Real Estate New York

the petition is intended to provide the court an opportunity to address the appropriate constitutional limits on the government’s power to seize private homes for the benefit of real estate developers.

Although Forest City Ratner Cos., developer of the $4-billion Atlantic Yards project, says it has no formal comment in response to this particular petition, a spokesman did note that the company has won “ 18 consecutive court decisions.” When the project started, “We owned 0% of the condos and co-ops and 35% of the rental units,” the spokesman says. “ Currently we own 89% of the land needed t o complete the project, including 93% of the condos and co-ops—64 of 69—and 81% of the rental units—83 of 102.”

The spokesperson says that DDDB has “filed and lost this case in the federal court and the federal appeals.” When the case was dismissed by the US Court of Appeals, FCRC issued a statement saying that the decision was more than another victory for Atlantic Yards. “It is a victory for public good and the importance of investing in diverse communities throughout the City,” said Bruce Ratner, CEO and chairman of FCRC. “Atlantic Yards will bring thousands of affordable homes and needed jobs to Brooklyn. We believe, and the courts have repeatedly agreed, that these are real benefits that will have a significantly positive impact on the borough and the city.”

Two weeks before that Feb. 1 ruling, the New York State Supreme Court ruled against opposition in a case involving environmental review procedures. According to a DDDB statement, given the mammoth scale and footprint of the project, Atlantic Yards is dependent on the use of eminent domain; it cannot be built unless Ratner succeeds in wresting the properties from the plaintiffs.

The plaintiffs filed their original complaint in Oct. 2006. Their suit, Goldsteinet al v. Pataki et al, named then-Gov. George Pataki, Mayor Michael Bloomberg, the Empire State Development Corp., Ratner and others as defendants. The plaintiffs argued that the use of eminent domain for the Atlantic Yards project violates the US Constitution because the taking of their property is not primarily for the public’s benefit. In 2005 the US Supreme Court issued a 5- 4 decision in the eminent domain case Kelo v. the City of New London. The plaintiffs,

utilizing the majority’s decision in Kelo, are asking the Supreme Court to take their case and believe that the evidence will show that their homes and businesses are being sacrificed for Ratner’s benefit, not the public’s.

Although there have been recent questions on whether the project would be delayed by a slowing economy and continuing court cases, an FCRC spokesperson says that “we do not believe the previous decisions raise any issues that

warrant review by the Supreme Court.” He adds that the company expects to break ground on the $950-million basketball arena for the Nets later this year. In a GlobeSt.com article appearing on March 25, the FCRC spokesperson said the current business environment “will not determine the final face of this project or deny the borough and the city its many benefits, including the thousands of units of affordable housing.”

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