Like all mayors, Mr. Bloomberg wants his share of monuments. He already has waterfront parks, two finished stadiums, a slew of high rises and tantalizing possibilities on Governors Island. Going forward, it will be hard for the public to stomach any big giveaways like Yankee Stadium, which, at the mayor’s urging, got billions of dollars of support, including taxpayer-backed debt, tax breaks and the use of city parkland.And, um, what if the mayor decides to let the state oversee the development instead, with major tax breaks, essentially free city streets and property, and an inside track on valuable public property like the Vanderbilt Yard?
“It’s a time for singles, not home runs,” said Mitchell Moss, a professor at New York University and informal adviser to the mayor. Mr. Bloomberg should use his business acumen to push for more developments with housing for moderate-income residents and public workers. The next time some bigwig wants a stadium or a fat new zoning change, the mayor should take care to demand more parks and public facilities as part of the deal. The bottom line for any development should be that it helps out more than the developer’s bottom line.
Pacific Park Brooklyn is seriously delayed, Forest City Realty Trust said yesterday in a news release, which further acknowledged that the project has caused a $300 million impairment, or write-down of the asset, as the expected revenues no longer exceed the carrying cost.
The Cleveland-based developer, parent of Brooklyn-based Forest City Ratner, which is a 30% investor in Pacific Park along with 70% partner/overseer Greenland USA, blamed the "significant impairment" on an oversupply of market-rate apartments, the uncertain fate of the 421-a tax break, and a continued increase in construction costs.
While the delay essentially confirms the obvious, given that two major buildings have not launched despite plans to do so, it raises significant questions about the future of the project, including:
if market-rate construction is delayed, will the affordable h…