since 1978. The first of the pay self-clean toilets was opened 1-1-2008 - but the catch is this and the others will be open only from 8am-8pm. So why bother? Thanks a lot, Mr. Doctorff and Mr. Mayor! In the early 1990s when it looked like we would finally benefit from new bus shelters and some public toilets, activist politically-correct handicapped advocates [no separate but equal handicapped and non-handicapped toilets they said] and artsy ol farts [oh, we don't like advertising in the kiosks] killed further installation of FRENCH kiosk toilets that were installed successfully at City Hall Park. NYC had to start all over. The current deal was almost derailed again in a 2005 by a competitor claiming just bidding and another lawsuit by 2 losing bidders AUG 24 2006 saying the city changed rules and played favourites by letting CemUSA adjusted its bid 3 times!
When did the Bloomberg Administration know that it was replacing parks lost to the new Yankee Stadium with polluted land? That was the question City Councilwoman Helen Foster asked [6-24] at a hearing on the project's delays." P. Arden amNY 6-25-2008. Looks live NYC cover-up, stonewalling initial environmental review results. YANKEES and NYC claims about equivalent replacement parks are LIES. NYC parks Advocate groups late OCT 2007 told public 45% of promised "new" park are underutilised/underdeveloped existing park and one schoolyard, and partly more than a mile away- most of the replacement softball fields will be artificial turf top of a new garages! YANKEES seized much of Macombs Dam Park and part of Mullaly Park as private property AUG 13 2006 just ahead of Yankee Stadium groundbreaking AUG 16 2006. The last bit of Macombs Dam Park was closed NOV 12 2007, for construction of Garage A, with artificial turf playfields on top as part of replacement park area, none of which are ready for the Little Leaague, etc. Half-hearted promises to save any of ol Yankee Stadium were lies. The gutted shell will be demolished started the beginning of NOV 2009. We do not know if the Parks Dept will listen to pleas to save ol Gate 2 for an entrance [see links list above] to the new park on site. The last[?] lawsuit against the parks seizure / Stadium package was AUG 2 2006 by "Save Our Parks" was -de-balled- on legal-bureaucratic technicalities stopping group from using its biggest arguments because they did not bring the issues up at earlier "administrative review process" so all they could claim to stop the whole project was the plan made them cut down mature tress in the park. [See MORE-> on Yankee Stadium.] NOTE: *Central Parking at Yankee Stadium is run with agreement with NYC Parks Dept OCT 2007 playoffs price-gouged cars $50 to $150 reported, city will "investigate, yeah sure.*
Work in the rest of the park is still to start. The FULL PLAN stayed SECRET even while preliminary work started late 2007 and removal of the central fountain and cut down of some trees happened until it was observed. A July 2005 "last-ditch" lawsuit aimed to the Washington Sq Park project and force some design concessions was just the beginning of a long, near futile battle. NYC Parks Dept. and the Mayor do what they want. Various State/appeals Courts found that is within their power. The public to has no right to [interfere]! In OCT 2006 West Village Committee found in the construction bid package that 32 trees to be cut that are not mentioned in the SEPT 1 2006 Environmental Assessment, one reason may be more lawn area. Problems kept popping up as the design was further but actually only 1/4[!] revealed July 2007 in response to community anger and lawsuits. 'Litigation' prevents PARKS from showing the whole design, somehow, they said. Full skeletons and bones were unearthed midJAN 2008 in "test spots" and an evening protest was held 2-6-2008 against the desecration of this historic former potter's field [1707-1825]; the presence of which were warned about as part of one of the last lawsuit. Stuff was hauled away, no one knows what, no archeologists or such were to be seen, though Benape, Parks Commissioner says an archeologist is involved. Should we even believe him considering the sorry record of the Bloomberg administration with public access to public space and information? In APR2007 the [have no power over any of it] Community Board 2 voted to withdraw its MAY 2005 approval until they could actually SEE the plan, which they never did. DEC 3 2007 a judge [Joan Madden] tossed out last environmental lawsuit; gave OK to start the re-build. *GOLF Course at long-partially developed Ferry Point Park New deal will cost at least $43mil spent already + $80mil or more will be borrowed for a 2013 opening.. figures cited in Yost 8-17-2009 are a year after [JUNE 2008-] Bloomberg "talking" with Sanford Gold Design for unconfirmed approx $60 million to build it. [-Daily News 6-17-2008] Daily News 11-3-2006 reported "Links plan voided after News Reports re "mob" ties. City terminated the contract agreement by NYC with Ferry Point Partners over "lack of construction progress" NOV 2006 but legally it is "without cause" so it HAD to pay $7mil MORE. "The city has lost more than $25 million in overpayments and potential earnings.." audit released by Comptrollor 10-25-2007 showed LAWS, a subcontractor collected $15.3mil in tipping [dumping] fees of which $5 cubic yard unloaded went to org crime. The subcontractor, LAWS Construction, was able to continue to dump [289,000+ cubic yards] fill until MAY 2008 and collect fees until June 2 2008! NYC will take over, and dumb ANOTHER million cubic yards of fill [but save on the fee], says B. Egbert, Daily News July 1 2008! City overpaid the developer $6million on top what should have been $1.2mil for methane gas remediation.[-B. Kates, Daily News 10-26-2007] Original push for the golf course came in 1998 from Guiliani expecting a pro course to open in 2001 for $22.4mil. The ONLY work done was trucking 1.5 million cubic yds of dirt there then the trucking company planned to put 850,000 yds more on top of that!* *Another BIG load of S-> At future COLLEGE PT [QNS] Sports Park, the owners of Enviro-Fill, contractor for Sports Assoc were defendants in criminal case [some charges still pending in 2009] in 2001 with 734 criminal charges against the Enviro-Fill owners. Enviro-Fill charged subcontractors to dump thousands of tons of illegal dirty fill [waste etc]. By "cooperating", the owners [Casalino bros] pleaded guilty only to a single misdemeanor "knowingly [causing] the release of more than 70 cubic yards of solid waste" and in 2004 required only to pay $250 criminal restitution, NYC went to go to court to be allowed to sue for $16.5 million damages: "Appellate Division, second department, found that an earlier $20,000 criminal award does not collatarlly stop the city from pursuing civil damages." [!] [-NY Law Journal 1-26-2009]. AND SO - how f__ up are the NYC process[es] which got it to this point?
