past few months

Silverstein Properties received the proposition late Wednesday. "After waiting more than 35 days for the government to finally develop and submit its own proposal, we intend to take the time necessary to analyze it," says a Silverstein spokesperson. "There are significant new elements, which differ substantially from prior negotiations. For example, we are concerned by provisions that would allow the Port Authority to walk away at any time from now until September if it feels that the demands it has made of other government entities, and that are completely out of Silverstein's control, are not being met." No timeframe was given for when a decision would be made, however Silverstein says he "welcomes the government's willingness to resume negotiations."

Aspects of the Port Authority plan include taking over the construction of the Freedom Tower and giving Silverstein the possibility of acquiring the retail aspect once buildout is completed. Silverstein could develop three additional towers. In one of those towers, government authorities would lease as much as one million sf of office space.

Earlier this year, New York State Gov. George Pataki had given Silverstein and the PA 90 days to resolve their differences and speed up the redevelopment process. The deadline passed on March 14 with negotiations breaking down.