AY Financial Projections: We Got 'Em
Well, it looks like the ESDC has in fact coughed up the financial projections for the Atlantic Yards project. We haven’t had time to go through them too closely, but at first glance they do not paint as profitable a picture as many opponents suspect, generating a mediocre IRR of 9.6 percent. The biggest thing…
Well, it looks like the ESDC has in fact coughed up the financial projections for the Atlantic Yards project. We haven’t had time to go through them too closely, but at first glance they do not paint as profitable a picture as many opponents suspect, generating a mediocre IRR of 9.6 percent. The biggest thing that jumps out at us is that they show that FRC is planning to sell off most of the pieces of the project in 2015. Either that, or they just needed to estimate a terminal value and that seemed as good a year as any. We’re sure others far more qualified to analyze this stuff will be able to offer more insightful analysis. We’ve provided links to the three documents below. Have fun.
1) AY Cash Flows Returns
2) Combined IRR
3) Nets Arena Cash Flows
Earlier coverage and discussion:
ESDC Forced to Cough Up Financial Docs on AY [Brownstoner]
And Norman Oder’s response…
ESDC-released Documents Lack Vital Information [AY Report]
Photo by threecee
I have a voice the same way you do Anon 4:05. No one should listen to me more or less than anyone else, the key here is how many voices are not being listened to. No public official that was elected to represent the neighborhoods directly affected by this project could have listened to our voices because it was done on the state level.
I think it’s disgusting how freely our tax dollars are given away in a closed door deal that will take peoples homes away from them in the name of a public benefit that was really just a ruse to get the condos built.
To the earlier comment about it not being good for the community…we the people declare…keep it to yourself!
Why would it be bad for the community? We are you so assured of gloom and doom. What if you are acutally wrong?
Am I smoking something or are they underwriting this thing at $65 buildable sq/ft? Thats insane. They’re going to make out like bandits.
i want a refund from Bloomberg. i also want him to promise me millions in taxpayer dollars, i’ll build some stuff if he gives it to me. maybe i can get a brooklyn NHL team over here to sweaten the pot. also, i paid a lot of taxes last year and the city still hasn’t fixed the road on my block which is caving in, do you think they should fix that before they sign my money over to Ratner? i seriously doubt it will be properly fixed before the Nets stadium is built although i bet it will be fixed before the “low-income” AY housing is built. SO GIVE ME MY TAXPAYER REFUND. tell Bloomberg for me will you? it’s clearly a taxpayer free-for-all here in Brooklyn and i want mine.
Anyone who states that there will be no affordable housing, or even that there will be one less than promised is just trying to distort the debate for their own selfish purposes. Believe me, I’d take the word of ACORN, Markowitz, DeBlasio and countless other long time advocates of affordable housing and tenants rights over Norm Oder and Goldstein et. al. any day of the week.
I see: Just hand the cash over to the crooks. That was easy!
I agree with Shahn above. It’s most likely that Ratner, as well as other business and political concerns, will make a bundle on the AY. If it was just 9.6 IRR, then why bother? They could just invest passively in stocks and do better.
The money and the political will are going to push the AY project through. It’s almost a “fait accomplie.” But my hope is that concerned citizens and residents can demand more transparency, and use the information to push for a development that not only makes businessmen and politicians richer in the short term, but also serves the best interests on the public in the long-term.
I’m sure that Norman “OCD” Oder will have a 50,000 word analysis within the next 20 minutes.
2 yrs to create this report? i wonder who was the ghost writer.