Monday, July 02, 2007

Brennan: risky rentals point to need for smaller project, guarantees

A press release from Assemblyman Jim Brennan fills in some of the blanks left out of yesterday's murky New York Times article. For one thing, Brennan thinks the project's questionable financials point to a downsizing, as well as a requirement that the affordable housing be guaranteed.

(Brennan and State Senator Velmanette Montgomery sued the Empire State Development Corporation to get the Atlantic Yards business plan and ultimately were provided stacks of documents.)

The press release states:
“Forest City Ratner marketed Atlantic Yards to the public with affordable housing as the most appealing aspect of the project. But the internal data indicate that the 4500 units of rental housing, including 2250 units of affordable housing, show little profit initially and need rising real estate prices to assure a profit,” Mr. Brennan said.

The New York Times article yesterday, curiously enough, focused on the condo market but not the rental rates.

The press release concludes:
“The Empire State Development Corporation should reconfigure of the project with input from the community,” Brennan said. “A smaller project could reduce overall risk, while maintaining a rational balance with the environment. The State, the City and Ratner could restructure the project to guarantee the affordable housing at the same time,” he added.

No comments:

Post a Comment