Hudson River Park NY State and city project, underfunded in 2007 and after 9 years of work was only 40% complete. Politicians especially the late [oop..] last Governor made much hay over, never failed to show up for photos each time a new part started or was opened. They are trying to ram over development of PIER 40 is otherwise the primary source of funding upkeep..but note something HAS to be done $125+ [no, $168mil] repairs needed to the Pier oh by 2010-2011 or else the thing might start to fall into the river...MAR 2008 sections of the parking were CLOSED because of decay found at engineer's inspection. [then there are the changing plans for Pier 57/ at 15 st, the 'Cipriani Leondardo' plans gone. Three new proposals were received bymid OCT 2008 deadline.] The Mayor backs proposal by The Related Companies to turn 14-acre former working pier with parking [and now sports fields] now owned by the Hudson River Park Trust into a major tourist and retail draw with aims to generate more revenue for the Trust. This proposal was rejected by the Park Trust in MAR 2008. Any "Pier 40 Performing Arts Center" with cinemas, a home for Cirque du Soleil, and events halls that will probably draw more people from NJ than locals. I would not want to schlep over there from the subway to see anything! Even as NYC sent cruise ships packing off to Brooklyn and Bayonne NJ there was NO thought to using Pier 40- for ships, which could still be compatible with the recreation uses! By the way, the TRUST is at least $120+mil short of funds to finish its grand plans for the riverside park, after they tore down existing facilities off Tribeca that no one knows when they will be replaced and boy is the community pissed! Another finalist developer was more favored by the community than the Park Trust favored more conventional community-recreation facilities. The problem is this is -like the ol cruiseship piers [used as exhibition spaces], JAVITS Ctr and Chelsea [rec] Piers are this would create ANOTHER major west side facility on the river with NO transit access besides any bus services provided. F_ the developers for once, leave the greed and added traffic mess behind! *"SOUTH BRONX GREENWAY" at Hunts Point with paths reaching towards proposed water park -next item- was announced by Bloomberg NOV 20 2006..local politicians that have been hostile to Bloomberg gushed about how it shows that **GEE, Bloomberg actually does care about the Bronx. City tax breaks and funding still not settled.*
NYC said the ruling applied to what is done AFTER fields are built - but if that stands, they [we] still will need the money from that deal with the Sports Foundation! The project due for fall 2009 was about 32 percent complete in MAY 2008 as another State judge ruled that NYC would have granted Land Use approval [as normally required] if it had been pursued anyway NA NA NA NA! No matter that a state judge JAN 2008 said the city had a false "substantial completion" argument which NYC said negated a ULURP review required of any concessions of this type. This is a big lie by NYC about the scope of the work, classifying it as a renovation to bolster its arguments that NO mandated and customary environmental, and Council plus Community Board reviews of the project were required. after the fact that NONE was done. NYC probably will appeal and it is soon back to court over lack of prior Environmental Impact Statement [EIS]. Bloomberg said [in PlaNYC] "plant a million trees"! Gonna need because of Parks projects where they are ripping down mature trees, besides on Randall's. There are 20 acres of naturally re-forested abandoned Ridgewood Reservoir about to be cut for new plasti-turf ballfields. NYC Parks DEPT refused press request for forestry permit for the Randall's Island tree cutdown. It stonewalled a judge on this, too. Park tree cutting is illegal without a permit- but so far it looks none were issued (or requested) [-METRO, 4-14-2008]. R I Sports Foundation and Sportstime [mfg of existing courts] just starting construction [APR 2008] 25,000+ sq ft facility w 20 tennis courts and 1,000 permanent - 3,000 temp seat tennis stadium is? ULURP is MANDATORY for "major facilities" and those of 15,000 sq ft of concession on PARK land. The public will get to play, but it is PRIMARILY a production for use of Sportstime World Team Tennis. This is another no-bid no-land review concession Mayor-Parks Dept awarded; because of this it may shortly be bitterly fought. IS this land that was for a new 26 acre water theme park the Mayor cancelled [SEPT 21 2007] at the [north part of] Randall's. It was 6 months behind schedule, developer did not get financing so it was defaulted with agreement of early 2007. Comptroller said the Mayor broke the rules with his PARKS DEPT giving them an extension, keeping Aquatic Leisure/ Aquatic Development Group of Cohoes [Hudson Valley, a Pataki "friend?"] more time instead of issuing a new RFP... Their agreement with NYC was a 35 years concession to operate it. This Theme park would have destroyed the ball fields there. The last water park scheme doubled in size and went up in cost by 400 percent since the water park was 12 acres proposed in 1999. amNewYork 2-13-2007 reminded us that 64 playing fields in 64 parks [about 10% of all parks playing fields] ALREADY locked and maintained under private control. They are better than what Dennis Hamil [-see DailyNews borough ed. 6-16-2009 "Parks Department is a disgrace to the city"] found from experience with his son in Little League found universally poor condition of Parks Dept [NON-]maintained ball fields in much of Queens )(especially huge problem of closed restrooms). Other playing fields on city-owned land [not parks] were taken from use for development - like site on e122 st taken away summer 2006 from East Harlem Little League by HPD for some future sale for housing [condos?] The existing fields are in poor condition and private schools are already chief long term users and have permits for 34 of the 36 fields from 3-6pm [2-10-2007 NYTimes]. JAN 31 2007 ## Geoffrey Croft, President of New York City Park Advocates" "Our elected officials shouldn't be allowed to sell off our public parks to the highest bidder simply because they refuse to allocate the funds to maintain them." Speaking of Randalls Island Park, Juan Gonzales [Daily News 2-9-2007] wrote that BLOOMBERG LLP sealed off the southern portion of it for nearly 2 weeks early JULY 2006 to make an amusement park for its company picnic. NOT a word of this in the press til now, otherwise! They do it annually now..a large fee went direclty from the Bloomberg company to the Randall's I. Sports Foundation, [not the Parks Dept.] nor NYC General Fund which per City Charter ruels for special events fees. YANKEE Stadium "Final" JUNE 15 2005 scheme aroused a great deal of community opposition, but they could not stop the YANKEES taking 22.4 acres of adjacent local parks-made official by State Govt June 30, without public hearings-from the city. ->JUN 2006-CRAINs Business notes FED [National Parks Svc!] approval was ALSO needed because FED FUNDS were used to repair the park site PLUS a NYC sanitation discharge permit is also needed. Replacement parks cost increased from est. $128mil to $190mil in 2008! [SEE more on Yankee Stadium further below->]
Newspapers printed JULY 31 2007 the FED EPA gave NYC a 10-year waiver from filtering Catskill-Delaware water because it is [still] so "clean". So, its not all mixed together by the time it gets to NYC? NYC will start up worlds largest UV-treatment plant of it and NYC will buy more watershed etc. because of eroded soil around the rural Catskill reservoirs are getting them mucked up. 1998 announced, started in 2004, cost of Federally required water filtration plant under Van Cortlandt Park more than David Ferguson [Letter to NY Sun 9-5-2006] of CWCWC (Croton Watershed Clean Water Coalition) wrote the NYC Dept of Environmental Protection [over the Water Board] made deals with BRONX politicians $200mil for Bronx PARKS fix-ups etc to smooth the way for construction of the $1.5Bil filtration plant, even though laws forbid water rate money from funding NON-water supply projects, while it does not do the right thing by using such monies to buy watershed property to long-term protect the water supply, even as it claims poverty. What these politicians do keep in the public eye is the slow but ongoing project water tunnel no. 3. One hardly realises the water tunnels run in branches under the boroughs only up to Hillview Reservior in Yonkers just across the Bronx line and to the Jerome Park Reservoir. A Shaft as Deep as Residents Opposition to It" [-NYTimes, the City 2-29-04] One of the access shafts needed is planned for 54st on the E Side of Manhattan for the *Manhattan* leg of the 3rd NYC water tunnel in 2006 or so. $6bil project under const since 70s. 1,000 signatures collected, even the NYC Council speaker opposes it. "People are ready to lie down in the street. This is like civil disobediance. I'm serious, we're not going to let it happen." Charles Sturcken, activist opposition leader and neighbor to prop site*..*NEW city garbage plan inches ahead -Upper E Side E End Ave area residents must haved been pissed, but the suit was brought by activists for low income housing ACORN, sued to have city not build waste transfer station at river at 91st., so far lost, SEPT 19 2006 and recycling [...I thought it was a transfer station] station planned for Dept of Sanitation Gansevoort St property on the Hudson and marine transfer station at 91st-E River are being strongly fought. 2008-09 ongoing there is similar well-heeled celeb laden group "Tribeca Community Association is fighting planned new Dept ofd Santation huge truck garage and salt shed at Washington St. B.C. [before multi-million$$ condos] this was strictly a warehousing/trucking no mans sorta area and STILL is partly! Government-Private Mutant Projects:
in the hands of NYC, all bids of 2006 thrown out SEPT 2006 by GIPEC [Governors Island Education and Preservation and Education Corp.] NYC and NY State did not want to or not permitted by FEDS make some $$$ by selling the site. NOV 14 2006-Harbor High School was invited by whom?? [damn tabloid article was not explicit] to move there from its current home deep in the heart of Brooklyn has to be approved by Dept of Education and GIPEC but looks like any High School or college use on the island was discarded from finalist plans.
Private properties near the HIGH LINE are going mostly hi rise condo, thanks especially to rezoning deals. But ALL government-tied office-commercial development deals are on hold or dead for now, but the people are gonna pay up. We are on the hook because of BONDS already sold. New JAVITS Center expansion is dead for now, Hudson Yards agreement are falling apart for now, Moynihan Station was [is, will be?] dead, #7 subway extension is cut back/crippled, Madison Square Garden move is dead, but it will be renovated, area transit expansion plan are uncertain; 34 st NJTransit rail station and new Hudson rail tunnel pay as you go depending on NJ and FED money it is hard to say. But a makeover of Vornado's bldgs all the way to 6av is in private control, so that is going ahead. The new West Side also includes Battery Park City North and Pier 40 further southup!
