Atlantic Yards/Pacific Park Report

Can the Empire State Development Corporation (ESDC), pursuing "friendly condemnations," override the New York State Division of Housing and Community Renewal (DHCR), which typically must grant permission to a landlord who wishes to demolish a building housing residential tenants with rent-stabilized leases? The answer, not previously decided by the courts, appears more likely to be yes, allowing such "friendly condemnations," in which Forest City Ratner-owned buildings are transferred to ESDC ownership, thus ending the leases far more speedily than the process would occur under DHCR. In May, State Supreme Court Justice Walter Tolub dismissed a challenge from 13 tenants (all but one rent-stabilized) in the Atlantic Yards footprint, saying that the case belonged instead in the appellate court designated to hear eminent domain determinations, but without the advantages to the plaintiffs of a trial. Appealing Tolub's ruling to a different appellate court, the tenan...

It was an uphill battle in state Supreme Court yesterday for George Locker, the attorney for 13 rent-stabilized tenants challenging the demolition of their buildings by the Empire State Development Corporation (ESDC), as state Supreme Court Justice Walter B. Tolub seemed skeptical that the case belonged in his Manhattan court. The plaintiffs, who live in two buildings in the planned Atlantic Yards footprint--624 Pacific is four-story building at right-- claim that their landlord, Forest City Ratner, should be subject to the tougher regulations of the New York State Division of Housing and Community Renewal (DHCR), rather than be able to convey the buildings to ESDC for “friendly condemnations.” Locker also argues that the creation of private roads for the project requires a jury trial--a case never tested in court. The ESDC disagrees with those arguments, but also argues that the case belongs in the Appellate Division, designated to hear cases challenging eminent domain, not the lowe...

On Monday morning, when most Atlantic Yards watchers were waiting to learn whether the Supreme Court would hear the AY eminent domain appeal (it said no ), another legal drama was playing out in State Supreme Court in Manhattan, before State Supreme Court Justice Jane Solomon. Tenants, nearly all with rent-stabilized leases, in two buildings, are charging ( lawsuit , follow-up ) that the Empire State Development Corporation (ESDC) is violating a provision of the Eminent Domain Procedure Law (EDPL) that requires disposition of properties within a decade. Solomon seemed skeptical of the main thrust of the argument made by attorney George Locker, who has filed two previous cases on behalf of the 13 tenants, who live in two Forest City Ratner-owned buildings within the footprint of the planned arena block. Then again, she did seem somewhat sympathetic to Locker’s effort to paint the footprint as suffering from “condemnation blight,” a state of suspended neglect, and that the project has c...

Besides pending major lawsuits over eminent domain and the Atlantic Yards environmental review, which may be resolved this year, other expected litigation may delay the start of arena construction, perhaps into 2010 or 2011. That means the best-case arena opening date could be 2012 (as I’ve already argued ), or 2013, rather than the announced 2011. That estimate comes from attorney George Locker, who represents tenants in two Atlantic Yards arena block footprint buildings. Without an assessment by the Empire State Development Corporation (ESDC) or independent authorities, I can’t be sure if the timetable estimate is solid, but it should certainly be part of the conversation. Appeal coming In September, a “smaller” lawsuit by Locker’s clients was dismissed by State Supreme Court Justice Jane Solomon, who rejected charges that the ESDC was violating a provision of state law that requires disposition of properties within a decade and that the ESDC should hold another hearing because the ...

While many Atlantic Yards watchers are anticipating the October 9 oral argument in the appeal of the dismissal of the federal eminent domain lawsuit and expecting a decision soon in the state case challenging the project environmental review, two other cases, both involving 13 renters in two buildings, are moving toward arguments in court. One of the cases, which challenges the Empire State Development Corporation’s (ESDC) relocation offer, in fact is the only case formally blocking the agency from moving to condemn properties. “At minimum, they can’t do anything to my clients until the case is over,” said George Locker, attorney for the plaintiffs, at 624 Pacific Street and 473 Dean Street. The state has promised to provide the services of a real estate broker, moving assistance, and a $5000 payment—but that, Locker argues, will hardly guarantee similarly affordable housing. (Of the 13 plaintiffs, 12 have rent-stabilized leases, and many pay rents that are $500-$600.) That case, whi...

It’s not so sweet for rent-stabilized tenants living in the proposed Atlantic Yards footprint, despite a New York Times report about developer Forest City Ratner’s apparent generosity to condo owners. The developer has offered settlement terms a lawyer for several tenants dismisses as inadequate, and actions surrounding a demolition last week have led the lawyer to charge harassment and the Department of Buildings (DOB) to issue three violations. Last Wednesday, Leigh Anderson, a tenant for eight years at 624 Pacific Street, was rudely awakened at 6:15 a.m. when contractors demolishing the adjacent 622 Pacific Street used a backhoe that sent vibrations through the wall of her building. "We thought the building was coming down," Anderson said, referring to herself and boyfriend David Gochfeld. "The building shook, and it felt like a wrecking ball was going through the side of the building." (Photo above right taken Wednesday, copyright David Gochfeld) Gochfeld went ...

