By: (AP) Construction on a new headquarters for The New York Times Co. has been put on hold until the company's partner in the project secures financing, the newspaper said Friday.
The newspaper is not expected to move in until late 2006 or early 2007, about two years later than initially planned, chief executive Russell Lewis said.
"Obviously, it's a difficult climate for large commercial projects of that nature," Lewis said. "As long as there's no financing, the project will not go forward."
The Times Co. and its partner, Forest City Ratner, made a deal with the city more than two years ago that provided tax breaks and other subsidies to build the 52-story tower, stretching across an entire block of Times Square.
However, Forest City has been unable to find a prime tenant for its portion of the building, which has made it difficult to obtain a construction loan, the
Times said.
Forest City has applied for $400 million in Liberty Bonds -- tax-exempt bonds intended to help finance projects to rebuild New York after the terrorist attacks -- but negotiations with the city are at a standstill, the
Times said.
According to the terms of the partnership, the Times Co. will own the second through 27th floors, while Forest City will own the upper floors.
Comments
No comments on this item Please log in to comment by clicking here