Biggest Bull Market Sign Yet? Deal to Build at Railyards on West Side SIgned, Sealed, and Delivered

New York Observer 21 May 2008 "Now it's really official: the M.T.A. board this afternoon voted to approve a deal with the Related Companies and Goldman Sachs to develop over the 26-acre West Side rail yards. A few nuggets of rail yards info from the meeting: According to M.T.A. CFO Gary Dellaverson, who summarized negotiations to the board, the key to the Related Companies' victory was its... [more]

New York Observer 21 May 2008 "Now it's really official: the M.T.A. board this afternoon voted to approve a deal with the Related Companies and Goldman Sachs to develop over the 26-acre West Side rail yards. A few nuggets of rail yards info from the meeting: According to M.T.A. CFO Gary Dellaverson, who summarized negotiations to the board, the key to the Related Companies' victory was its willingness to literally pick up the $1.054 billion Tishman Speyer deal and sign it, only inserting one notable change. The other two firms remaining, Extell Development and Durst Organization/Vornado Realty Trust, came back with formidable bids—Durst/Vornado had bid within $40 million of Tishman Speyer and Extell raised its bid to no more than $900 million—but were both unwilling to sign the designation letter that came as the result of weeks of negotiations with Tishman." So, in the end, one company gets it, and two additional come back with "formidable bids." So let's review - 1.) weasel boy says "Biggest Bear Market Sign Yet: Deal to Build at Railyards on West Side Collapses." OOPS - WRONG! 2.) weasel bay says "Developers who a year ago would have gleefully bid any price for a building or a project are now delaying or abandoning projects..." OOPS - WRONG! 3.) weasel boy says "Yes it will be developed - at a far lower price." OOPS - WRONG! 4.) weasel boy says "The two sides will take the next four months to complete a contract to buy the development rights." That's where the last deal fell apart. Let's see what it looks like in 4 months. This is merely an agreement to try to reach an agreement." OOPS - WRONG! Evidently, "That old gray mare still IS what it used to be IS what it used to be IS what it used to be..." [less]