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Update: Lawsuits Mar Development of Kingsbridge Armory

The City Council is now reviewing the redevelopment plan for the Kingsbridge Armory, with community leaders overwhelmingly supporting the project.
The City Council passed a resolution to redevelop the Kingsbridge Armory, with community leaders overwhelmingly supporting the project. File Photo


By PAMELA SEGURA and DAVID CRUZ

For over two months, the Kingsbridge Armory has been at the center of ongoing legal drama that can likely stall the project for months. Plans to turn the landmark Armory into an ice skating facility are now at a standstill following ongoing disputes between Kevin Parker, the developer of the Kingsbridge National Ice Center (KNIC), and his partners Jonathan Richter, Jeff Spiritos and Marcos Wignell.

The suits raise questions over whether development is indeed in the works for the Armory, long considered a game changer for the borough. For the past year, Borough President Ruben Diaz Jr. has touted the project to be an example of the “New Bronx,” which would solidify a renaissance for a borough largely lagging in development when compared to the rest of the city. Diaz maintained that his office is “confident that this greatly anticipated project will continue to move forward.”

What’s at Stake
From a monetary standpoint, the project would bring $1.3 billion in economic activity for the borough over the next 30 years. The $345 million project also promised over 700 temporary construction jobs and over 200 permanent jobs that guarantees a $10 living wage, a major benefit for a borough where much of its socioeconomic status remains working poor.

A Community Benefits Agreement, which would be activated once a lease is signed, would offer the surrounding neighborhoods $1 million a year allocated to local nonprofits, free ice time for neighborhood youth, and 52,000 square feet of community space in the lower level of the castle.

Legal Issues
Legal troubles at the Armory surfaced last week, though the versions from each side vary. Richter, Wignell and Spiritos filed a suit in Manhattan Court on May 22 against Parker. Their attorney, Ernest Badway, seeks to have his clients assume control of KNIC, founded as a limited liability corporation that Parker’s legal team formed to secure the deal. Parker filed a lawsuit a week later.

“We believe that we’re the only parties in the project that can get this project done in an efficient manner,” Badway told the Norwood News.

In court papers, Badway noted that Richter and his colleagues volunteered their time hoping to be compensated with a partnership stake. One contribution, according to Badway, involved Richter finding the site for the project. Parker, according to Badway, initially scouted a site in Queens.

Parker claims his former partners spoke out of turn when they expressed in a letter to the New York City Economic Development Corporation that Parker was too inexperienced to bring KNIC to fruition. Contrary to Richter’s statement, Parker insists it was the EDC that suggested the Kingsbridge Armory to be the site for the ice rink in 2011, two years after he conceived the idea for the ice rink to answer what he saw as an ice shortage.

He assembled a team of advocates, which included former New York Rangers hockey player Mark Messier, to initiate the project. Richter soon brought Spiritos and Wignell to the project sometime after that.

“Our client believes defendants are interfering with the forward progress of this project to gain financial benefits to which they are not entitled,” said Parker’s attorney, William A. Brewer III. Though Richter did spend time on the project, Parker never promised a partnership, according to Brewer.

Brewer continued, “We are confident the court will recognize the rights, responsibilities and limitations of the involved parties and, in so doing, allow Mr. Parker, the Economic Development Corporation, and the Bronx community to realize the vision upon which this transformative project was founded.”

A Project in Limbo
Leases with the EDC have yet to be signed, putting the project in limbo. Badway said that regardless of lawsuits, Parker would still confront hurdles, mainly the $345 million needed to build the project.

He’s yet to secure the millions of dollars needed for the project, according to Badway. He added Richter and Wignell sought financing through the EB5 Program, which gives foreign investors Visas if the funds generate American jobs. Brewer insists that Parker has the funds needed to begin the project.

The EDC, serving as the city’s real estate broker, has now launched a review of the project. Kate Blumm, a spokesperson with the EDC, insisted it is not a detriment to the project. “We are advancing contract negotiations to move forward with this transformative project,” said Blumm. “In our current view, there are no significant delays from the original timeline.”

Despite setbacks, many in Kingsbridge remain hopeful about the Kingsbridge National Ice Center and what it can signify for the borough.

“Over the last few years, KNIC Partners have been a strong partner in the effort to redevelop the Kingsbridge Armory,” said Adaline Walker-Santiago, Chair of Community Board 7. “While the current situation is unfortunate, we have every confidence that KNIC will deliver on their promises and that this project will be completed in a timely manner.”

Along the Kingsbridge Road commercial strip, merchants have waited in anticipation for a project to occupy the massive castle. For Rosa Mejia, who owns La Nueva Cocina, she’ll have to continue driving to New Jersey to ice skate. She is depending on the ice castle to prop up her restaurant. “It’s good for business,” she said.

The parties are expected to meet June 23 at Bronx Supreme Court. Brewer will ask a judge to stop Richter, Wignell and Spiritos from continuing to represent themselves as part of the project as the suits progress.

 

 

Welcome to the Norwood News, a bi-weekly community newspaper that primarily serves the northwest Bronx communities of Norwood, Bedford Park, Fordham and University Heights. Through our Breaking Bronx blog, we focus on news and information for those neighborhoods, but aim to cover as much Bronx-related news as possible. Founded in 1988 by Mosholu Preservation Corporation, a not-for-profit affiliate of Montefiore Medical Center, the Norwood News began as a monthly and grew to a bi-weekly in 1994. In September 2003 the paper expanded to cover University Heights and now covers all the neighborhoods of Community District 7. The Norwood News exists to foster communication among citizens and organizations and to be a tool for neighborhood development efforts. The Norwood News runs the Bronx Youth Journalism Heard, a journalism training program for Bronx high school students. As you navigate this website, please let us know if you discover any glitches or if you have any suggestions. We’d love to hear from you. You can send e-mails to norwoodnews@norwoodnews.org or call us anytime (718) 324-4998.

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