"Nobody cared if Ratner was going to benefit to the tune of a trillion dollars or one billion"

Damon W. Root | February 23, 2009

The Appellate Division of the New York Supreme Court heard oral arguments today in the case of Goldstein et al. v Empire State Development Corporation, which deals with New York's controversial use of eminent domain on behalf of developer Bruce Ratner and his Atlantic Yards project in Brooklyn, which just happens to include plans to build a new stadium for the Bruce Ratner-owned New Jersey Nets. The New York Observer reports that questions of transparency and favoritism loomed large:

"Did they [ESDC] address private benefit?" Justice Spolzino wanted to know.

"I don't believe they did, because there was no reason to," [ESDC attorney Charles] Webb answered.

"They don't have to?"

"They don't have to."

[Plaintiffs' attorney Matthew] Brinckerhoff, in an impromptu press conference after the hearing, seemed most confident about the justices' response to the financial disclosure part of the case—they "recognized that there is nothing in the record" examining the private benefits that would accrue to Forest City Ratner.

"Nobody cared if Ratner was going to benefit to the tune of a trillion dollars or one billion," Mr. Brinkerhoff said. "This is something that his company has zealously guarded for years."

There's also this bit of silver lining:

But the Atlantic Yards opponents may win another victory: simply dragging out the process long enough to hamstring Forest City Ratner's ability to raise capital with federal tax-exempt bonds for his planned Nets basketball arena. The I.R.S. has said the bonds must be sold by the end of 2009.

Whole thing here. More on the Atlantic Yards here. More on the ESDC's shameful record of eminent domain abuse here.

Comments

ChrisO|2.23.09 @ 6:06PM|#

I suspect the economy will kill this boondoggle if the courts don't.

|2.23.09 @ 6:06PM|#

But the Atlantic Yards opponents may win another victory: simply dragging out the process long enough to hamstring Forest City Ratner's ability to raise capital with federal tax-exempt bonds for his planned Nets basketball arena.

Nonsense. This project is Shovel-Ready! Expect Rangel and Obama to put their heads together to relieve Ratner from actually borrowing for this, and just giving him a grant to build it.

Windypundit|2.23.09 @ 6:56PM|#

"simply dragging out the process long enough to hamstring Forest City Ratner's ability to raise capital"

Makes sense. In my area, every successful fight against eminent domain worked not by winning in court, but by dragging out the process long enough that the money goes away.

|2.23.09 @ 6:58PM|#

I suspect the economy will kill this boondoggle if the courts don't.

This may be the ends that are desired, but the means aren't exactly the best. It's like getting away with murder because the cops didn't read you your miranda rights even though every other piece of evidence would get you convicted.

|2.23.09 @ 7:49PM|#

I think R C Dean will be proven right. I also think I'll be really pissed off when that happens.

|2.23.09 @ 9:09PM|#

RC Dean is practicing sarcasm, right? I mean, the masthead on this site says "Free Minds and Free Markets," not "Handouts for Billionaires Whose Projects are So Bad They Require Endless Government Support (oh, and Eminent Domain Theft of Real Entrepreneurs' Property!)"
If he's bankrupt let him rot. And his stinking landgrab, especially.

|2.24.09 @ 8:59AM|#

Shovel ready? Let's see:

The developer doesn't own the land needed to build the project.

The project is currently undergoing extensive redesign, so we don't really know what the project is at this time.

Nope, not shovel ready.