At least [some of..] the new "WTC" is slowly rising. The convoluted, delayed station plans are barely on track as D P Moynihan's original vision of rail station project. The original "Pataki plan" of station 1999 designed by David Childs [est. cost was $900mil] was morphing into a $14billion monster real estate deal at hands of TOO many govt-private-public interests. The last deal that seemed certain enough "unveiled" APR 28 2006 even as it was falling apart thru 2007 seems to thankfully mostly died in the 2008-09 'crisis'. Sheldon Silver, a constant obstacle, twice delayed NYState approval and mid OCT 2006 voted NO on 4th revised "PATAKi" plans [did not include a new MSG]. A second great obstacle was AMTRAK! After FEDs said no to a deal in 2004 forcing scale down to suburban NJTransit rail needs, a share of concessions sweetened the deal, announced 9-13-2009 AMTRAK is BACK 'after 6months of negociations', just before a SEPT deadline to get US DOT "TIGER" stim-related grants. It does mean redesign, again! SPR-SUMMER 2007 in "recent meetings with the developers and other transportation agencies that it has veto power over plans to build a new station because it owns Penn Station and the property below Madison Square Garden." and they may move operations there anyway. "Complications Hindering Moynihan Station Plans"] I am not sure there is a lease yet with the POST OFFICE [they had a deadline of DEC 31 2006!] Back to Silver, who is one of the big 3 on the Public Authorities Control Board that approved the NY funding which may also jeopardise fed funding and sale of the site from US Postal Service. He is aligned with DOLANs [Cablevision-MSG owner] and VORNADO. JUNE 2006-just TALK about these new projects gave landlords reason to significantly boost local office rents. I only agree with killing the current plans because it is a huge amount of money for a bastardised plan the was a redesign as AMTRAK pulled out, and we need a better gateway to NY, though "Plan B" *IF* the funds are there and they DO NOT CUT the scope of the project-as common elsewhere in public projects - would upgrade the existing PENN STA! Is the massive scaffolding going up OCT 2007 at Hotel Pennsylvania really for "improvements"? Sorry, Maura Moynihan, Gov Pataki and Bloomberg are still jerking YOU and US. GOV PATAKI wanted ground broken BEFORE he left office [end of 2006 oy vey]. It is as much of mixed-use development project [by VORNADO and THE RELATED COMPANIES] as a railroad project. As for MSG, so strange to me that State does not make a deal to build a new MSG ON the state owned land next to JAVITS that Governor wants to SELL to make a few quick bucks. Why wouldn't JAVITS-MSG combo help rescue the aborted Javits expansion? They are supposed to have the #7 subway run here, right? Why was SPITZER and the MSG owner so short-sighted? Plans included a NEW Madison Sq Garden at the rear of the ol Farley Post Office bldg complex, removing ol MSG for new development plus rebuild of existing PENN Station. This Madison Sq Garden relocation would have made the public areas of the new train station sort of a lobby addition to new MSG, and potentially cut out $250million FED [preservation] tax credits NY ESDEC counted toward the cost. The relocated MSG aspect would completely displace the rest of Post Office Operations in the GPO bldg but also said to eliminate planned "intermodal" transfer hall from Moynihan Sta. The Municipal Art Society President said "Madison Square Garden has already eaten one Penn Station."-see NYTimes 2-15-06. That is a big reason for developers fighting -and already spent past $50mil just jaggin off on 'stuff'- to have the mega project not be cancelled. Discussions have been ongoing since Aug 2005. Mayor has to approve[!], at stake also is an electricity discount to Madison Sq Garden and property tax exemption of the last 25 years, courtesy Ed Koch and Gov. Carey, and the current pols!]* The current MSG - PENN STA site would be redeveloped, but NOT all the hirises expected due to difficulty of building over the active station - do not worry about the developer - they will use an air rights transfer to their other properties nearby! Their private understanding with elected officials, [payoffs] contributions and public lobbying paved the 2005 REZONING [MSG] , then development rights purchases on the cheap boosted their existing nearby property values by billion$ and gave them enough EXTRA to re-sell 3.5 million of 7.5 million square feet of the development rights at huge profits. These deals our pols made obligated taxpayer for $550 mil for new Moynihan and $2billion for Penn Station re-construction. The developers [were?] are on hook for only toward $450mil towards the cost of renovation of Penn Station and they rights to build proposed [2] 90-fl towers or a huge shopping mall at Penn Sta[!] and send the extra development rights to their other [specifically further east to Hotel Pennsylvania-Manhattan Mall full block] nearby properties, or re-sell them.CAN you say still not enough $$$? - even with more funds thru "upcoming" BOND sale that MUST be closed by DEC 31 2006, deal can be cancelled by the MTA. [Umm, not clear reporting in the press fi that happened.] Unseen renderings of Plan "B" new Station-MSG-office towers-retail plan were announced as "backed by" SPITZER. VORNADO, Related Cos., Cablevision got billion$ in sweetheart deals from the State city. Further, OCT 27 2005 the city council gave BLOOMBERG $$ goodies in approving PILOTs [payment in lieu of taxes] supposed to be deposited in the general fund, it has been shown the MAYOR dips in and awards money to the favoured, on new westside development by private developers of their projects in the yards land, all removing this govt-subsidised-private development from the democratic process.
Lest we all be seduced by shiny models and renderings, there is a LOT of room for fudge [goodies to the well-connected?] in the complex "revenue sharing" portions of the different packages of each. The site was more widely up for grabs after failure of NYC Olympics 2012bid and political pressure forced move of the MTA away -but apparently not completely- from sweetheart/backroom below market deal as the MTA is cried they are sooo short of money s they gotta hike fares. Of the new schemes, the Vornado-Durst one was notable because included a huge new tower for CONDE NAST meaning they would move from their famous TIMES SQ building and one from Related Companies is centered around a move of NEWS CORP from Rock. Center! SNAG OVER HUDSON YARDS - J. Satow, Crain's NY Business Jun4-10 2007 Christine Quinn [City Council Speaker, her district does include the site] "wants a request for proposals to require developers to build a cultural center and school. She also wants guarantees that 20% of residential units be affordable and remain that way, permanently..[she] is also insisting that the 13-acre site have only 400 parking spots, which would have to service the 4,500 apartments that can be built there. "$10bil development, 12.4 mil sq ft of retail, office, residential. Yeah, she knows best. Under required rezoning, a "ULURP" must be filed and approved by City Council so this awful power-brokering and mixed up, f__ up private - public development goes on.. Besides TISHMAN-SPEYER, other bidders were Brookfield Properties, Extell, The Related Companies, and Durst with Vornado.
__ 2009, an expensice shed-like addition to be built along with a rehab of the exiositing center are the new palns, at the cost of hundreds of millions. JUNE 6 2008 - hotel plans shot to hell and all back to square one- deposits refunded and RFP was withdrawn for announced hotel with meeting faciilties that is sorely lacking in the existing centre. It was even to partially funded by taxpayers $250Mil and originally to be at 42-11Av, then on 11 Av opposite the Centre, eliminating the existing "concrete" park there because LARRY SILVERSTEIN, OWNER of the site isbuilt HIS long planned apartment towers at 11av-42st [supposed to be but is not a] twin of River Place at 12Av. Silversteins 's price for the land was too high for NY to consider. NY State did not intervene to acquire that site, no matter the political alignments or resolution of WTC site development issues. The only possible other expansion spot left next to Javits besides N and S is OVER 12 Ave. Too big a security problem? To distract from the State's f-up, they tried to make the Hotel industry etc the bad guys, State had claimed there was not enough money because Hotel industry refused to implement their "suggested TRIPLING of the $1.50 night hotel-tax surcharge! The fix-up, minor expansion and land sales package include sale of 150 truck swing space south of the centre by an 80 truck garage on 12 av that industry cites as creating a major handicap. This is all quite too complex and it is past time for some heads to roll over all this [if not privatisation!]. Expansion to the South was unfortunately linked to the defeated NYC 2012 Olympic -JETS W. Side stadium. NYPOST OCT 19 2007 reminded us of The Swap FLIP - let MTA profit from sale of JAVITS and its site and build $1+bil platform there big enough for an replacement for the JAVITS. NY State aborted any scheme to build a JAVITS replacement on 26 acres of Hudson Yards NYC and pushed or was forced to back off forced to cut MTA out of any Javits role bye brou-ha-ha over new developer's plans for those Hudson Yards rose, fueled by "City Hall." Oh, a West Side Stadium would have been just the thing to add to $$$ to collected congestion price fees from traffic for daytime - weekday night events! "We" take it for granted -HERE- the financial capital of the friggin WORLD[?] that the govt [taxpayer!] has to build the convention center! Praised by some, but tougher critics said [see also "Users of Javits Center Criticize It's Expansion Plan" NYTimes 3-10-2007] only a "..second rate convention center at a $1.7 Bil price tag ! said Assemblyman Brodsky [on Committee that oversees State Authorities"] and Sen Schumer of the Rogers redesigned plan. "Friends of Javits" say do it right or NOT at all, particularly lead by the AUTO group finally got a chance to sound-off to Centre officials at two FEB 2007 meetings finally said the plans are NO good despite a more people-friendly design it was compromised functionally and esthetically. Truck ramps are too screwy, truck parking [in the press 3-23-2007] was cut to 83 spots from 200 orig planned. Multi-floors are a problem and "latest" security concerns re-shaped the 2+ year old design making it 1/5 SMALLER than already compromised expansion figure. The new loading area is to be separated from the main bldg, unlike now but the new concern is that the multi-story truck screening facility and depot is to be atop the Lincoln Tunnel. Every delayed month increased the cost by $15Mil+ while the power brokers jerked us all.
