A tax-free bond program that provided below-market financing to build Goldman Sachs Group Inc.’s headquarters is expiring while New York developers say the city’s commercial real estate market still needs support.
Developer Larry Silverstein will seek private funding for the construction of lower Manhattan’s 3 World Trade Center as the Port Authority of New York and New Jersey backs away from providing a loan guarantee, a person with knowledge of his plans said.
The first skyscraper at lower Manhattan’s World Trade Center is set to open with two days of ceremonies to mark the renewal of the area after its destruction by terrorists. When the fanfare subsides, the task will be filling the 40 percent of the tower that’s empty.
New York Liberty Development Corp., issuer of $2.6 billion in debt to help rebuild the World Trade Center, sold $650 million in tax-exempts, the most this week, as the supply of municipal securities fell to a 12-week low.
The Port Authority of New York and New Jersey is considering subleasing as much as a quarter of its new headquarters at 4 World Trade Center, the lower Manhattan tower it owns and is scheduled to open next month.