Government briefs

Aqueduct Race Track faces closure

The New York Racing Association is considering shutting down the financially troubled Aqueduct Race Track in Queens, an action that could also lead to the closure of the successful casino next door, Crain’s reported. During the first six months of this year, the NYRA had a $10.3 million operating loss, more than double the loss of the same period in 2012, the Albany Times Union reported. Once revenue from video lottery terminals at the adjacent Resorts World Casino at Aqueduct was added, however, the group reported a net income of $8.1 million. Gaming industry experts said it would be difficult not only for Aqueduct but for race tracks operated by NYRA at Belmont and Saratoga to make a profit on their own; the horse racing industry, with its aging fan base, is on the decline nationwide. By contrast, Resorts World at Aqueduct, which opened in 2011, touted record revenue in March of $71.2 million. But state law requires establishments with video lottery terminals to be tethered to a race track, so keeping the casino open without the track would require a change in state law.

Home loan limits to be reduced for Fannie, Freddie

The Federal Housing Finance Agency is preparing to shrink the maximum size of home mortgages eligible for backing by Fannie Mae and Freddie Mac, the Wall Street Journal reported last month. The aim is to reduce the role of government in the mortgage market and make room for more private lenders, but critics say the plan could decrease the number of eligible home-buyers and slow the nation’s housing recovery. Currently, Fannie and Freddie can back mortgages with balances as high as $417,000 in most parts of the country and up to $625,500 in expensive housing markets such as New York City. Federal officials haven’t yet announced the new loan limits, which would take effect Jan. 1, 2014.

Balazs to redevelop JFK’s TWA terminal

The Port Authority of New York & New Jersey has tapped hotelier Andre Balazs to redevelop the iconic TWA terminal at John F. Kennedy International Airport, the New York Post reported. Balazs will transform the building into a hotel and conference center to be called the Standard, Flight Center. The project will also include food and beverage options, retail space, a spa and fitness center, meeting rooms and a flight museum. Designed by architect Eero Saarinen, the TWA terminal opened in 1962 and was designated a historic landmark by the city in 1994. “It is a great honor to be entrusted with the preservation and revitalization of this masterpiece by my personal architectural hero,” Balazs told the Post. The final design would need to be approved by the Port Authority.