Melrose Munch
Registered User
- Mar 18, 2007
- 23,696
- 2,136
They aren't getting kicked out of MSG. The reason they have such a sweetheart deal from the city to be in that very spot is because no one wants to the mayor who loses a team.
I would be curious to see how MSG/Oakview worked out the numbers to show there is enough non-hockey business requiring 17-18K sears left over from MSG that they could get out there while under-bidding Barclays.
Actually the sweetheart deal is because Ed Koch got suckered into giving MSG a perpetual property tax exemption when he thought it was actually a 10-year exemption. I wouldn't be surprised if MSG wrote the language in the bylaw verbatim.
But the city has control if they choose to exercise it because you need a renewable permit to operate a venue over 5000 seats. The city can yank that permit at any expiration point.
I know they have the right to, but do you really see the city pushing the Knicks and Rangers out of MSG? They will get at least another 10 years after this first 10 years is up. The place gets a redo every 20 years or so. The last one before this was 1991 so a 10 year extension would be right on track.
It has a growing opposition by legislators whom are pushing for the Refurbishment/Expanding of Penn Station as NY continues outgrowing its transit hubs. I think its becoming a real concern with the Grand Central Station expansion that there needs to be further infrastructure improvements. I agree that it would be a great loss of an Icon like MSG but its harder to move the train Station. Its a real conundrum and legitimate argument.
They'll never push them out because they don't have the money. The city would have to buy out the real estate easily over a billion and then find a replacement site, and then plow the other billions into building a new Penn Station so people can have a little more sunlight in the 5 minutes they blow through there.
But I do envision the city refusing to renew the venue permit if the garden doesn't give up its preferential tax breaks
I thought they reached a compromise where MSG gave up the adjoining theater?
We'll see I think if DeBlasio is still there the will be an issue, if someone else is in, I think the issue will be dead.That's a deal with the State, Dolan & Cuomo, to avoid relocation. Things could change with a new governor, I doubt this latest reno goes through. But Dolan has made no new deal with the city, the council/mayor can refuse to renew the permit at any time if they wanted to
Or Dolan can simply move the Rangers and Knicks to Belmont along with the Islanders if he's forced out...This again. It has been beaten to death on here. Dolan offered years ago to move across to the Farley Building and renovate it into a new MSG and the powers that be dragged their butts just like those out in Nassau County did. The city council can try to strong-arm dolan by not renewing the permit, his lawyers will get an injunction preventing them from doing so and tie this up in court for years. If they want to get him out to fix penn station, their only option is to buy the building from him and give him enough time to get a new arena built in Manhattan.