Staten Island leasing deal to bring fourth berth to NYCT terminal

THE Port Authority of New York and New Jersey (PANY-NJ) have signed a 35-year lease extension with the City of New York for the 202-acre Howland Hook Marine Terminal in Mariners Harbour on State Island that will allow sublease holder New York Container Terminal to build a fourth berth, reports the Staten Island Advance newspaper.

The extension, which will include a port authority's investment of US$110 million for improvements including channel dredging to 15 metres by 2023, is going ahead despite the downturn and slackening global demand, said the newspaper.

The extension allows the Port Authority to maintain long-term strategic control of a container terminal within the port, to realise the benefit of previous investments, and to make a major capital investment of $110 million to benefit the Howland Hook Marine Terminal, said a port authority statement.

Two years ago, the Port Authority completed its most recent major investment in the Howland Hook facility when it opened ExpressRail Staten Island - a $26 million ship-to-rail cargo transfer facility. During its first year in 2008, the facility handled more than 44,000 containers by rail and removed approximately 70,000 trucks from the road.

"Although our maritime business has suffered from the downturn, our goal is to be well-positioned to meet future cargo demands," said Port Authority chairman Anthony Coscia.

Said Staten Island Borough president James Molinaro: "With over 515 full-time jobs and annual revenue of $187 million, this lease provides security to one of the island's most important economic engines. The Port Authority of New York and New Jersey is to be commended for this forward-thinking investment."

(Source: www.schednet.com)