City and regional agencies appear to be poised to dramatically alter the future of Bayonne, negotiating deals behind the scenes that would create and expand container port operations and reduce or eliminate large properties once planned for residential development.
In the aftermath of the $325 million sale of a portion of the former Military Ocean Terminal (MOTBY) to the Port Authority of New York and New Jersey for a container port, the Bayonne Local Redevelopment Authority (BLRA) is apparently also brokering deals that could result in the sale of other portions of MOTBY, as well as a 71-acre site at the foot of the Bayonne Bridge commonly known as “the Texaco site.”
Also apparently in negotiations – despite claims to the contrary earlier this year – Port Authority appears to be ready to purchase the Maritime District from Ports America, which the BLRA sold to Ports America 18 months ago.
“The Texaco property is one of the sites that is being considered for the 9/11 memorial.” – A BLRA official
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Rumors of the Ports America deal surfaced last spring and were firmly denied by Ports America. But this week, several city officials confirmed that discussions are indeed underway between the two, and that a possible sale is imminent.
Ports America purchased a 100-acre site on the MOTBY in 2008 for $90 million to use as car import/export operation, after the BLRA voided a previous agreement with the Port Authority for $50 million. The Port Authority sued, but the BLRA prevailed in court.
Now city officials say the Port Authority has offered Port America $125 million for the car import/export site to allow them to expand their planned container port operations.
Port Authority’s presence growing on MOTBY
The Port Authority recently purchased three other development districts on the MOTBY for $235 million, and the agency left the door open for the possible purchase of other sections when its contract required the city to zone the Harbor Station district for warehouse uses. This may void plans for a mall once planned for the Harbor Station, another potential tax ratable that would be lost.
The Port Authority may also be in discussions with the BLRA for the possible purchase of another huge redevelopment site near the foot of the Bayonne Bridge, popularly known as “the Texaco site.” While this is currently being considered for housing development, several sources said discussions are underway and could include an agreement to set aside a portion of this land for a three-acre park where the 9/11 teardrop memorial might be relocated.
This purchase would give the Port Authority significant options in dealing with the replacement of the Bayonne Bridge, allowing it to develop a different strategy for building a higher bridge, but one that would not require extending existing ramps through areas currently used for residential development.
While the Texaco site is privately owned, its redevelopment is overseen by the BLRA, and several officials said the BLRA is in discussions with the Port Authority concerning that area of the city.
“It is very possible the Port Authority will buy that land,” said one official.
“The Texaco property is one of the sites that is being considered for the 9/11 memorial,” said one official with the BLRA.
Under state regulations, the BLRA or city must find another site to replace the current park, which currently hosts the teardrop memorial.
9/11 memorial still without a new home
Relocating the teardrop monument, “To Struggle Against World Terrorism” – a 100-foot high statue by world-renowned artist Zurab Tsereteli – is one of the requirements made by the Port Authority. Their land purchase includes Harbor View Park, which will play a key role in the container port operations, making it unsuitable and unsafe as a park. The monument to the United States from the people of Russia, features a single silver tear which – according to Tsereteli – is shed perpetually for the victims of the terrorists’ attacks.
“If we can’t relocate to the Texaco site, we’re considering placing it somewhere in Dennis Collins Park,” one official said.
Dennis Collins Park runs along the Kill Van Kull east from the Bayonne Bridge to Lexington Avenue along First Street. The Texaco property is on the western side of the bridge.
The reports of possible Port Authority interest in the Texaco site comes within days of Gov. Christopher Christie announcing support for the modernizing of the Bayonne Bridge, which links the city to Staten Island, by the Port Authority.
Upgrading the bridge
The bridge has to be raised or removed in order to allow larger cargo vessels to access Port Newark and Elizabeth along Newark Bay. The new ships are expected to begin arriving in the area after the reopening of the newly widened Panama Canal in 2015, by which time the state has to find some way to raise the bridge another 30- to 41-feet. Currently, the bridge has a clearance of about 151-feet.
The problem, locally, however, is that to raise the existing bridge, ramps leading up to it will have to be extended on both the Bayonne and Staten Island side – through existing residential neighborhoods.
Mayor Mark Smith, however, said the Port Authority – in setting aside $1 billion to solve the problem of the bridge – will not destroy existing homes.
Christie said the solution would involve moving or replacing the bridge.
Local officials, none of whom wanted to be named for this report, said taking possession of the 71-acre Texaco property could solve the problem by allowing the Port Authority to use new designs for construction.
The Port Authority handles 40 percent of cargo operations on the East Coast.
“Our job is to make sure that the region’s port remains the leading destination for international shippers and the catalyst for regional economic and job growth,” said Port Authority Chairman Anthony R. Coscia during the press conference held at the foot of the bridge last week.
Al Sullivan may be reached at asullivan@hudsonreporter.com.