The political wonks in the 1980s built the undersized centre and disfigured J.I. FREEDs JAVITS design down to putting in cheaper glass that make it a dark box. Plans for expansion moved forward [difficultly] after Guiliani departed as Mayor - he could not longer block a NYC project like this that he could not control. Javits expansion plan 1-block NORTH to 40st was approved by the State DEC 7 2004. A multi-level center was the abomination that PATAKIi shepherded through due to the constrained site - but wasn't a major problem of the abandoned N Y Coliseum! After that, an unrelocatable MTA 11av-39 to 40 st bus garage blocks further expansion. ESDC-Pataki late 2006 approved some "finalised" $3.1bil+ building plan that the State Convention Center Operating Corp [what is THAT?] approved late May 2006. This 1st $1.68Bil phase of expansion was supposed to be "completed" by 2010 enlarging space from existing 750,000 sq ft. to 1.1 million sq. ft. with city to spend $350Mil, NY State to spend $350mil with $350Mil from "other" and $650Mil from the hotel industry [coming from new $1.50 night surcharge! Then Mayor Bloomberg announced AUG 2006 a city commitment to fund some of the cost of a Phase II of what might have been a $5bil rebuild. "Reconsidering" late 2006 ESDC-Pataki approved plans Spitzer called together the Mayor and his Moses [Doctoroff], Sen Schumer and the ESDC Chief quietly met [to have it out?] on this MAR 13 2007, then the downstate chair [FOYE] of the ESDC said there was going to be something new in MAY 2007. The convention-hotel industry them was let in on it and [3] packages. ranging from too expensive for little space gain in the last ESCD-Pataki plan at $3.1bil to full rebuild-expansion at $5billion that was just plain too much to even consider. FOYE proposed increasing the hotel tax surcharge, but whether to $2.50 or $4.50 it was not enough for full blown rebuild, so hotel industry and some businesses said ENOUGH! Scrap the big expansion and go for an annex building instead even while they disagreed over what right amount of meeting room vs exhibition space is needed .
While NYC is "sharing" in development is to buy-in of air-rights of "east" section" of the yard to be transferred to nearby west side development are. NYC gave up on a forced buy of "West" [on the HUDSON] portion LIRR yards from MTA to let MTA sell it for commercial development, after some rezoning by NYC- still not done which was part of the TISHMAN's problem with their deal, in exchange for NYC paying most of cost $2.1Bil one-stop subway extension through PILOTs from builders on this land. SO it will be exempted from most commercial real estate, construction taxes etc under the MAYORs control. The MTA [summmer 2005] leaned towards spending $481Mil on the platform over W Side rail yard as NYC negociated to buy the site with an offer of $300mil for 'west" section" of the yard pays $200mil for development rights for the "east" section of the yards. Why are NYC taxpayers shanghaied for $500mil and what the F__ is that and why is another public development corp formed for this project?
MAY 2008: Sen. Schumer again scolded NYState-City govt - forget paying for mid-block [bet. 9-10 Av Lincoln Tunnel approach] boulevard - use money for the 41st station instead and start Moynihan station already! Why would Bloomberg care; he is greasing the property value for private developers along the proposed blvd and Hudson Yards with new West Side boulevard and public plaza Hudson Yards entails *another* new public development corporation "Transitional Finance Authority" issuing a $3+ billion bond issue and short-tem debt repaid by sale of dev. rights and property taxes. Part of city spending from this money is to acquire all the ol bldgs on path of the new mid-block blvd (33-39st 10/11Av] and 4 acre park to enhance value of 24 million sq ft of private office etc space that MAY be built as part of the Hudson Yards project! Why not use any of the existing public development corporations? Like so many others projects, this keeps the billion$ in government construction OUT of the democratic process because it is not in the city capital budget but taxpayers are paying the interest until the project up and running and produces revenue.
Schumer countered that exist PENN Sta renovation could be enhanced with space freed by move out of some of AMTRAK operations and WaMu Theatre (at MSG), he says, but Bloomberg said MYOB! NYC -IS- going ahead with acquiring property to make a new W. Side Blvd / esplanade 36st down to 33st and Hudson Yards instead of using its limited funds to complete this more critical transit infrastructure. Sen Schumer wrote in protest of these plans to NYC, NOV 30 2007. BIDS were due JUNE 20 2007, then NYC is going to deal with cost overrun funding. But we did not need a 3rd CDB [central business district] corporate-fascist-like glass monoliths by TISHMAN SPEYER $1.004bil bid for 99-year lease selected announced MAR 27 2008 by MTA-NYC to be developer for the Yards. Since the Tishman prelim agreement with MTA-NYC did fall apart, RELATED Cos w/ Goldman Sachs plan was chosen mid MAY 2008. MTA sees $$ from the deal going toward cost of #7 extension. Related will pay for the $2bil platform over east and west parts of the Yards, but there are penalties to NYC and MTA if they hold up Related. Related can get 25% of a project deposit BACK if NYC rezoning of the west part does not give it expected allowance of building size plus there are rent penalties to MTA if Related is held up from starting building in 2 years and others ["rent holiday"] if #7 line construction fall behind
$7Billion 25-year Columbia University expansion north into 17 acres of "West Manhattanvile" 125 to 134st, Broadway west to 12 Av. They already owned 76 per-cent the properties and got tenants out and now ninety+ whatever percent anyway. NY City Council passed rezoning Columbia needed DEC __ 2007 and same day the preliminary MOU [Memorandum of Understanding] commitment and agreement to continue on to a Community Benefits agreement was signed. Columbia pressured private owners with condemnation to sell them their properties. For last 2 commercial hold-outs they WILL are on verge of using eminent. the 17 acre area was officially declared "blighted" on JULY 17 2008 by the Empire State Dev. Corp. and "final" approval to condemn the properties was given by NYState / ESDC DEC 17 2008. But this is being appealed for last? time in a new petition filed JAN 2009 for courts to "..reject, annul and set aside" EDC light-eminent-domain ruling, presents evidence of collusion between Columbia, ESCD and consultant [AKRF] it hired and also that the scheme does not meet the standards for such development concerned by that infamous US Supreme Ct "KELO" decision. Mr. Sprayregen who leads this lawsuit suit also found with a FOIA request that six AKRF consultant employees who worked on the blight study also worked on the redevelopment plans. -see Damon W. Root, "College Cheat: Columbia blighted own hood" NYPost 2-16-2009.
"State, university hire same consulting firm" Norman Siegel |reps some of the local business owners| is sued NY Empire State Development Corp alleging conflict of interest. The NY ESDC using the consultant to push thru their "blight" determination with shady tactics, and Columbia is using AKRF, to do some architectural work for the new campus [-Crain's Insider 6-8-2007] "AKRF and ESDC contend that there is no conflict of interest because the projects are handled by different departments within the planning firm."
Columbia left their properties under-developed or vacant and poorly maintained for years.
