BROOKLYN, NY–Forest City Ratner Companies has secured a partner for Atlantic Yards.
FCRC, along with Shanghai-based Greenland Group Co., on Friday announced that their affiliates have signed a non-binding memorandum of understanding for a proposed joint venture to develop Atlantic Yards. CBRE's vice chairmen Darcy Stacom and Bill Shananan found the parter for Forest City after being tapped to do the search in August.
The joint venture would cover both phase one and phase two of the commercial and residential project—excluding Barclays Center and the first housing tower, B2—including infrastructure, a platform and residential units. The agreement is subject to negotiation and necessary regulatory approvals.
Under the proposed joint venture, Greenland Group would acquire 70% of the 22-acre project, co-develop the project with FCRC, and share in the entire project costs going forward at the same percentage interest. FCRC would manage the day-to-day activities on behalf of the joint venture, which would develop the project consistent with the approved master plan.
Says Bruce Ratner, executive chairman of FCRC, “We look forward to working together to bring the housing and other amenities of Atlantic Yards to fruition. Most importantly, this partnership would allow us to deliver the 6,400 units of housing, including 2,250 units of affordable housing, to market more expeditiously.”
Adds Zhang Yuliang, chairman and president of Greenland Group, “Brooklyn has become an international brand because it symbolizes how the old and the new can exist together, creating a dynamic environment for people to live and work. We are very excited by the potential to partner with Forest City and be part of this development.”
Atlantic Yards would be Greenland Group's second project in the United States. In July, Greenland Group purchased a 275,450-square-foot site in downtown Los Angeles and plans to build a hotel and residential units.
Mayor Michael Bloomberg comments, “This investment would allow us to move forward with one of the most ambitious affordable housing programs in our city's history. I am thrilled that this global company sees in New York an opportunity to invest and contribute to the future of our City, an investment that would create housing for thousands of people of diverse backgrounds and means.”
MaryAnne Gilmartin, president and CEO of FCRC, notes, “Brooklyn is internationally recognized for its creativity in all areas including innovative businesses, the arts and sports. Greenland Group has shown a remarkable vision by understanding the need to maintain a wide diversity of people in the borough, something that is possible only through affordable, mixed-use housing. The company has shown repeatedly that it is innovative, design focused and understands infrastructure and vertical construction, values that we share at Forest City.”
I Fei Chang, president and CEO of Greenland US, says, “It is always the Greenland Group's vision to 'create a better life' by building quality projects, undertaking social responsibility, and fostering economic growth in local communities. It would be a privilege for Greenland US to join this regional development project which will have such a positive impact on the economy and the 'brand' of Brooklyn. Greenland US continues to look for strategic partners and investments in key US markets.”
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Rayna Katz
Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.
