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LMDC and Lend Lease in $50 million settlement to improve Manhattan

Staff writer ▼ | March 21, 2016
Governor Andrew M. Cuomo announced that the Lower Manhattan Development Corporation (LMDC) will fund 14 key projects through a $50 million legal settlement with Lend Lease Construction LMB (formerly Bovis Lend Lease LMB).
Lower Manhattan
New York   The 14 projects for communities in lower Manhattan
The 14 projects will enhance the cultural, recreational and education opportunities in the region and ultimately improve the quality of life for residents in lower Manhattan.

“This action will help strengthen these neighborhoods in lower Manhattan and create a better environment for people to live, work and visit,” said Governor Cuomo.

“The Lower Manhattan Development Corporation has been a major force in the rebuilding for this community, and with these projects, this progress will continue for years to come.”

The settlement, which was originally reached in the spring of 2015, marked the resolution of a lawsuit between LMDC and Lend Lease concerning the demolition of the Deutsche Bank Building.

Lend Lease agreed to pay LMDC $40 million and to forgive more than $10 million in outstanding payments. The funds recovered were initially provided to LMDC in Community Development Block Grants administered by the U.S. Department of Housing and Urban Development.

To determine the best uses for this funding, the LMDC formed a Working Group consisting of state and city officials as well as Catherine McVay Hughes, who also serves as Chair of Community Board 1 and as a member of LMDC’s Board of Directors.

The Working Group conducted extensive reviews of the proposals, including site visits and interviews, and oversaw a public information session last September, during which dozens of community members presented and discussed various proposals.

LMDC was created in the aftermath of September 11, 2001 to help plan and coordinate the rebuilding and revitalization of Lower Manhattan. LMDC is a joint state-city corporation governed by an eight-member Board of Directors, half appointed by the Governor of New York and half by the Mayor of New York.

Since its inception, LMDC has allocated more than $2 billion in federal funds toward redeveloping Lower Manhattan.