(Corrects headline and text to read MTA expects $1 billion of revenue from all real estate projects, not just Brooklyn’s Atlantic Yards.)
NEW YORK, Dec 17 (Reuters) - The New York Metropolitan Transportation Authority said on Wednesday it still expects to receive $1 billion in revenue from all real estate asset sales, including Brooklyn’s Atlantic Yards development, a major project to be built on one of the agency’s rail yards.
The Brooklyn project includes offices, apartments and a new basketball arena for the New Jersey Nets basketball team. But its future, first clouded by legal disputes, is now clouded by the difficulty of getting real estate loans.
MTA Chief Financial Officer Gary Dellaverson told reporters after a board meeting: “We don’t have any current concern with respect to the $1 billion” the agency hopes all of its real estate projects will contribute to its capital plan.
The Brooklyn project has been delayed by law suits and other issues. But the last court challenge based on the use of “eminent domain” could be decided in state court in the next six months.
Atlantic Yards developer Bruce Ratner, of Forest City Ratner Co FCEa.N, said he remained confident despite the worst financial crisis since the Great Depression.
MTA Executive Director Lee Sander declined to comment when asked about a report in the Observer that said Ratner sought to delay paying the agency $100 million when the project closes. (Reporting by Joan Gralla; Editing by Dan Grebler)
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