NEW YORK CITY-The board of directors of the Port Authority of New York & New Jersey ratified a $1.2-billion contract with Australian-based retail firm Westfield for 455,000 square feet of retail at the 16-acre World Trade Center site at a public meeting on Feb. 9. The venture builds upon a deal signed last summer that gives Westfield the right to develop and lease 365,000 square feet of retail space on the site and an additional 90,000 square feet of retail once Two World Trade Center is complete, as previously reported by the New York Post.

Prior to 9/11, Westfield had net leased the World Trade Center retail components, which consisted of 427,000 square feet of space at the Twin Towers. In December 2003, to accelerate the rebuilding at the site, the Port Authority acquired the retail net lease from Westfield. After a letter of intent was signed in 2008, the Port Authority agreed to provide approximately $825 million toward the project and Westfield agreed to approximately $625 million.

The announcement comes shortly after the bi-state transportation agency released an audit of Port Authority spending practices. The document showcased that construction at the World Trade Center redevelopment site has ballooned to $14.8 billion, up $3.8 billion from the agency’s original estimates of $11 billion. The cost overruns resulted in a fare and toll increase on bridge and tunnel users in the Tri-State area, which caused uproar from commuters and taxpayers.