Flood zone? Terrorist target? Mar 2008 Lawsuit against it by one of the holdout property owners brought to public attention the 2 million sq. ft. 17-acre[!] 8 fl. 'bathtub' type underground storage, lab, power generation facility under the site. Not officially in a flood zone in the ol charts, it is too close for comfort![-See E. Dwoskin "Hurricane Klaus: Everyone listens to Columbia's disaster expert - except Columbia itself" Village Voice OCT 1-7 2008]
Zoning does not allow more than 350 ft [aprox 35 floors] so NYC gotta change the rules [zoning] for this developer just as it does for what seem all of them all over wherever they want it. DO they believe a new 'mixed-use high rise building' ON the water going to knit South St Seaport back into the area! Condo owners or tenants will be a privileged group indeed; there are NO other building on the water until you get uptown to Waterside Plaza, then there are the apartment built ABOVE the East River Drive only. Preliminary plans for 50-fl mixed used bldgs were just PR, no details were shown at the company's first public presentation FEB 26 2007. Company says if they build a tower, then they can have some open space - locals largely oppose a tower on East River. Also, the 2 vacated FULTON FISH MKT bldgs. will be removed as part of the package. These Fulton Fist mkt buildings are still owned by the city thru its Economic Dev. Corp. which of course is wedded to the developers. The city does not want plans such as that for a local-artisanal foods market "New Amsterdam Market" to just move in. The new tower plans call for the "Tin Building" to be saved [actually this is NOT the original which burnt in 1996] and rebuilt on another side of the new complex. But it is being used to store "construction" and building main supplies; sounds another set-up for demolition by fire. *Ground-breaking AUG 16 2006 for 2009 opening $400mil Gateway Center Mall is being developed by well-connected The Related Companies [a no-bid lease and zoning change approved FEB 1 in City Council] aided by NY Economic Dev Corp & greased by community job and construction job promises. The existing deco-ish Bronx Terminal Market [old ethnic-foods vendors final eviction was June 1 2006] south of Yankee stadium was demolished and construction began 9-14-2006, to be open fall 2009. RELATED gave a $34,156 contribution to Bx. Borough President Carrion. Will include BJs, Target, Bed Bath & Beyond, Marshalls, Staples and Home Depot. CITY gave the developer the next-door BX house of detention for them to tear down and build parking - but no agreement yet for called-for replacement jail*
May 1 2007 Mayor showed 1st concept -originally 8 finalists versions for a mixed-use business-retail-convention district with condos and "affordable housing" financed elsewhere to induce key Council persons to OK the whole thing, plus a little park adjacent to the new Mets [Citi] Field were due in 2006 and a actual developer[s] won't be chosen until after late 2008 approvals at earliest. The Mayor and NY State EDC want to ram thru a rezoning thru the Council and hand it to a developer. This will put off or eliminate land use hearings if the land is seized and turned over to a developer thru the STATE, though Mayor said he would *like* to NOT have to seize the 61 acre site by eminent domain. NO ONE from NYC or the public Development Corp contacted the local businesses thru 2007. IN the meanwhile, owners are making deals with the city,' 2nd biggest owner "House of Spice" in late OCT, much smaller Feinstein Ironworks early NOV means [Daily News 11-12-2008] that NYC "controls 47% of the site". The owner of Flushing Towing also in DailyNews 11-12-2008 said he was glad to have sold out from the disgusting area, to the city - at a profit! The last bigger more connected owners are holding out for more$$. Is this blockbusting? Is this socialism? YES. These are [secret terms] business deals using tax dollars on behalf of developers by the Mayor.
C. Schulman, former Queens boro President is 'Queen' of the new Development Corp. of this project who had commissioned a study of the area which concluded a good industrial area could be made of it if the roads and sewers were etc. were finally done, but that was not what she was looking for; we now see it was just more matter of a little time before politicians delivered the area to their developer patrons.
The [J. Lauinger, Daily News JUN 12-] said a consultant for NYC is providing a "blight study" report as a step towards eminent domain justification, described the draft report as a what I would say sorta is a 'blackwash' of the area "The illegal activities and harmful environmental practices in the district have created a condition that is threatening to the environment and harmful to the neighboring communities." Umm is this about Wall St? Gotham Center: Ah the developers are getting ready to GO on Queensboro Plaza area. Though NY ESCD selected Tishman thru an RFPropoals, all the parties involved are in the same ol club. NYC grea$ing the way for them. First there is the announced NYC $40mil [with $19mil in FED funds] "beautification" makeover of the public space itself announced early fall 2008. Then, announced OCT 17 2008 NYC will sell off its municipal garage at the east end of the 'Plaza', surely sweetheart deal to TISHMAN SPEYER [no comment from Tishman or DOH to DailyNews see 10-17-2008] and will lease the space [all?] in TISHMANs upcoming $3160mil 21-fl office tower + retail and 180 parking spaces there for 2,000 NYC Dept of Health employees relocated from various downtown spaces as the first phase of the whole project! There is also approx $18million in equity by the NYC Employees' Retirement System and the Teachers Retirement System committed. Kingsbridge [Bx] Armory Would be ready to go, but the activists seeking a piece $ [union, commmunity organsiers] of unresolved community benefits Agreement..new big new supermarket [NON union] would be within, making them VERY angry. Activists " "The Kingsbridge Armory Task Force finally met last week to consider development plans after the city dropped a controversial demand that members sign a gag order.""[-B. Egbert, DailyNews 5-15-2007]" demanded a Community Benefits Agreement plus a 'living wage' [minimum wage] of $10hr + benefits for "75% of workers" from winning -or CHOSEN!- developere, which is RELATED Companies; chosen [no-bid] by NYC March 2008 and officially confirmed APR 2008 [announcement/ choice delayed from fall 2007]. In MAR 2009 the developer got $17mil tax benefits from NYC Industrial Dev. Agency. In 1996 the facility was transferred to NYC. It took til FEB 2007 to put out for bid and get 3, "green" buildings. Stapleton S. I. waterfront redevelopment Spring 2007 $66mil infrastructure work to start. RFP solicited mid 2007. "Adjacent" City-owned land to be sold to help pay for cost of maintenance of public part of the it. Fun and Games Grease Up The Politicos:
Ground was broken 8-16-06. Last game was 9-21-2008. The City of NY [the public!] owns the old stadium and grounds. So what, it is of no other major use than as Yankees home; the city may as well own the air, all that we do with it is for and by direction of the Yankees! The 2007 rent to NYC was $14,976,488 of $319mil stadium income, after $5mil maint and $mil sweetheart "planning" deduction set up by Giuliani. The Yankees President, Randy Levine [-see DailyNews 1-11-299] rebuffed critics of the deal by noting Economic Development Corp figures that NYC is netting $60mil on construction. GEE, on a $1.3bil project! Plus a thousand or two thousand new jobs. B.S. - they are mostly seasonal and probably mostly "replace" ones at the ol stadium! NYC saves all the maintenance costs of the ol stadium. GEE, NYC does not get any more rent. Independent Budget Office estimate JAN 2008 of direct costs to taxpayer were $326 million for construction of parks replacement, train station, garages, demo of ol stadium etc. With lost rents, tax breaks and other subsidies the IBO estimate of NYC-NYState taxpayer cost is about $855,000,000! The few hundred million$ of 'one -time' direct costs [infrastucture] to the taxpayers increased to $663mil [JUL2007 dollars] which was $217mil more than APR 2006 estimate which was an $76.2mil increase over 2005. Taxpayer costs are still increasing - 10.2 acres replacement park on roofs of new garages and to demolish the original Yankee Stadium [for "Heritage Field" to be ready fall 2011!] increased from 2005 figure using 2004 costs" [!] package plan $116mil, now $197.4 million according to the IBO report released JAN 27 2009! Though $30mil+ are increased 'waterfront park' added cost for a pier, the IBO questioned $16 million as still quite unexplained. Cost for garages only to be paid back to NYC *IF* they are profitable to Bronx Parking Development Co. ["shell corp" part of Community Initiatives Development Co.[CIDC-WHO are they?