Developer of World Trade Center site needs a bailout

[marmar]

WTC developer eyes gov't aid for buildings: Journal
By MarketWatch


TEL AVIV (MarketWatch) -- Larry Silverstein, the private investor who is developing three towers at the World Trade Center site, is seeking government financial help with at least two of the buildings, people familiar with the matter told The Wall Street Journal.

The Port Authority of New York and New Jersey, the government agency that owns the site, is considering helping to finance at least one of Silverstein's towers, these people told the paper.
In return, the PA - which itself faces budget constraints as it pursues transportation and infrastructure projects - would require concessions from Silverstein, including receiving some of the profits should the buildings succeed long-term, the paper reported.

The plan for the 16-acre site includes five skyscrapers, a memorial, a transit hub, a shopping mall and a performing-arts center, the Journal reported. Much of the development was expected to open from 2011 through 2013, but the opening dates are now uncertain, the Journal reported.

Silverstein had planned to finance his three buildings via insurance proceeds from the Sept. 11, 2001, attacks, government-subsidized bonds, and commitments from the Port Authority and from New York City to occupy some space, the Journal reported.

But in the current economic situation, raising money to build the office space has become nearly impossible, the Journal reported.


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