Nets Set to Move to Brooklyn’s Atlantic Yards

by Courtside Post Staff Writer

It appears that the New Jersey Nets are well on their way to moving to Brooklyn.  The biggest hurdle in Team Owner Bruce Ratner’s way, was being approved for the $511 million in public financing in the form of government bonds to build their new arena.  According to Ratner,  “Today’s closing represents a vital step forward for New York City, one that is all the more important because of the economic challenges our city faces,” Mr. Ratner said in a statement.

For the first time since 1957, the passionate people in the borough of Brooklyn will have a team of their own.  When the Dodgers moved to LA in 1957, natives  described it as “A Death in the Family.”

The Site of the Nets new Arena, Atlantic Yards in Brooklyn.

The Nets hope to move into the Atlantic Yards arena, expected to be named the Barclays Capital Arena, in 2012.  Naturally, there are many opponents of the project that are continuing to pursue litigation to stop development in Atlantic Yards, and while their efforts have caused significant delays and financial losses for Mr. Ratner, they have not be an able to stop what now appears inevitable.

While Nets officials have previously declared final victory only to be delayed by additional litigation or government reviews, Mr. Ratner has never had the combination of secured long-term financing to pursue construction and the blessing of the state’s highest court to seize all the property he needs to build the arena.

According to the Dow Jones Newswire

The company behind a contentious real-estate development in Brooklyn, N.Y., said all parties involved have officially closed on the $4.9 billion project.

Late last month, a New York court ruled the state may seize homes and small business for the Atlantic Yards project, which will include a stadium for the New Jersey Nets basketball team, owned by Bruce Ratner, the chief executive of the developer. The 22-acre complex will also have apartments, offices and a transit hub.

Many property owners sold and left since the project was announced in 2003, but a contingent fought the state’s use of eminent domain to force them to sell their properties to the developer.

Forest City Ratner Co. said Wednesday it–along with the Empire State Development Corporation, the Metropolitan Transportation Authority, the city of New York and other parties–have executed all necessary documents and officially closed on the project. That includes the issuance of bonds and the execution of various real estate documents, including the arena lease, financing, development, and purchase and sale agreements.

Ratner’s Forest City Ratner Co., a subsidiary of Forest City Enterprises Inc. (FCEA, FCEB), trumpeted the number of jobs Brooklyn Yards will create, said to be close to 17,000 union jobs and 8,000 permanent positions when construction is complete.

So far, 56% of the structures on the site have been demolished and construction of the temporary rail yard has been completed. Removal of the Vanderbilt Yard tracks and critical upgrades to the sewer and water infrastructure in the area are underway.

Forest City Enterprise shares were up 2 cents to $12.65.