The $500 million that Forest City Ratner invested in their Atlantic Yards megaproject in Brooklyn may be worth less than half that amount, according to a filing by the developer with the Securities and Exchange Commission this week.
“Clearly, we are disappointed,” said David LaRue, chief executive of Forest City Enterprises.
Forest City intends to “take a write-down of $250 million to $350 million on the development,” the Wall Street Journal said, because costs were greater than expected.
But Chinese developer Greenland Holdings is close to picking up a 70 percent stake in the 16-tower, $4.9 billion project. The sale is slated to close next year, and should boost the available capital to build the residential component at Atlantic Yards, which broke ground last September.
The stacking of modular units at B2, set to be the world’s tallest modular structure, begins tomorrow.
The development has spurred a slew of other modular projects. Other prefab structures in the works include the Stack, a seven-story, 28-unit residence at 4857 Broadway in Inwood; a four-story modular housing prototype at Cadman Plaza in Downtown Brooklyn as part of the city’s post-Sandy housing program; a nine-story, 55-unit building on East 27th Street, according to a report by DNAinfo. [WSJ] and [DNAinfo] — Mark Maurer