The “other” set of Atlantic Yards plaintiffs—13 rent-stabilized tenants challenging the condemnations of two buildings—will get their day in State Supreme Court Tuesday following an exchange of contentious legal memos between their lawyer, George Locker, and lawyers for the Empire State Development Corporation (ESDC). The plaintiffs live in buildings on Dean and Pacific streets now owned by Atlantic Yards developer Forest City Ratner. Rather than apply for demolition via the New York State Division of Housing and Community Renewal (DHCR), as is generally required for buildings with rent-regulated tenants, in this case, the developer will convey the properties to the ESDC. Then the ESDC would exercise its powers of condemnation in a much faster process than had DHCR been involved. The demolitions would be “friendly condemnations,” given that the owner doesn’t object, but the tenants don’t consider them friendly. The court case now concerns a motion to dismiss, rather than a hearing on ...

So, when did the Empire State Development Corporation (ESDC) come to the conclusion that Atlantic Yards would take much longer than the ten years asserted when the project was approved in December 2006?  Was it only in April, when ESDC CEO Marisa Lago publicly predicted it would take "decades"? Or was it earlier? That distinction was at the heart of a 20-minute argument in state Supreme Court yesterday, during which attorney George Locker, who represents eight rent-stabilized tenants in two buildings within the Atlantic Yards footprint, [ updated/corrected 7:20 am ] unsuccessfully tried to vacate the decision that rejected his request that the ESDC hold a new hearing to re-approve the project. Timing issues Locker wanted state Supreme Court Justice Jane Solomon to consider Lago's statement as a reason to vacate the decision in the case, which was argued last June and decided last September . "I don't get it," Solomon said, noting that Lago's statement c...

Attorney George Locker, who represents four rent-stabilized residential tenants at 624 Pacific Street and ten rent-stabilized residential tenants at 473 Dean Street--both buildings now owned by Atlantic Yards developer Forest City Ratner--has protested plans by the Empire State Development Corporation (ESDC) to use eminent domain to take over those buildings. Locker's argument: the rent-stabilization laws should not be trumped by the ESDC, and thus the process should be significantly delayed. "Drunk on... eminent domain" In comments submitted last Friday to the ESDC, Locker wrote dramatically: FCR met with and then repeatedly urged my clients to surrender their Rent Stabilized leases, under terms and conditions that were illegal and confiscatory. As the project has progressed, my clients also have witnessed FCR literally empty and destroy their thriving and growing neighborhood. In June 2006, drunk on the power of eminent domain, FCR terrorized my clients at 624 Pacific ...

While on September 26, a state appellate court appeared unsympathetic to a challenge to the state’s demolition plans posed by rent-regulated tenants of two buildings in the Atlantic Yards footprint, this morning some on another appellate court seemed more sympathetic to the same 13 plaintiffs as they challenged the state’s plan to find them new housing. The state has promised to provide, at minimum, the services of a real estate broker, moving assistance, and a $5000 payment—but that, attorney George Locker argued, will hardly guarantee similarly affordable housing. (Of the 13 plaintiffs at 624 Pacific Street and 473 Dean Street, 12 have rent-stabilized leases, and many pay rents that are $500-$600. The case is known as Matter of Anderson v. New York State Urban Development Corp. ) “Isn’t it reasonable to assume there is some comparable housing” in Brooklyn, asked Justice Robert Spolzino , who was the most skeptical among the four-judge panel of the Appellate Division, Second Departm...

While two legal cases ( federal and state ) organized by Atlantic Yards opponent Develop Don't Destroy Brooklyn have gotten the most attention recently, two lawsuits filed by 13 tenants (12 in rent-stabilized housing) in the AY footprint may take another year to resolve, even though both have been dismissed by state appellate courts. On 11/9/07, the Appellate Division, Second Department, upheld the Empire State Development Corporation's relocation plan for the tenants, who would be displaced by project construction. Yesterday we learned that, on January 9, the court denied permission to appeal to the Court of Appeals, the state's highest court. However, attorney George Locker said that he will pursue an alternate path and file the same motion before the Court of Appeals, which chooses cases on a discretionary basis. "I expect that the state's highest court will see the public importance of the issues presented and that it will elect to address them," he s...

Following the Empire State Development Corporation’s (ESDC) approval today of the Atlantic Yards project, tenants in two buildings owned by Forest City Ratner filed suit today in state court challenging the ESDC's use of eminent domain to demolish their buildings and override their rights as rent-stabilized tenants. The lawsuit had long been anticipated . The lawsuit contends that a landlord that refuses to renew rent-stabilized leases and extinguish the tenants’ rights via demolition must obtain permission from the New York State Division of Housing and Community Renewal (DHCR). Tenants of one of the buildings, 624 Pacific Street (at left in picture), were rudely awakened in June by some startling demolitions next door. The other building is 473 Dean Street. Both would be the subject of " friendly condemnations "--actions welcomed by Forest City Ratner as owner, but not by their tenants. New legal ground ESDC, an executive agency, cannot override DHCR’s legislative man...

The Empire State Development Corporation (ESDC) has filed legal papers asking for a state court to dismiss the lawsuit filed April 30 that charges that the ESDC’s willingness to give developer Forest City Ratner 12+ years to build Phase 1 of Atlantic Yards violates a provision of the Eminent Domain Procedure Law (EDPL). The suit also requests a new public hearing to evaluate the benefits of the amended project. In arguing against the lawsuit, filed by 13 residential tenants in two buildings within the project footprint, the ESDC curiously claims that the courts should view Bruce Ratner’s May 4 Daily News op-ed asserting a 2018 completion date as more credible than his interview in the March 21 New York Times regarding the project’s stall, and that the penalties facing the developer for delaying the project are “draconian.” Ten-year timetable realistic? While the lawsuit, filed on behalf of petitioners who have lost two other suits filed by attorney George Locker, attempts to break new...