Paterson's Rule Could Derail Major Real Estate Deals

The abrupt elevation of Lieutenant Governor David Paterson to the top seat in NY State government should mix things up a bit in Albany and NYC. First up is the state budget, and with a grim economic outlook and behind-the-scenes transitions, he said yesterday, “We cannot afford to waste another second. We have a budget that is due and a deadline to meet.”

Paterson added he would attempt to govern by consensus, rather than take Spitzer's adversarial style of rule. However, he claimed that he would stick with Spitzer's overall agenda, though one change could be more taxes on the state's wealthy; Spitzer wasn't in favor of an increased income tax on the rich, but Paterson is less resistant.

Another salient difference between the two is Paterson's attitude on eminent domain procedures. As a former state senator from Harlem, he objected to the use of land seizure through eminent domain; in 2005, he stood on the steps of City Hall to call for a halt on such seizures. Eminent domain-reliant projects are Columbia University's Manhattanville expansion, Bruce Ratner's Atlantic Yards development in Brooklyn, and the new development plans for Willets Point in Queens.

Without the backing of the governor, it's unclear whether these large projects could remain politically or financially viable. Crain's also pointed out the long-gestating Moynihan Station project could be linger longer. It's also possible Empire State Development Corporation head Patrick Foye, friend of Spitzer, may be replaced.

So far, officials have voiced confidence that Paterson will rise to the occasion. He has, of course, managed to get this far in spite of his blindness.

Photograph of State Senate Majority Leader Joseph Bruno and Lieutenant Governor David Paterson by Mike Groll/AP

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By Dave Hogarty in News on March 14, 2008 12:33 PM

Comments [rss]

foodlover

finally, some good news.

JDSX: whomever thinks 200K is only middle class in lifestyle in new york or anywhere is completely out of touch with society. the real poor and middle class in new york live on far less.

Spirit of 76

Columbia I can take or leave, but I'd love it if Atlantic Yards was sunk without a trace, at least in part to spite that arrogant a-hole, Ratner.

Tim N.

I love how it takes a blind guy to see the problems of eminent domain, overdevelopment, and friggin' ugly architecture.

zodak

he's against eminent domain use? awesome! thank u emperor's club!!

i don't care if he can see someone's tie across a room. the big question is:

can he read legislation?

Hey NICE GASH

If he derails at least one of the developments that used eminent domain to secure property, I will cream my pantaloons.

JDSX

In NYC an income of $200k is middle class in lifestyle but will no doubt be considered rich when it comes to taxes.

kcin122

I make under 30k

haha

JacqueMehoff

It is.

talk about a silver lining in this saga. I hope Gov. Paterson will blindside them into his agenda.

Pow, right in the kisser.

edgar

Wow. The only thing worse than a crooked politician is a well-intentioned populist with a horrible policy agenda.

EastRiver

And by wealthy, that means just about everyone. Because earning $150,000 is just like earning $150,000,000.

edgar

Wow. The only thing worse than a crooked politician is a well-intentioned populist with a horrible policy agenda.

edgar

Wow. The only thing worse than a crooked politician is a well-intentioned populist with a horrible policy agenda.

David McCaffredy

After the tabloid show of this week, people are just now realizing how huge it is for Spitzer not to be in office. Spitzer could not sign off fast enough when it came to develpment and construction deals. You will see Paterson most likely steer attitudes back toward affordable housing and tenant rights.