Published November 17, 2010
Three years ago, this was Filene's Basement. (Andrew Phelps/WBUR)
Consider it a final nail in the coffin for the long-stalled redevelopment of Filene’s Basement, which remains a gaping hole in Downtown Crossing.
The Boston Redevelopment Authority has formally revoked approval for Vornado Realty Trust, three years after the company won permission — and then failed — to redevelop the site.
The agency said the delay has cost the city of Boston $20 million in new tax revenue and more than 3,000 jobs.
Vornado has said the project was stalled because of the unforeseeable collapse of the economy.
Jessica Shumaker, a BRA spokeswoman, says the recession stalled a lot of construction projects — but this one was “special.”
“There are certainly other projects that have had their approval for longer, but they didn’t create a hole on the site,” Shumaker told me.
This is the first time in recent memory that the city has yanked permission for a construction project. Vornado’s construction permits are effectively worthless, since permits require BRA approval.
In September, the Globe reported Vornado had put up the site for sale after a two-year construction delay.
“Filene’s Basement was operating and employing people on this site, and that’s not the case anymore,” Shumaker said.