-] Financing the government portion delayed - put off for a month from SEPT to OCT 2007. NYC and MTA are covering new $91Mil cost [announced MAY 21 2007] which MTA first approved 2006 as $40mil for a Yankees METRO NORTH Yankees train station *plus* NYC will spend another $59mil for a pedestrian bridge to it. The YANKEES are *not* paying any part of that. Developer of new mall at former BX terminal market- The Related Companies somehow is going to receive $1.2mil too in this deal. This all came from the "Multimodal" station presented to MTA Board by pressure from the Mayor and Governor APR 26 2006 after being dropped from plans. This GOVT [taxpayer] cost: $75mil from State ESDC-and the rest from NYC issuing $190Mil - NO ooops its $219mil -they said parking garage cost AUG 2007 "just" rose by nearly $30million reaching almost $240million in tax free bonds for garages, some of the infrastructure and new trees. 1,145 spaces in one of 4 garages was CUT just to stick to that cost. Will there be any TAXES on new stadium paid by the team to NYC?? NO! Yankees will pay PILOT [payment in lieu of taxes, controlled by Mayor] and assumption of maintenance by team INSTEAD of paying RENT [NO Real Estate taxes either] to NYC though there are none now either, is all the revenue back to us! No more rent so no more filing annual rent report to NYC; the finances will be more private. "Tax law stipulates that PILOT bonds can only be issued in amounts equal to what the area would normally receive in property tax revenues." Hence, higher values NYC park land handed over to Yankees, more bonds could be issued! Changed IRS rules block financing stadiums and such with tax exempt bonds after FEB 2007. NYC and State also lobbied for IRS -NOT- to close this LOOPHOLE or provide waivers for projects under way! Local government is happy because they see it as a way to way to get the Feds to give the largest share of the subsidy!" "According to the city's Independent Budget Office, the construction of the new Yankee stadium received $920 million tax-exempt, resulting in savings of $190 million in tax payments for the Yankees...the city's treasury lost $10 million in taxes, the state $18 million, and the federal government $200 million." NOT that the city should be in the business, but for ANY govt [public!] $$ to build stadiums, we should get a piece of the team for the money! Did NYC [Dept of Finance] inflate value of BX land a few times over in order to sell more$$ in the tax exempt bonds to finance the new stadium? NYC/ Mayor stonewalled for 2 months a request by Congressman Kucinich / House subcommittee for documents of the land appraisal and wrote directly to the Mayor [OCT 14 2008] to ask for what was not sent, and demand the NYC Dept of Finance Commissioner testify in DC OCT 24 at a hearing on the stadium [-see Schroeder, in The Bond Buyer OCT 17 2008]. The law seems plain enough to him that PILOTs are intended for primary benefit of the localities above the private interests concerned and he wants the Treasury to stop this kind of abuse of the rules [and taxpayer $$$]. BUT Eric Solomon, US ASSST TREASURY SECY countered KUCINICH in letter JULY 2008 that fed law allows local government to determine what they will finance with tax exempt bonds and so only Congress limit it by changing the law. Paying the current bond debt with PILOTs from the Yankees/developer to NYC allowed them to circumvent the law, so far. IRS "letter" cleared the bond financing deal for this stadium based on "cooked" land value assessment cleared by NYC lawyers [IDA- Industrial Development Agency and Yankees lawyers] which NYC still officially denies/stonewalls [2 higher appraisals PLUS lower construction cost estimate], so Bloomberg/Yankees could proceed with the bond issue unchallenged by IRS. Yankees fall 2008 dropped the 'bomb' they NEED $350mil+ more tax exempt financing claimed due to extra luxe conference, dining, $14.2mil higher priced scoreboard, $5mil "bathroom improvements", $10.5mil suite upgrades, $10.7mil extra video board, $8.7mil and extra for "administrative office" furnishings? This mean the total package for the new stadium is $1.3billion! Even some Yankee fans are griping about NYC grea$ng the package in this time of govt budget cuts for the rest of us! NYS Assembly Committee is reviewing the project, with neighbouring lands of $15+ sq ft they gave stadium land $275 sq ft values, based on some Manhattan values! US Parks Dept put value at $45 sq ft. "Hill eyes Yankees' bond sale" -Juan Gonzalez, Daily News, 7-28-2008. By OCT 2008 ___ hearings, IRS already approved the issue of up to nearly $366mil more tax-free bond financing Yankees demand. Hmm, Bloomberg - Goldman Sachs cabal of US Treasury..the people did not have a snowball's chance...[P. Keifer, 'Soviet-Style' Tactics Said To Be Used To Help Yanks", NYSun 6-13-2008]
The Yankees hired high-priced lobbyists and lawyers to fix the deals for the stadium and of them, hundreds of thousands of dollars of consulting fees went to a select few directly connected to the BRONX Democratic organisation. Locals so far [FEB2008] wondered why Yankees and pols and hire people to administer the programs have not accounted for money, and facts to back up the agreement which included hiring 25% Bronx contractors and 25% Bronx construction workers [sure, good luck!] and they with Yankee lawyers and the Bloomberg Admin nearly silenced the opposition. They certainly pushed them aside; the Community Board was purged of those opposed to the stadium, .
The project particularly greased Bronx Borough President Adolfo Carrion, and his Mayoral ambitions with tens of thousands in campaign donation from companies benefitting from the construction. Was the BX Boro President "troubled" about the TAXPAYERs or "his" money before the approval vote as he questioned the increased cost of financing deal because the IDA [Indust. Development Agency] withheld draft lease agreement, but he has only 1 appointee on the IDA panel anyway. One "donor" noticeably made two contributions of $5k then $25,000 was first-time pol contribution the Glasers of G.A.L. Manufacturing just as they were getting $5mil from NYC for "air rights" + free hand in still expanding their bldg. under a new "pedestrian bridge" at E153st leading from the expanded MTA /Metro North station towards a garage and the new stadium. "The $30,000 contributions from the Glasers to Carrion were raised through an intermediary, Ricardo E. Oquendo, of the major lobbying firm Davidoff and Malito, record show. Oquendo was formerly counsel to the Bronx Democratic Party and former state assemblyman Roberto Ramirez." Though a new law effective JAN 1 2008 made LLC /Partnership contributions illegal, Carrion raised "more than $250,000 from LLCs and partnerships since January 2006." [-G. Rayman, Runnin' Scared/ Elevator Diplomacy, Village Voice NOV 28-DEC 4 2007 issue]. The YANKEES started to pay out towards their "community Benefits" obligation late, in 2008.
*NEW Mets stadium -named CITIfield + corporate image integration for $20mil a year from Citigroup- ceremonial groundbreaking NOV 12 2006 $632Mil tax-free and taxable bonds approved APRIL 2006 to pay for construction saves team over $150mil and city+State spend $165Mil for infrastructure. Less seats [except for some $19 way upper deck, others will be from $125 to $495. I guess those laid off NY area Citi workers may not in the luxury suite and seats, but who is getting screwed more, the ol workers, shareholders or the taxpayers?. *CITIFIELD warning: [from all I read-Upper seats/'nosebledd'whatever regualr siezed exits up there to long flts of stairs down. NOTE the field and stadium are like a newer version of Ebbets field - with very similar OBSTRCTED view seats. NYC surprisingly will own this stadium but of what use is that! NYC pays some but doesn't "play" it can't take it away [sell or let another team play!] METS will get property tax exemption, they will pay the operating cost [and who would expect anything else] but that will largely be covered by the CITI Filed naming rights and the METS will NOT pay any rent to NYC. There will be 12,000 fewer seats than at Shea plus 54 luxury suites include 10 Sterling [low level "bunker"suites"] in NYC for first time. 2,100 parking spaces are closed for the duration of construction.*
*XANADU in the Meadowlands Whatever is ready will first open NOV 2008. .."Reprieve for Troubled Xanadu..[NYTimes 8-23-2006] new backer-partner agreed to finish the project"...takes control from MILLS Corp. Only 2,300 car deck and "skeleton of the major bldg. is finished of now $2Bil amusement park-shopping mall while a mini Nascar track, YMCA, roller coaster are among original goodies dropped from the plans.* Xanadu and next door hardly started new luxe golf community received almost "..$1billion in low-interest loans, tax breaks and infrastructure investments by public agencies.." [Belson, "Delay, Turmoil and High Costs Plague Meadowlands Projects" NYTimes 3-5-2008] "And this is a third world country when it comes to ethics."- lawyer, local developer and a founder of the Meadowlands Commission, Mr. Bruinooge.
