| New York, NY | Approved FY 1999 |
Borrower |
Moynihan Station Development Corporation (MSDC), a subsidiary of New York State' Empire State Development Corporation (ESDC). The MSDC has selected the development team of the Related Companies and Vornado Realty Trust (Related/Vornado) to build and operate the facility.
Penn Station is presently the nation' busiest transportation facility, handling more than 500,000 rail and transit passengers daily. This project will expand the underground Penn Station by refurbishing the adjacent James A. Farley Post Office Building and connecting it to the existing station, thereby increasing capacity by 30 percent and doubling passenger circulation space.
Many Moynihan Station partners and plans have changed since the project first applied for a TIFIA loan commitment in 1999. The purchase by the ESDC of the entire Farley Building from the US Postal Service is scheduled for 2006, as are the execution of Related/Vornado' lease with the MSDC and the commencement of project construction. Work is proceeding on renovations to the Farley Building façade. New Jersey Transit has agreed to become the anchor transportation tenant of Moynihan Station, shifting operations from the existing station. Amtrak is participating in design efforts, with reimbursement by MSDC of Amtrak' costs in connection with this work.
Anticipated funding sources for the project defined in 2000 are as follows (dollars in millions):
Total: $795.0
In addition, the project received a commitment for a $20 million TIFIA line of credit.
*(revenue bonds to be issued by MSDC)
Direct loan: $140 million.
Line of credit: $20 million.
Date of credit commitment: November 6, 2000.
Under the original agreement the TIFIA loan was to be secured by a subordinate lien on three revenue streams: lease payments from the Port Authority of New York and New Jersey, revenues from Amtrak, and rents paid from planned station retail facilities.
With substantial changes in the project’s scope and financial structure since 2000, the agreement will need to be re-negotiated should the MSDC elect to utilize its TIFIA commitment.
