Ratner gets thumbs up from ESDC.

Forest City Ratner has welcomed a decision by the Empire State Development Corporation to approve the developer's $4 billion plan to transform Brooklyn's Atlantic Yards into a mixed-used community featuring a new Nets sports arena.

"We have worked very hard over the last three-plus years to ensure that a large and diverse group of community groups and leaders were included from the start in this exciting project," said Jim Stuckey, president of the Atlantic Yards Development Group and executive vice president for Forest City Ratner Companies.

"We strongly believe that the very real benefits for Brooklyn--including an unprecedented affordable housing program and thousands of new jobs, including valuable union construction jobs--are directly related to the input of these individuals and organizations.

"The relationships that were developed in the initial phases of this project will be even more important as we go forward."

Charles A. Gargano, chairman of Empire State Development Corporation, announced the ESDC Board had affirmed the modified General Project Plan (GPP), adopted the Findings pursuant to the State Environmental Quality Act (SEQRA), and authorized the use of Eminent Domain for the development.

The Atlantic Yards project--designed by architect Frank Gehry--will transform an area that is currently blighted and largely underutilized into a vibrant mixed-use community.

The project will create thousands of jobs and provide an arena, commercial office space, 2,250 units of affordable housing, and market rate housing for which there is significant demand in Brooklyn.

The 18,000 seat sports and entertainment venue will serve as home to the New Jersey Nets, bringing professional sports back to Brooklyn for the first time since the departure of the Dodgers to Los Angeles in 1957.

The Vanderbilt train yard will be reconfigured and improved for use by the Long Island Railroad for storage, cleaning and inspection of their trains and a new station entrance will be created on the south side of Atlantic Avenue at Flatbush Avenue. In coordination with community groups, community facilities spaces including a health center and intergenerational facility offering child care, youth and senior citizen services will be constructed. Other highlights include commercial and retail space, as well over 8 acres of landscaped publicly accessible open space and increased connectivity of the area's communities.

The site is located at Brooklyn's largest transit hub (12 subway lines and the LIRR Atlantic Terminal are in walking distance) and at the intersection of two major thoroughfares (Flatbush and Atlantic Avenues).

The project is expected to create almost 22,000 construction jobs during the 10-year construction period. Once constructed, it is expected to create over 5,000 jobs. On a present value basis, the project will generate $944 million in tax revenues to the State in excess of the public contribution to the project.

The City and State have agreed to provide $100 million each into the project.

The State's funding will go towards infrastructure and the City's funding will be applied towards land costs as well as infrastructure. Mortgage recording and sales tax exemptions have been provided for the arena and arena infrastructure and mortgage recording tax exemptions have been provided on the residential component of the project.

Besides the arena--all other developments will be subject to real estate taxes. The project build out will occur in two phases. The first phase, anticipated to be completed by 2010, will include the new rail yard and the arena and developments on the western portion of the site.

At least 30 percent of the housing developed on the arena block in the first phase will be affordable housing. The arena is expected to be in use for approximately 225 events per year (inclusive of 41 home games for the Nets.) Second phase of the Project is scheduled to be completed by 2016.