Tag Archives: financial crisis

SUPERBLOCK Strikes Back (Again)

Update 4/26/2012: My more than capable readers have pointed out that I’ve confused the various multi-million dollar cases that the City is on the hook for.  It turns out this is yet another lawsuit that the Habermans have against the City.  This one for $50 million.  My mistake for mixing it up with another real estate boondoggle the City has on the SUPERBLOCK leaving the City on the hook for $26 million.

Back in October I warned that the City may be on the hook for more than $26 million because of years of SUPERBLOCK mismanagement.  I then received a scathing letter from our zany then-City Manager Charles Theofan basically claiming I was wrong on all counts.  He said I “didn’t get the story right,” even though he did not point out a single area where I was factually incorrect.

I guess I’ll have to apologize now, because it turns out I was wrong.  The City is not liable for $26 million, but instead a recent appeals court decision says the City is liable for $50 million.  It appears the former administration was not “successfully resolving serious problems,” but has left yet another turd for this beleaguered City to deal with.

Read the whole Long Island Business News story here

Read my initial post here which outlines the whole story

And you can take a look at Theofan’s response

As long as 1,000,000 people attend the beach and we raise the price of beach passes by 316% we can pay this off in just one summer!