Gibbs' statement, and similar comments from Obama advisor David Axelrod came a day after the New York Times and other outlets reported that the administration had given up outright on plans to try the 9/11 defendants at the US District courthouse in Foley Square, not far from the site of the terror attacks. In fact, Gibbs told CNN that the administration is still hopeful of persuading the city to hold the trials there.

"We are talking with the authorities in New York," Gibbs said on CNN. "We understand their logistical concerns and their security concerns that are involved. We have been discussing that with them."

As GlobeSt.com reported last week, the Bloomberg administration has estimated that providing security for the area around the courthouse--with a 132-acre perimeter that would encompass much of Downtown--could cost more than $200 million per year. Mayor Michael Bloomberg, who initially endorsed US Attorney General Eric Holder's decision to hold the terror trial there, withdrew his support last week.

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Paul Bubny

Paul Bubny is managing editor of Real Estate Forum and GlobeSt.com. He has been reporting on business since 1988 and on commercial real estate since 2007. He is based at ALM Real Estate Media Group's offices in New York City.