New York Wheel project might not be dead after all

We'll know in 120 days if the project is back on

TRD New York /
May.May 10, 2018 05:20 PM

A rendering of the New York Wheel

Fortuna’s wheel has spun upwards in Staten Island.

The developers of the NY Wheel in St. George, who are currently mired in bankruptcy proceedings, may yet have a chance to make the 630-foot tall “observation wheel” a reality, the Staten Island Advance reported.

NY Wheel and contractor Mammoet-Starneth have reached a deal that they will find a way forward to build the project or end it permanently within 120 days. A judge still needs to approve the agreement.

“New York Wheel is committed to the completion of the project, which is the centerpiece of a Staten Island redevelopment project,” a spokesperson told the Advance in a statement. “This settlement will allow New York Wheel the opportunity to finalize its financing arrangements and re-commence the construction and completion of the Wheel.”

Locking down financing, however could prove difficult within the proposed time frame. It’s not clear how much more money NY Wheel needs to keep the project alive, but project officials told the Advance last year that it had already spent $400 million of a projected $580 million allotment.

Contractor Mammoet-Starneth filed for bankruptcy in December, after having previously walked off the job and then gotten fired by NY Wheel. In February, Rich Marin stepped down as CEO of NY Wheel. Its new management structure was not immediately clear.

An analysis by Crain’s last year found that the Wheel would need to attract 3 million visitors a year just to break even. [SI Advance]Will Parker 


Related Articles

arrow_forward_ios

California passes landmark rent control law

The Watchtower building at 25 Columbia Heights, CIM Group’s Shaul Kuba (right) and LIVWRK’s Asher Abehsera (Credit: Wikipedia, CIM Group, and LinkedIn)

JPMorgan leads $335M refi for CIM and LIVWRK’s Watchtower renovation

The construction giants catching a Windy City windfall

David Marx of MDG Real Estate and the site at 71-05 Parsons Boulevard in Queens (Credit: Google Images and iStock)

Here’s a weird one: David Marx plans towers at Queens site he bought from his own company

Resi scorecard: Brooklyn and Queens condo inventory through June 2019

Mack-Cali sells Paramus office property, Murphy enacts land bank reforms & more North Jersey real estate news

Jeff Bezos and Amazon HQ in Silicon Valley (Credit: Getty Images)

Why Amazon HQ2 is already rattling the local housing market

Penny Bradley (Credit: Getty Images)

Upper East Side developer funded “lavish lifestyle” through mortgage fraud: Manhattan district attorney

arrow_forward_ios