Lenders take the reins on Xanadu

August 11, 2010 10:00AM

Xanadu rendering

As expected, lenders foreclosed on the $2 billion stalled Xanadu project in the Meadowlands yesterday, and they’re already in talks with Stephen Ross’ the Related Companies for a partnership that would restart construction on the unfinished complex. The creditors in control now include Credit Suisse, Capmark Financial and an affiliate of Fortress Investment Group. Ross has said if it was up to him, he would “rebrand, rename and re-skin” the blue-and-white checkerboard retail and entertainment center, which is slated to have an 800-foot indoor ski slope, skydiving wind tunnels and the largest Ferris Wheel in North America. It will take an estimated $875 million to finish the project, so the $180 million in financing recently proposed by a state panel isn’t going to be enough for Related. Gov. Chris Christie yesterday told the Post through a spokesperson that “this is a project worth saving… but the circumstances have to be right.” Christie is now asking private equity firms to take stakes in Xanadu, which he says will be finished by 2014, when the nearby Jets-Giants stadium will host the Super Bowl. [Post]