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Forest City agrees to buy out Skanska at Pacific Park

Work on 32-story, 363-unit tower project B2 expected to start up again

From left: Forest City Ratner’s MaryAnne Gilmartin, B2 and Skanska CEO Michael McNally
From left: Forest City Ratner’s MaryAnne Gilmartin, B2 and Skanska CEO Michael McNally

Forest City Ratner signed a deal to buy financial partner Skanska USA Building out of its stake in a closed Brooklyn Navy Yard factory that was producing modular units for the Pacific Park residential development.

Now that Forest City has control, the company can advance construction on a 32-story, 363-unit tower project, B2, that has been stalled for three months. Forest City still has to line up a company that manufactures modular units, but workers on the project who had been furloughed may soon return to work.

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Despite the agreement, Forest City and Skanska are still in a legal dispute over cost overruns. Ratner’s firm has accused Skanska of rendering the project millions over budget. Skanska claimed that Forest City’s flawed design contributed to the problem. [NYDN]Mark Maurer

 

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