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MTA Settles With Broadway Tenants It was to have been a demonstration, but the small gathering on the site of the future Fulton Transit Center one recent Sunday morning was made up mostly of reporters, their cameras, and curious passers-by. “The end is coming! The end is coming! The MTA is forcing us to close,” one man bellowed through a bullhorn in front of a men’s wear shop down the block. But it was another announcement that drew most of the attention. During a press conference Aug. 13 in front of the darkened doors of Grace’s Deli at 198 Broadway, City Council members David Weprin and Alan Gerson announced that the Metropolitan Transportation Authority had settled in court with 88 of the small businesses soon to be displaced by the new Transit Center. The MTA had promised relocation assistance months ago as required by federal law, yet until now, hardly any of the tenants had received any money. In principle, the settlements should release the monies, which have been held up by red tape. “The money is already starting to flow,” said Ann Kayman, an attorney for 52 of the affected tenants. The Fulton Transit Center, a more than $800 million project that will include a steel and glass structure that will take up much of the block above ground, will displace 148 small businesses there, primarily those on the east side of Broadway between Fulton and John Streets. The MTA is acquiring the properties through eminent domain. A judge ruled Aug. 11 that the tenants must vacate by Sept. 6. The surprise settlement agreement took the steam out of the Aug. 13 gathering. There were none of the earmarks of earlier rallies – no angry posters, and only two or three of the affected business owners took time out of their sunny Sunday to hear the official announcement. “I don’t think we could have expected too many considering the settlements were already reached,” said Arthur Castle, a statistician and tenant on the affected block who did not attend the conference. Castle, who is one of the recipients of a settlement, has been an outspoken critic of the MTA’s eviction practices in past months. He was reticent to comment on the settlement proceedings. “I’m aware that negotiations are still going on and I don’t want to say anything that will impede the progress we’ve made so far,” he said. Unable to find a comparable office space in Lower Manhattan, Castle is moving to a new location in Midtown, on Madison Avenue. “A small community is being broken up,” he said. “The neighborhood will miss us and we’re going to miss them.” Nine business owners did not seek legal representation and thus may not reap the benefits of a settlement, Kayman said. Dolores D’Agostino was one of the few tenants who came to the press conference. The owner of a nonprofit that works with the elderly, she worried that she might be one of those left out of the loop. She moved out of her office at 198 Broadway and began working out of her home in March, without seeking legal representation. She said she admires those business owners who have stayed until the last moment. “But we went by the rules and got out when we were supposed to,” she said. “I don’t think we should be penalized for it.” Weprin also announced new legislation on behalf of the tenants. The legislation proposes waiving a 500-dollar application fee for revitalization benefits by the relocated businesses. It would also expedite tax searches so tenants could quickly demonstrate their good standing to the MTA in order to speed payment. For months business owners have complained of ill treatment at the hands of the MTA, including insufficient funds for relocating, lack of information regarding eviction dates, and general disregard for the difficulties of finding affordable office and retail space in Lower Manhattan. Those complaints do not appear to have diminished in the wake of the settlements. Katherine Hill, owner of FDT Design, a graphic design business formerly located on the block, has relocated on nearby Maiden Lane and will receive a settlement. But she’s still angry. “What’s been frustrating all along is the MTA knew they were going to evict some 140 small businesses,” she said. “So why didn’t they get their act in gear a year or two years ago and try to do it properly?” Hill moved her office to the block three years ago because of new business incentives after September 11, 2001. “And we thought well, this is secure because they want to keep us here and they feel that we’re important,” she said. “I guess that was naïve thinking on my part.” Some tenants are just ready to say good-bye to what they say has been a long ordeal. “The settlement in a big sense brings closure to the whole fight here,” said William Saad, a tailor with a shop at 198 Broadway. He had just signed a settlement check when a reporter from the Tribeca Trib called. “I’m practically emotionally drained and in a state of shock,” he said. While lawyers and tenants are withholding details of individual settlements for now, it is clear that business owners like Saad will need all the help they can get. As the building empties, Saad has been desperately searching for a comparable space in lower Manhattan. “I’m waiting for a call about a lease next to Century 21,” he said. “It’s double the rent, and when you look out the window you see a wall.”
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