RE: NY WHEEL9 May 2018 11:08
Exclusive: NY Wheel strikes major deal; will it save the project?
STATEN ISLAND, N.Y. -- The New York Wheel has been given 120 days to get the project to build a 630-foot-high observation wheel on the St. George waterfront back on track.
An agreement was reached Monday between the NY Wheel and the Holland-based Mammoet-Starneth -- the contractor who walked off the job and was subsequently fired last year -- during bankruptcy proceedings in Delaware Bankruptcy Court.
While the agreement has yet to be signed by the judge, both parties have hashed out a plan that will either facilitate the building of the NY Wheel or potentially terminate the project. The judge is expected to sign the agreement next week barring any objections.
120-DAY STANDSTILL
One aspect of the agreement, effective immediately, allows both parties to enter a 120-day standstill period, extending through Sept. 5. This allows the NY Wheel to come up with the necessary financing to complete the project and hire a new contractor, according to court documents.
The NY Wheel can terminate the deal at any time before the 120 days are up if it can't obtain financing, court documents say.
In addition, the agreement, once signed by a judge, will dismiss the lawsuit the NY Wheel filed against Mammoet-Starneth for breach of contract.
http://www.silive.com/northshore/index.ssf/2018/05/court_agreement_could_make_or.html