Cement giant inks deal to develop Brooklyn pier.
Lafarge will develop the 6.8-acre site into a storage and shipping terminal for its cement products.
The company will invest $8.5 million in maritime-related renovations to the pier and another $12 million to construct silos and purchase other equipment.
The project will create about 30 new jobs for the Brooklyn waterfront and bring the City more than $1.4 million in revenue annually for at least 20 years.
"This is the first long-term maritime contract executed by the City since the late 1980s and an excellent example of Mayor Bloomberg's commitment to put the Brooklyn waterfront back to work with long-term, sustainable maritime uses," said EDC President Andrew M. Alper.
"In Red Hook, construction is underway for a new $30 million cruise ship terminal to accommodate the cruise industry's burgeoning growth.
"At the South Brooklyn Marine Terminal, in Sunset Park, we are working with The Axis Group to develop a $40 million automobile processing facility, and Hugo Neu Corporation to develop a $35 million state-of-the art recycling facility where all recycling material will arrive by barge and 75 percent will leave by barge. These three projects will create more than 700 jobs."
Cement products from Lafarge's Ravena manufacturing plant in upstate New York will be transported to the pier by barge. The new distribution facility will feature a modern transfer system designed to move material from barge to dock, where it will be loaded onto trucks for delivery to customers in the New York metro region.
"This lease underscores the longstanding relationship Lafarge has with the City's building community," said Claude Bastien, President of the Northeast Region of Lafarge North America's Cement Division.
"Our investment in our maritime network matches well with EDC's objective to redevelop the city's maritime commerce."
The lease for the pier, negotiated by EDC on behalf of the city, is for 20 years, with the possibility of two five-year extensions.
Rehabilitation of the pier and construction of the new facility will begin early this year and take about a year to complete.
Lafarge was selected to develop the site as a result of a Request for Proposals (RFP).
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|Title Annotation:||Construction & DESIGN|
|Publication:||Real Estate Weekly|
|Date:||Apr 20, 2005|
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