NYCRC to provide a $16.5 million loan to assist with the redevelopment of Pier A

NEW YORK, NY – September 1, 2011 – The New York City Regional Center (“NYCRC”) is pleased to announce that it is providing a $16.5 million loan to an affiliate of The Dermot Company, the real estate company designated by the Battery Park City Authority to assist with the redevelopment of historic Pier A, a New York City Landmark and the closest site in Manhattan to the Statue of Liberty.  The loan will help transform the government-owned three-story Pier A building and its site into a public and private space featuring restaurants, event and entertainment spaces, outdoor seating, and a visitor information center.

In 1975, Pier A was placed on the United States National Registry of Historic Places and was designated a New York City Landmark in 1977.  The Pier A building has sat vacant since 1993 and fell into a state of disrepair.  The project will fulfill the City of New York’s goal of rehabilitating the Pier A building and surrounding area.  Enhancing access along the waterfront is critical to ensure the economic growth of Lower Manhattan.  The redevelopment of Pier A will increase visitor levels and consumer spending in the area.

“This project is a critical job creating development and will provide public access to the waterfront for generations of New Yorkers,” said Stephen N. Benjamin, Vice President of The Dermot Company.

“We know firsthand that EB-5 has brought stalled development projects back to life in Lower Manhattan.  In a stagnant economy with credit markets still essentially frozen, EB-5 provides a valuable finance tool to advance local economic development initiatives,” said Elizabeth H. Berger, President of the Alliance for Downtown New York.

“The NYCRC is pleased to assist with the construction of one the most historic structures along Lower Manhattan’s waterfront,” said Paul Levinsohn, Managing Principal of the NYCRC. 

“This project will help to increase visitor levels and consumer spending in Lower Manhattan,” added George L. Olsen, Managing Principal of the NYCRC.

The NYCRC was approved by the United States Citizenship and Immigration Services (USCIS) in 2008 to secure foreign investment for real estate projects within Brooklyn, Queens, Manhattan, and the Bronx.  NYCRC is the first regional center approved in New York City.  The NYCRC works in conjunction with the government and designated developers to fund critical economic development projects in New York City. 

The NYCRC has become an important contributor to New York City’s economic revitalization by helping to fund a series of public/private real estate projects that are creating much needed jobs.  NYCRC projects include EB-5 funding to assist with the redevelopment of the Brooklyn Navy Yard, New York City’s largest industrial park, as well as funding to assist with the expansion of Steiner Studios, the city’s largest film and television production facility.  The NYCRC is also providing funding for key components of the Atlantic Yards project in Brooklyn as well as the redevelopment of the Battery Maritime Building in Lower Manhattan.

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