Stadium Plan For MLS' NYC FC Could Push $200M To Yankee Stadium Parking Company
Bronx Parking Development Co., the "nearly bankrupt Yankee Stadium garage company," could receive new taxpayer subsidies of more than $200M if "a financial bailout plan approved last month" by the Bloomberg administration goes through, according to Juan Gonzalez of the N.Y. DAILY NEWS. The Yankees and EPL club Manchester City, which co-own MLS club NYC FC, are offering to pay an estimated $25M "for one of the garages currently owned" by Bronx Parking Development, and "demolish that garage" to build a new $350M stadium for NYC FC. But under the bailout plan approved on Dec. 18 by the Bronx Parking Development BOD and the holders of its debt, the reorganized company "would pay no rent" until 2056 for more than 20 acres of city-owned land "where its other stadium garages are located." The company was supposed to pay $3.2M "annually in rent for the land, plus pay real estate taxes," under its '07 agreement for $237M in tax-exempt bonds it received to build the garages. However, the garages "were a financial disaster from day one, as Yankee fans shunned their sky-high rates of $35 on game days." As a result, the company "now owes more than" $50M in rent, taxes and penalties. The city under the reorganization plan "will lose all" of the $50M it is currently owed, plus another $150M in future rent (N.Y. DAILY NEWS, 1/6).