New York’s Court of
Appeals has agreed to hear an eminent domain case over the Atlantic
Yards project, which infuses new uncertainty into the almost $5 billion
development. Developer Forest City Ratner already has a tight schedule
in securing $530 million in tax-free financing for the arena. Based on
a Dec. 31 I.R.S. deadline for the financing, the cost of the arena
would jump by tens of millions of dollars without a tax exemption, and
getting regular financing would be substantially more difficult. The
viability of the project could depend in large part on how fast the
court can turn around a ruling. Ratner recently won approval to acquire
the Atlantic Yards property in stages and spread out payments to the
Metropolitan Transportation Authority, which owns the site.