Saturday, May 12, 2012

Fresh Direct deal under fire

From the Daily News:

Two months after the Bloomberg administration approved $82 million in subsidies for the company to move to the South Bronx, two City Council members have asked the Cuomo administration to halt the deal.

Melissa Mark-Viverito and Maria del Carmen Arroyo want Albany to delay the move pending an audit of the Harlem River Rail Yards, the state-owned, privately-controlled waterfront site where FreshDirect plans to build its new headquarters.

"We need greater transparency," Mark-Viverito said Tuesday.

The city, state and the Bronx have already committed about $120 million to the online grocer, with some caveats, but the Cuomo-controlled Empire State Development Corp. has yet to approve an additional $9 million. It expects to vote on the grant this summer.

"We are concerned that this property has been and continues to be used in a manner that is causing severe harm to the residents of the South Bronx and that undermines nearly two decades of rezoning and development," the councilwomen wrote in a May 3 letter to Joan McDonald, state Department of Transportation commissioner.

When Harlem River Yard Ventures leased the site from the state DOT in 1991, the company vowed to develop a new rail system that would reduce local truck traffic.

But Mark-Viverito and Arroyo claim it has done the opposite, inking subleases with heavy truck users such as FedEx, the New York Post and now FreshDirect.


Anonymous said...

Where is Helen Marshall to keep the jobs here? Instead notn a peep out of her while Bloomberg and Cuomo offer millions of our money to FD to leave, after they committed to stay in Queens!

Anonymous said...

And why does no one report that FD is moving admin to NJ anyway!New offices being refurbished across the river as we speak.