They went to the brink and Larry blinked. In a just-announced deal, Larry Silverstein has accepted new "economic terms" for the Ground Zero construction projects. NYT analysis:
For the 74-year-old developer, the deal is a capitulation. Mr. Silverstein has long insisted that he has both the right and the ability to develop the entire ground zero site. The new arrangement recognizes that he does not have enough money to do the $7 billion job and, Mayor Michael R. Bloomberg argued, that he could have defaulted on his lease, walking away with millions and an unfinished project.So, who gets what under the terms of the deal? Check it, after the jump. UPDATE: The Observer's Matthew Schuerman, reporting live from the press conference, says Larry's agreement was sort of a yes, but kind of thing. Go figure. Oh, and this sweet detail: "Mayor Bloomberg, asked shortly afterwards, seemed willing to pretend that Silverstein was agreeing even though these details could prove trickier than they first appear."
Let's see:
Freedom Tower: Port Authority takes control; Silverstein gets to build it.
Office Towers Along Church St.: Silverstein keeps control of three of them; to encourage construction, state will find tenants to fill 1.2 million square feet of them
Shopping Mall: Split, with Silverstein helping fund construction in two of his towers, but then has to buy it from Port Authority, which will develop it.
Up next, if the plan is cleared: Freedom Tower re-groundbreaking, as early as next week. Plus: more memorial chaos and anger as costs rise! Truly, the fun has just begun.
· Silverstein Accepts Port Authority Deal For WTC Site [NY1]
· Developer to Accept 'Economic Terms' of Trade Center Deal [NYTimes]