Superfund Stigma Pushes Toll Brothers Out Of Gowanus

One reason not everyone was supporting the EPA slapping a Superfund sticker on the Gowanus Canal was because of the stigma that comes along with that label. Bloomberg and certain developers were fearing the fallout of a decision to Superfund, and the Toll Brothers were even facing a multimillion dollar lawsuit after signing a $21.5 million contract with owner Joseph Phillips, which they refused to pay.

Now the Brooklyn Paper reports that the Toll Brothers have officially bailed on their plans to build a mixed-use project along the Gowanus Canal because of the Superfund stigma, and the fact that it will take the federal government at least 10 years to clean up the mess in the Gowanus. In making the move to pull out of the project, they left behind their $5.75MM down payment. The company's VP told the paper, “It just didn’t financially make sense to close on the properties and then have to wait 15 to 20 years until we could develop them. Fifteen years of having our money out the door and not having a return didn’t make financial sense.”

Allegedly the owners are keeping the property, which will likely "just sit there" for awhile—so we're guessing the canal is safe from a luxury condo takeover, for now.

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By Jen Carlson in News on July 9, 2010 4:53 PM

Comments [rss]

potsmoker

its not a hurrah or a hooray..

did anybody really believe that Gloomberg's promises that

the developers would do a better job at cleaning up the canal than the federal government.

lets look at previous sweat developer deals.

can anyone name the development? or contribute similiar lies.

we agree to provide housing for low income residents.

but the details of the agreement is that it wont be on that site and we agree to build LI housing somewhere else without the bells and whistles of the original plans.

we agree to create new jobs.

the details of the agreement is that the new job is another suburban union worker moving from one construction site to this new one, so technically thats a new job. and local minorities will have to fight in line for thousands of applications for 8 projected jobs selling popcorn and peanuts in season with no health benefits at minimum wage.

since we didnt build it yet dont complain, we never really said locals will get construction jobs or training or apts on site.

we have signed on a designer star architect who will build a world class attraction, now give us the benefits and tax breaks.

well we really didnt agree that we had to use that design, but look at our new cost saving bland grill chees sandwich design from an unknown. remember if we build it it will create jobs and housing for low income residents.

(refer back to the orig lies, anybody who points this out is a crackpot acorn type)

traffic and parking problems, no way, we paid our pals to create a study that says theres no need for extra cops and traffic agents or subways,,,the system works well and can haandle the overflow.

well if anybody who points this out as incorrect or uses a different study is just a hater who doesnt want a star designer bldg, with new jobs and housing access (once again dont refer to the various footnotes and exclusions to our previously stated promises)

LB

Hooray for the CURRENT Residents living in the area . They will seemingly get to keep their properties . Those currently paying rent probably won't have to worry about the rent skyrocketing and forcing them to move . It's a win win as far as I can tell ! Besides Condos over-looking the Canal would have made for a horrible to view .

Såkandulæredet

I remember reading on the diehipster blog about a group of hipsters that make a club of canoeing in the toxic canal. Scroll down to the video and watch the schmucks at 1min30 seconds as they canoe in the filth.

http://diehipster.wordpress.com/2010/06/13/the-gowanus-canal-hipsteryupster-theme-park-or-most-toxic-waterway-in-america/

http://www.youtube.com/watch?v=N5mRDOwMyxw

r1b2

Can any of the $5.75MM be used to aid the clean-up? Please don't say that Citi is now $5.75MM richer, end of story?

r1b2

Can any of the $5.75MM be used to aid the clean-up? Please don't say that Citi is now $5.75MM richer, end of story?

longacre

The land is owned by an individual, that's who has the $5.75m.

BDS=(Boycott.Divest.Sanction)

100 years the city had the chance to clean up the canal for the people of Gowanus...they didnt.

They saw some quick money and would have put some more sh*tty condos in the area but they didnt care about cleaning up the canal.

same goes for the newton creek and the oil spill there, thats not been cleaned up in what...60 years?

F-Bloobberg and every predecessors that let these areas rot and only cared about them for the fast money. And while I'm at it, F all the local media that allows so much corruption to go on while feeding the public useless stories about lady gaga. (yeah I'm looking at you)