Russian Billionaire To Bail Out Ratner?
There are mixed reports concerning the details, but it seems like Russia’s richest man, self-made billionaire Mikhail Prokhorov, may be partly funding the Barclays arena, a part of Bruce Ratner’s Atlantic Yards development that just received final state approval. Reuters reports that Prokhorov is considering issuing bonds to raise $700 million for the arena, in…
There are mixed reports concerning the details, but it seems like Russia’s richest man, self-made billionaire Mikhail Prokhorov, may be partly funding the Barclays arena, a part of Bruce Ratner’s Atlantic Yards development that just received final state approval. Reuters reports that Prokhorov is considering issuing bonds to raise $700 million for the arena, in exchange for a share of the New Jersey Nets, which will move there once complete. This report has raised several eyebrows; NBC New York points out that the Nets have been hemorrhaging money for the past few years, and it’s possible that Ratner is using Prokhorov simply to attract other investors. NBC New York writes: “All Prokhorov’s company spokesman would say is that he’s considering an investment, which is probably true and isn’t indicative of all that much.” The New York Times also takes the conservative approach, reporting simply that “Mikhail Prokhorov is the leading contender to buy a majority stake in the team and in the planned arena.” Bruce Ratner bought the New Jersey Nets for $300 million in 2004, and the Barclays Center is currently projected to cost about $800 million, so it is unclear how much of Ratner’s pie $700 million will buy Prokhorov. In other Atlantic Yards news, Develop Don’t Destroy Brooklyn and the Atlantic Yards Report revisit the issue of the project’s timetable, questioning how Ratner could possibly complete the entire development in ten years. Click the links for details.
Russia’s Richest Man Eyes Nets Deal [Reuters]
Russia’s Richest Man to Pave Nets Path to Brooklyn [NBC]
Ratner Said to Be Closer to Selling Majority Stake in Nets [NY Times]
Russian Rescue for Ratner’s Nets Arena? [Field of Schemes]
MTA Agreement Allows 22 Years for Atlantic Yards [DDDB]
ESDC Defends 10-year Timetable [AYR]
Photo from Wikimedia Commons
“And I agree- jsut because a company bids it doesn’t prove anything about his ability to complete a project. The same point could be made about ratner.”
It could be made, but you’d be hard pressed to find an example. Ratner gets his developments done (albeit it sometimes takes a very long time) Thats why Pols like Ratner – just look at Beekman Tower
westernnygirl- while many people may support the arena, supposedly- polls are easy to manipulate and eveyone uses them. Considering the outcry against the west side stadium, I think there was a great deal of NIMBYISM on everyone’s part.
You promote the same AY argument they always use- if we don’t want Ratner’s AY it’s because we are anti-development. It’s untrue. We just want intelligently planned, not overscaled or overwrought development. AY is nothing if not over scales and overwrought. It is not well thought out and as someone in a neighborhood that will be affected, I think I have a right and an obligation to demand that. specially since public monies are going to be used for it. It’s called responsibility, not extremism. We don’t want a hole in the ground but we aren’t going to settle for sh*t.
fsrg- FtGreeneCOry seemed to be referring to the whole city so I wanted to correct his numbers. And I agree- jsut because a company bids it doesn’t prove anything about his ability to complete a project. The same point could be made about ratner.
Silverstein got screwed moneywise but you’ll note his building is the one actually going up. The city can’t even get a hole in the ground memorial done yet. The hold up dor Silverstein had a lot to do with Port Authority.
“So who do we represent? We represent those who support our efforts, those who oppose AY. And those numbers are far bigger than those who support Forest City.”
Funny, but a Crain’s Business poll back in 2006 found that 60% of Brooklyn residents and 86% of citywide residents supported the project (http://www.ny1.com/Default.aspx?SecID=1000&ArID=62298). DDDB dismissed the poll as meaningless, of course, as it dismisses any news or person that doesn’t support its (his) AY view. Speaking anecdotally, which seems to be the way the anti-AY crowd prefers to bolster its arguments, I know many, many people who are pro-arena, though we may have some reservations. But we don’t have a brownstone or condo bordering the project, so I gather under DDDB rules our views are not that relevant. This very much feels like the health care debate, where the people who already have health insurance (or govt funded medicare) are screaming that any change will ruin their little world, and the hell with everyone else. I’m in agreement with FSRQ, there has been such a missed opportunity to engage on AY. And I confess, I blame moderates like myself for standing back while Brooklyn becomes just as polarized, and the process just as hijacked by extremists, as in the rest of the country.
Best of luck with the Russians DDDB, best of luck.
Bxgrl – FYI 8M minus 2.5M (brooklyn’s pop) does not equal 7+M
and just because a RE company bids on a proposal for development, doesn’t mean that they have the where-with-all to actually get it done (see L. Silverstein & WTC)
“unless you think Thompson only has the support of 2,000 people? ”
Personally, I am sure Thompson has the support of 2000 people – but could swear to much more (maybe people who dislike Bloomberg but not really “supporters”)
Seems like you guys really are terrible at delivering your message (thankfully) a bit of advice; you should find a more flattering analogy for your groups support than Bill Thompson
FtGreeneCorey- there are more than that- they may not be members of DDDB. Most of the neighborhood people I know who are anti AY aren’t members- doesn’t mean that they aren’t active. They are just independent. ANd there are a number of local neighborhood organizations that are working alongside DDDB – 4500 out of 8 (not 3) million sounds like very little but you try to make it sound like 7+ million give a rat’s ass about the nets or AY. They don’t. It’s mostly a Brooklyn issue.
Re Extell- we really don’t know when they were thinking about anything but they most certainly did present a good alternative plan and offered MORE MONEY than Ratner did before the MTA gave it away. Since there is supposed to be a process for public bidding and the person offering the most money is usually supposed to be the winner, and since the MTA is a City/State entity, how was it even ethical or right that they took less money?
FtGreene Corey,
your logic is faulty, unless you think Thompson only has the support of 2,000 people?