Moynihan Project To Go Forward, Despite Shortfall

By PETER KIEFER, Staff Reporter of the Sun
February 13, 2008

Despite a financing shortage of more than $1 billion, Governor Spitzer is assuring New Yorkers that the Moynihan Station development project will not suffer the same fate as the now defunct plan to expand the Javits Convention Center.

At a press conference yesterday, Mr. Spitzer said "real progress" was being made in the planned overhaul of Pennsylvania Station, which would require relocating Madison Square Garden to the western side of the neighboring Farley Post Office building.

"The difference is we are managing this in a very different way; whereas the Javits discussion was discussed many, many years ago and never really got to the point of closure, with people agreeing on a plan and hence dealing with the question of finances. Here we are very close," Mr. Spitzer said.

"We feel very comfortable that we are making real progress and will be able to match each of the targets that has been laid out there," he said.

The governor's comments came a day after the chairman of Empire State Development Corporation, Patrick Foye, testified to the state Assembly's Committee on Corporations, Authorities and Commissions that the budget for the $2.3 billion project was still being pieced together.

Mr. Foye said he hoped to get more funding from the developers, the Related Companies and Vornado Realty Trust, along with more city, state, and federal funds.

Mr. Foye said the funding shortfall was at least $1 billion.