Silverstein, Port Authority Squabble Some More Over WTC

In the latest round of World Trade Center developer Larry Silverstein vs. World Trade Center owner Port Authority, Reuters reports that the PA has "rejected the use of more public money to guarantee financing for two private office towers" at Ground Zero. Apparently Silverstein only wants to put $75 million in equity into the two towers, which are estimated to cost $4.2 billion. The PA released the letter it sent Silverstein, which includes, "You demand that the public take on the risk that you and the private sector will not take. It is unrealistic of Silverstein Properties to demand this extraordinary level of public subsidy, and it is not going to happen." Silverstein had previously rejected the PA's demand that he raised $625 million towards the project. The slow pace of progress—not to mention rising costs—have raised suggestions that some buildings be scrapped or drastically downsized and Silverstein has threatened to take the matter into arbitration, which could delay construction even more.

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By Jen Chung in News on July 18, 2009 11:35 AM

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seven

This whole thing is just disgraceful. The site is a graveyard for 3,000 people, and Silverstein and the PA are both just trying to squeeze every last penny from it.

Make it a memorial park for god's sake and stop all this nonsense.

ides_of_march

Make it a park, Manhattan doesn't need the office space; not with the financial sector being cannibalized by Washington.

Spirit of 76

Isn't there some kind of clause in Silverstein's lease that will let the PA end it? Malfeasance, perhaps? Or at least misfeasance.

Larry, you're 78 and not getting any younger. You can build it now or the PA can wait a couple of years and do it over your dead body. What kind of legacy do you want to leave, some completed buildings or a reputation of being an obstinate putz who couldn't get them built?

NannyState

Robert Moses would have put out his cigar in Silverstein's face, shoved him aside, and built the damn thing anyway.

matty

75 million? Wait, I could raise that amount. Can I raise 75 million and own a 6 billion dollar project? Seriously, let me do it!

Sir Bonkers

How about they build a park

Mr Mel

The way Silverstein's mind works, he would have the PA or the public pay for the buildings. All he would have to do then is collect rent. He has stalled long enough, put the site out for bids again but with huge penalty clauses. In any case get rid of Silverstein.