Friday, September 06, 2013

B2 tower completion date nudged six months back to Q4 2014; "mods" were once due in August, now coming in October

From June 2013 Investor Presentation
"Anticipated opening of Q2 2014"

Over the past three months, the completion date for Forest City Ratner's B2 modular tower has been pushed back approximately half a year, from the second quarter of 2014 to the fourth quarter.

According to a press release yesterday from developer Forest City Enterprises, the B2 project "is expected to open in the fourth quarter of 2014."

While the developer didn't say so, that's moving the goalposts. The previous quarterly press release, on 6/4/13, stated that the "project is expected to be completed in the second quarter of 2014."

The mods delayed, too

Still, there were other hints that the schedule was being pushed back.

At a November 2012 presentation, Forest City executives said the temporary certificate of occupancy (TCO) for B2 should come by July 2014. At the December 2012 groundbreaking, they announced a target of “summer 2014.”

“We expect the fabrication will start in May,” said Forest City Jane Marshall at a 2/7/13 meeting, and “the first mods"--the shipping container-sized modules with building components--"will start to arrive in August. Twelve months after that start, the building will be almost finished... August 2014 is when we think the building will be about finished.”

Marshall said 5/7/13 that the mods would likely be delivered to the site later in the summer rather than earlier, but the building was still supposed to be finished by August 2014.

The timetable for the mods, at least, was soon pushed back. Forest City Enterprises announced 6/4/13:
Production of modules is expected to begin by mid-summer at a factory in the Brooklyn Navy Yard, with delivery to the site beginning in the fall. The project is expected to be completed in the second quarter of 2014.
The Daily News reported 8/22/13:
Built using modular construction at a plant at the Brooklyn Navy Yards, units are expected to be trucked to the site starting in October, when they will be hoisted into place.
Now the timetable for the building as a whole is delayed.

From SEC filings
From 9/5/13 Form 8-K filed with SEC
From 6/4/13 Form 8-K filed with SEC



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