Touting the potential for property-tax relief and job creation, New Jersey Gov. James E.McGreevey this week voiced his support for the Xanadu Redevelopment Project at theMeadowlands sports complex in East Rutherford. The announcement came shortly after theNew Jersey Sports & Exposition Authority overwhelmingly approved a plan to build a $1.3billion, 4.76 million square-foot retail and entertainment mecca at the complex.
In addition, the governor unveiled his plans for a 1.9-mile rail spur from the PascackValley Line to a new station near Giants Stadium, which could help alleviate trafficsnarls around the complex and bring visitors directly from New York City and other partsof New Jersey.
"The Port Authority of New York and New Jersey will provide $150 million in funding fora rail spur to the Meadowlands site," McGreevey said in a statement. "This funding willbe included in the Port Authority's capital plan, which will be approved in the nearfuture."
The Sports & Exposition Authority in February selected Virginia-based Mills Corp. andMack-Cali Realty Corp. to redevelop the 20,000-seat Continental Airlines Arena, home tothe New Jersey Devils and New Jersey Nets, and build numerous attractions, including ayear-round indoor Alpine ski resort, a minor league baseball stadium, a movie theater,hotel, and office space.
Under the terms of the deal, the developers would make a $160 million lump-sum paymentinstead of ground-lease payments for the first 15 years of the project. That money, inturn, would be used to pay down the sports authority's revenue-backed debt and stateappropriation-backed debt for an estimated savings of $100 million by paying down $150million of debt ahead of schedule.