Serving Up Brooklyn Hot to DevelopersFrom 2003 post ZONING change - to 2007, 911 emergency complaints about Greenpoint-Williamsburg area construction increased by 300%! In downtown Brooklyn construction emergency calls DOUBLED. Capping it all off may be a bold 700 to 800 ft. tower proposed for JAY at Tillary [post 9/11 perhaps dangerous to be across from NYTech, diagonally across from FED Courthouse and at Brooklyn Br. approach!] by Forest City Ratner designed by "it" architect Renzo Piano... an early rendering was leaked and in press 11-28-2007.Rezoning from Williamsburg to downtown Brooklyn [2004] to Coney Island and more.. drives away industry and small businesses for CONDOS. A local rape, all but unnoticed out of the area though typical - city development czar Doctoroff wants to transfer MOORE ST [indoor] Market Williamsburg [and other city-owned local land] to developers to build their required "affordable" housing component of the deals to build luxe condos etc on the Williamsburg-Greenpoint waterfront. FEB2007 NYC told the merchants to get out by mid-June and offered token sums for expenses to get the out of the 1930s market and into unused undesirable city Housing Authority retail spots if they cannot find anything else.
Mr. Ratner is...registered as a lobbyist with the city, and might meet six to eight times a year with city officials to discuss his real-estate projects." [-"Forest City Ratner Gives to Coney Island Carousel, Other Bloombergian Public Projects..The donation was for 'causes close to Mayor's heart,' says watchdog." M. Schuerman, NYObserver APR 2 2007] For all the subsidies, closing of streets and seized private property, Mr. Ratner gets, as he says this "publicly owned" arena + $400Mil naming rights from BARCLAYs to him and other investors, if any, minus a dollar to NYC for 99-year lease! The project seemed to be Unraveling with hugely escalated costs late 2008/early 2009. Cost increases and delays meant dumping of Gehry designs for the towers and arena! A prelininary 2nd new design [since Gehry left the project] for the arena was unveiled Sept 9 2009. The Ratner still needs to overcome Court challenges to $650mil Bond financing and taking title to all land needed; no matter the posturing that he will break ground by the end of 2009! Ouroussoff [9-10-2009, NYTimes Architecture critic] praised the ol GEHRY design rightly dismissed to early 2008 Ellerbe Becket a 'bland' creating a "black hole" there and called the latest "Shop" arena design flawed compromise. I think his love of the Gehry "careful arrangement of diverse urban elements in a tight urban site" breaking them down [by kind of function] and reassembling..[T]he towers set around the arena became a way to hide its bulk. And the collisions among forms made for a number of startling urban moments.." is worst kind of archtectural intellectual b.s. The Gehry arena and towers was a physical manifestation of CANCER. [Yes, I mean cancer.] US Supreme Court JUN 23 2008 would not hear property owners trying to block use of eminent domain against them, after JUN 6 2007 loss in the Eastern District. That judge said "combined housing, office space and sports arena easily met the standard for "public use" takings under the U.S. Constitution." -NY Law Journal 6-7-2007. Local property owners lost their "last stand" appeal of OCT 2007 in State Ct appelate panel ruled MAY 15 2009 OK for eminent domain. "There are strong indications of an inappropriate, illegitimate public process here.." said Matthew D. Brinkerhoff reps local property owners and tenants, said outside Fed court in Manhattan. Ratner can now get tax-free bonds, purchase MTA property [$100mil] if they will take $20mil down, and push out the 9 owners of a dozen or so propeties and start digging..unless new appeals are for seperate properties are allowed to go forward and they challenge the Environmental Impact study. Security costs alone to use bullet [explosion-resisitant?] glass was tens of millions extra. "Forest City Ratner couldn't pursue Atlantic Yards without a half-billion dollars in public subsidies, the government's power to condemn private property and exemptions from local zoning." [-see Nicole Gelinas, NY Sun 12-19-2006 "A Bit of Everything Wrong"] -NO- its MORE! - almost $2bil in govt arranged funding and subsidies! Yes, NYPost said [4-14-2008] it is aprox $2.1bil subsidy. The developer said NO, it is only $305mil [so far..] But saving of $1.03Bil through payment-leiu-of taxes", $150mil in State tax credits. $114.5mil saving for getting MTA which is only 40% of the site at half appraised price in Sept 2005, plus the $305mil for NYC and Ste for infrastructure and land costs does add up. MAR 6 2007-Economic Development Corp. officials made it plain at a City Council hearing that $100 mil of the $205mil city spending on the project is for land acquisition for the developer, and the other $105mil is for infrastructure [road, utilities, etc.] An earlier competing proposal gotten rid of offered MORE money to the State and did NOT use eminent domain! The 'last' try APR 30 2008 sought to throw a monkey wrench into the project based on project timeline requirements to "materially improve the property" in conjunction with govt invoking eminent domain; the info was forced out from the govt under FOIA etc on this Forest City Ratner agreements with NY State Empire State Dev, Corp., which was held in secret from signing in 2006 until MAR 2008! The plans were frequently adjusted from the initial presentation in 2003 in public relations moves and response to activists and politics, at first becoming overall LARGER in "concession" for more community facilities / "affordable" apartments, them some amenities were cut back, then some of the tower heights were cut, The developer always limited info about the design. No one had a really realistic view until the opposition used project info to produce its own renderings in 2008 to really be able to show the massive bulk of the cluster of towers at the arena. This probably also further mobilised them to fight it. A "community benefits" agreement 6-27-05 mollified enough community activists to pave the way according to the power that be and the courts. Final Environmental Impact Papers were certified by Empire State Development Corp NOV 15 2006. SHELDON SILVER via the Public Authorities Control Boards gave the developer a Christmas present DEC 21 2006 voting for the plan. SPR 2008, some tenants and owner remain and have not been bought out, rest of the site they started being cleared FEB 2007. Rising costs etc. made Ratner scale back the schedule, putting off the major office tower ["Miss Brooklyn"] particularly, in favor of going ahead with the arena; this would leave portions of the area vacant and decimated for years, to be used for parking. These additional years of delay became more fodder for this latest lawsuit. The NY ESDC is politically tainted. It's Chair is a fund-raising Pataki partisan. Even Ratner was a Law School student with Pataki. Note the NY Times partnered with Forrest City Ratner AND the NY ESDC aided its new HQ tower project. An investor in the project gave very expensive private plane travel to State Sen majority leader J. Bruno. The Community group lobbying FOR the project is tainted with lure of more power thru getting its hands on the subsidised apartments to be included - in the SECOND phase of construction. *NOTE the arena rooftop was intended to be a public garden but cost and security aspects "making" them restrict it to athletes, hotel guests and tenants* Does ANYONE else notice how much Bloomberg is ultimate TEFLON politician? He and his people are shepherding these private-govt bastard projects ALL OVER NYC and even Gelinas did not use the B-name once in her criticism of the project. The City and State have incentives from favored developers NOT put the govt properties [as also on the W Side] up to bid and to keep them far off the democratic proecess with partnering them thru semi-govt Economic Development Corporations. The GOVT rolled over and granted $500mil in subsidies that were made public but the NY State ESCorp kept secret its figures of costs of related govt expenses + services secret. Alternative proposals and attempt to open the site to bids were rejected.
