Representatives from Major League Soccer made a presentation this morning to the Hudson River Park task force about the possibility of creating a field at Pier 40. Facing mounting deficits the Trust is looking for ways to increase revenues to maintain and complete the public space. The trust hopes to have legislation introduced in the New York State Legislature during the current session that would loosen some of those restrictions.
The legislation that created the park mandated the park be financially self-sustaining and placed strict restrictions on what could be built on the piers. For example, hotels, commercial office buildings and residential development are barred. A professional sports facility would unlikely be allowed under the current law.
The self-sustaining park model continues to plague the project.
The Trust is projecting a $ 7 million dollar deficit in capital expenses and capital maintenance and less than a $ 100,000 operating deficit for this year's $ 15.8 FY 2012/13 operating budget. "The only source for these funds are the Trust's reserve fund," said Madelyn Wils, President & CEO at the board's March 27th board meeting. "These funds are not covered by government funding," she said.
The Trust is also looking for additional ways to maximize revenue from the Pier 40 parking.
Douglas Durst, chairman of the Durst Organization and Co-Chair of Friends of Hudson River Park (FHRP) are spearheading a Park Improvement Area (PID) funding scheme where area residents and businesses would pay a special tax to fund Hudson River Park's upkeep. A similar proposal to benefit the Friends of the High Line was quickly quashed when area residents and businesses complained bitterly. A similar proposel for Broklyn Bridge Park also met the same fate.
— Geoffrey Croft
Manhattan
Could those soccer fields on Pier 40 in the Hudson River Park be headed for a professional upgrade in the future?
Representatives from Major League Soccer on Thursday will make a presentation to a Hudson River Park Trust task force, whose members include community leaders and elected officials, to discuss the possibility of putting a field on the rapidly deteriorating pier, sources familiar with meeting said. A spokesman for the trust declined comment, according to Crain's New York Business.
A Major League Soccer spokesman said its president Mark Abbott would address the task force to discuss the benefits of a stadium and what is involved in construction. The league has evaluated about 18 sites in New York City as it works on adding a 20th team. The spokesman said the league is in the early stages of looking for a site, and there is no time table for adding a squad.
The meeting comes as the Hudson River Park Trust is looking for ways to increase revenues to maintain and complete the five-mile-long public space that is supposed to be financially self-sustaining. The Trust has received capital funds from both the city and the state, but revenues from such things as the parking lot on Pier 40 have fallen short of what is needed to fund maintenance and operations. As a result, the trust has been forced to dip into a reserve fund to meet the park's upkeep.
Part of the problem is that the legislation that created the park about 14 years ago placed strict restrictions on what could be built on the piers. For example, hotels, commercial office buildings and residential development are barred. Additionally, the lease on Pier 40 would only extend 30 years, which doesn't make it a financially viable project for a developer, who would need to spend tens of millions of dollars just to stabilize the structure first.
Sources said the trust hopes to have legislation introduced in the New York State Legislature during the current session that would loosen some of those restrictions and extend the lease time to make it easier to develop Pier 40, which is the largest piece of the park. Currently, the 15-acre site has ball fields, a parking lot and some offices. Parking from Pier 40 provides about 40% of the trust's revenues.
However, the pier's supports need to be replaced, which will cost $100 million. A soccer field would take up nine acres. It is unlikely, however, that a professional sports facility would be allowed under the current law.
Correction: Major League Soccer has evaluated about 18 sites in New York City. This was misstated in an earlier version of this article.
Read More:
Crain's New York Business - April 4, 2012
Reliance On Self- Sustaining Hudson River Park "Model" Continues To Plague Project
A Walk In The Park - January 28, 2012
Read More:
Major League Soccer wants to play on Pier 40 The league will present a plan Thursday to a task force of the Hudson River Park Trust
Crain's New York Business- April 4, 2012
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