Squabbles between the Port Authority of New York and New Jersey and the Lower Manhattan Development Corp. could threaten federal funding to the performing arts center planned for the World Trade Center.
Officials are concerned that various delays could imperil roughly $150 million — what remains from grants provided by the U.S. Department of Housing and Urban Development to the LMDC after Sept. 11, Crain’s reported. The land for the Ronald O. Perelman Performing Arts Center is controlled by the Port Authority, but the agency won’t relinquish control until its paid for below-grade work required to prepare the site, Crain’s reported. Port Authority contends that it’s owed $67 million for the work, while LMDC argues that it only owes $45 million.
The bi-state agency has also long insisted that LMDC give up another parcel on the south end of the World Trade Center site in exchange for the performance center’s site. But the LMDC has instead considered selling the site for residential development. The disputes with Port Authority have also delayed LMDC’s efforts to shut down.