Ideas for ol Brooklyn Heights piers date from the early 1980s especially and the efforts of Mr. Manheim, President of the Brooklyn Hts Association who shepherded the concept with his "Brooklyn Bridge Park Coalition" he headed until 1999 when a workable plan to secure govt capital funds to build it and community-local businesses plus modest food etc concession in the park to fund most upkeep was developed by well-qualified private consultants that had a kick off funds from the local State Assemblywoman. By 1992 Gov Pataki committed $154mil in funding but the ESDC [Empire State Development Corp] got its hands on it also formed a new [State] Brooklyn Bridge Park Corp. Plans moved forward slowly until Mayor Bloomberg and the city committed to the park but then it morphed into the condo towers plan which was revealed "as final" DEC 23 2004. The operating budget was over $15mil a year compared to the original of less than $4mil. An enlarged marina and kayak area replaced active play areas. The last estimated budget figure released show a $15.2mil year operating budget funded by condo-hotel bldgs on site includes a fleet of golf carts, 16 SUVs and 40 lawnmowers etc. NOTE: Red Hook and Greenpoint de-industrialisation condo-fication plan also include similar marinas etc. [-see Metro 2-28-2007 "A dream disowned - How Brooklyn Bridge Park got so expensive"]* Empire Stores Warehouse conversion at Brooklyn Bridge Park - deal of 2003 fell through, NOTHING done so far, was originally planned to be done in 2007* * MAY 2007 city is going to contribute million$ announced for FULTON "Mall" sidewalks and street furnishings..DEMOLITION TIME is coming soon on Fulton and Willoughby St and city must be greasing the skids for evictions of small businesses, the owner many of the adjacent properties is a Co owner of the FULTON MALL IMPROVEMENT ASSOC is evicting many businesses and home owners on the first of those properties on Willoughby St to be torn down for offices and condos. [-"B'klyn biz is razing big stink" R. Calder, NYPost 5-24-2007] The Hudson River NYC Passenger Ship Terminal are under [another] renovation but are so badly aged and inadequate for growing use, drove Royal Caribbean and Celebrity in 2004 to dock at the part of ol Military Ocean terminal now called "Port Liberty" in BAYONNE NJ. 2007 may be the last year for the cruiseship piers on the Hudson as the "Mayor" -for whom?- is seeking proposals from developers to turn them into something else. The Horizon was moved to Phil, PA. already, long before NYC will be able to upgrade [-NYTimes, Metro 12-29-03] and the Seaborn and Radisson Seven Seas left NYC altogether [-NYPost 2-21-06]. BUT Winter cruise service is now established here, there are more choice than in years and the number of passengers has greatly increased. Numbers released AUG 2007 from "Cruise Line Industry Assoc" show that largely due to new NYC-Brooklyn cruise terminal, the "loss" of Royal Caribbean just across the harbor was made up. It was built early 2005 on leased Port Authority piers on just south of Atlantic Ave opened as a temp facility Sept 24 2005 for a port call of the Oriana and opened officially April 15 2006 for use by QM2 and Princess lines. The CLIA noted despite INCREASED number of cruise passengers, cruise line NYC port employment DROPPED almost 33% and related income DROPPED 26.5% - many of the jobs were for STUFF [manufacturing] that can be moved remotely. NYC still wants to expand this Brooklyn cruise ship centre by pushing out three of five piers of the last Brooklyn cargo terminal at Pier 10. The City Council is standing more behind the remaining shipping jobs and does not want the PORT AUTH to transfer the piers to the city for this redevelopment. Carnival had proposed to build for $100Mil terminal in Brooklyn.
Vacant city owned land and lots of decaying little bldgs remained after decades of damages done by city demolitions for past unfulfilled development schemes, from Steeplechase Pk site [demolished 1964], to adjacent Thunderbolt coaster [-demolished 2000] and lots of the other area building on or near Surf Ave. Despite years delay on land swaps/ buy ups, a rezoning plan for 27 acres was passed by City Council 7-29-2009. New Keyspan [ball]park and condos as close as Brighton Beach made it more enticing for land grabs by developers in the 90s who could grease the politician to0 rezone to allow them to build bigger, give them sweetheart deals on city property which, which the Bloomberg adminstration promoted as an opportunity for a realisable plan. 95% or so of the amusement area was acquired by a couple of developers, lead by THOR Equities in 2005. At other amusement area owned by developer, he took apart the Zipper and Spider rides 9-5-2007 after they were sold off. The re-zoning promi$ed by the city is late[-was expected SEPT 2007], were adjusted [for the developers..] along with their plans! Taconic Investment Partners group acquired nine other acres of the amusement area since 2005 for condos and retail development. NYC at first seemed to be doing the "right" thing, demanded a new plan or then canceling agreement with them. It was reported that local landlords had to agree to GAG ORDERs [about the developer etc] and non-contestable Politicos were against proposed "Oceanarium" as competition for Coney Island's NY Aquarium. The prelim design for reworking the very poor design of 1950s Aquarium was announced MAR 2007. FEB 2008-risings cost of Wallace, Roberts and Tood of Phia from $125 mil to $200 mil forcing scrapping it down to a new shark exhibit. Astroland closed Sept 2008 for good. The owner and everal other adjacent vendors got 1-year lease agreement from Sitt/ THOR for a final 2008 season since the 2007 development scheme fell apart. What seemed like the 'final' $2.5Bil [estimated] Coney development plan of NOV 8 2007 floundered quickly. No one was happy with heavy-handed schemes of NYC plans that combined worst features of both sides mixing more high rises into the amusement area. The city rejected THOR EQUITIES J. Sitt planned to integrate 700 condos at the boardwalk into their 10-acre $2bil plan to help pay for the amusements part, with some time-share [condo-]hotel [sorta like Trump Soho, or the Plaza...] scheme. After Astroland closed at the end of the 2007 season hanging in for word of vacating or not, then told a rent increase from $180,000 to $3mil would keep them open in 2008. Site has to be vacated by JAN 31 2009,; many rides were still for sale as of NOV 2008 but they were gone in DEC and moslty put inot storage. If the owner can work a deal ointo tthe new development plans a new Astroland might return.- a loong shot! FOR LEASE signs were put all over the THOR properties just before Christmas 2008. For the duration, boardwalk decay was patched unitl NYC put in precast units replacing wood. Dangerous sections were fenced off by NYC Parks Dept! The Consolition Prize for Season 2009 was the Circus and a flea market. Of course, "carny" vendors on THOR land are gone; a few established busineses in Thor bldgs. such as NATHANs Famous reneogiated leases. The Wonder Wheel also remains. It's owner refused to sell [to Sitt], though from NOV 2007 and 2008 it seemed endangered from not clearly being in existing developement schemes. Strangely, CITY also said -no- to potential 24-hour use, late nite use, and restaurant [current zoning forbids SIT-DOWN restaurants!] use, yet wanted to keep condos away from rides and such. Did it matter that "Insiders were shocked when the Mayor announced it plan last week without securing support from Assemblymen Alec Brook-Krasny, state Sen. Diane Savino and City Councilman Domenic Recchia." ? -Bloomberg's Coney plan lacks political support.-CRAIN'S Insider NOV 13 2007. Not only was CIDC rebuffed, THORS/Sitt was in no mood to cooperate. Since "the plan also called for only one amusement park operator for the entire amusement district, an idea that infuriated Thor Equities' developer Joe Sitt, who intended to operate his own amusement park at the site." "To get something done", the plans/zoning were further steered by "Bloomberg" to be made more compatible with wishes of the largest landholders, particularly Sitt/Thor. Mayor put OK for 5,000 or so apartments along Surf Ave. It will not be any 'amsuement area'. The large vacant, boardwalk-fronting land from KEYSPAN west to the ol CHILDs bldg will be the site of mall/retail and high rises/ hotel VERY unfortunately insures the sure the size of the amusement area is 'forever' restricted. The community and smaller owners were left to peek in. The CIDC was not a party to those last "newest" revised plans of APR 2008 that would have gutted the amusement area to a token strip along the boardwalk. Effective JUN 24 2008 CIDC local figure/ founder of Coney Island USA, Dick Zigun resigned over the extent of this radical make over of last of ol Coney centered around hotel high rises and a mall! "..the core will now be rezoned for a shopping mall full of Niketowns, Toys"R" Us- [Zigun] angrily wrote in his resignation letter to Mayor Bloomberg. [-J. Sederstrom, Daily News 6-4-2008] etc.l [NYC official considers them good because they can offer "entertainment retail"!] and four 30-story hotels." The landmarked CYCLONE was going to become a trophy item in the shrunken amusement row fronting the boardwalk. In light of the deteriorating economy and differences between Sitt and NYC, those Thor/Sitt plans unraveled. NYC made a 'final' reduced 'recession special' $105million for the 10.5 acres of the Sitt Coney land. NYC acquired one acre in OCT __ 2008 in the heart of the amusement area Maybe there is hope to keep one major section of amusement area. It was supposed to be a deal smoothing the way for other important [to him..]Sitt developments elsewhere in Brooklyn. And Taconic will be left to build it's high rises. Municipal Art Society drawings for it of NOV 2008 are just usual designer j-o that developers and NYC government pays no mind to. And it is still confusing as hell how and how much it costs us as NYC wheels and deals to acquire so many private properties, sets up financing, gets them to developers etc. Officials took lavish fun-junkets for "research" from 2005 on [paid for by EDC- I still don't know - most average people do not know if that is self funded or tax dollars?] to Blackpool, Dyrehavsbakken and Tivoli Gardens in Denmark, Universal Studios and Disney World FL, and Amsterdam to "understand their models" in regard to the redevelopment of Coney Island [-J. Sederestrom, DailyNews 8-1-2007]. The locals [amusement operators and such] under CIDC /Coney Island Development Corp prepared a master plan that saved most of the amusement area and allowed for high rises on other vacant boardwalk fronting land, mostly west of Keyspan and north of the boardwalk..with 1 hotel to be built on site of the ol Thunderbolt.
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