Cappelli: “…It is Unclear if the Project Can Proceed” By Hezi Aris

eHezi Archives 41 Comments

CAPPELLI_LouisHeadshot Heavy moving equipment litter the prophesized $1 billion
resort set to rise above the Concord
hotel in Kiamesha Lake ,
in the Catskills, but the steel girders and concrete frames of a new racino and
hotel complex is situated under a tarp, covering an incomplete foundation . The
ruling by Supreme Court Judge Burton Ledina on behalf of the Department of
Environmental Conservation on March 31st, 2009 to deny Cappelli’s
Concord Associates’ two-years-long legal request to expand an additional 20.57
brownfield acres to Louis Cappelli’s present brownfield approved 14.53 acres cleanup
area has capped the project at $25 million in brownfield cleanup funds dashing
Louis Cappelli’s hopes for more.

 

Reminiscent of Cappelli Enterprises Executive Vice-President
Joe Apicella’s oft-heard outcry in Yonkers,
Concord Associates said that if the additional acreage wasn't included,
"it is unclear if the project can proceed."

As in Yonkers,
the project has stalled, while many Sullivan County
and Yonkers
officials are respectively upbeat, raising $1 billion to build the largest
project in the Hudson Valley
seems a pipedream. In Yonkers,
Cappelli Enterprises, a partner in the SFC
Yonkers, Inc. project has scaled back from a $3.1 billion, to a $1.6 billion,
to a $500 million project that demands $300 million in taxpayer subsidy and
$200 million in developer investment to which developers, Struever, Fidelco,
and Cappelli, have as of yet been  incapable of financing. Cappelli and Fidelco
CEOs had only yesterday personally undersigned their names to borrow $4.2
million in 108 HUD designated loans payable by 2012 to pay for permits and past
due bills they owe consultants hitherto unpaid.

Gambling and financial experts say that Cappelli’s  hope to raise $1 billion for the Hudson Valley
project is a long shot, at
worst, it’s dead as originally proposed. Perhaps Mr Cappelli’s next move is to
downsize the entire project vis-à-vis his recent diminution of the Chicken Island
project.

In the Catskills, the land disposition agreement (LDA) is
available for scrutiny; not so in Yonkers.
Cappelli and his partners have worked out an agreement by which they will
receive 75 percent of the profits from video lottery terminals (VLTs) from a
new racino and harness track. In turn, the developers must invest $1 billion,
create 2,000 full-time jobs, and infuse more money for education. Before
benefits may be derived, however, they must meet economic development targets.

The Yonkers and
Catskills projects have been in financial duress for months, while Mr Cappelli
or his spokespeople simultaneously announced that they had the cash to get the
projects underway. Only yesterday, at the Yonkers City Council meeting, did Mr
Cappelli state by cellphone, held to the microphone by Yonkers City Council
President Chuck Lesnick, that funding was precarious, specifying that the Bank
of Scotland (BofS), a banking resource for Cappelli Enterprises had been
nationalized in the United Kingdom only three weeks’ ago. Had he read the Financial
Times Mr Cappelli would have been aware of the impending crisis at the BofS six
months ago.

Mr Cappelli did not mention that he was firing staff. His
spokespeople divulged weeks ago that they would not move their staff from Valhalla
to the Ritz Carlton White Plains tower. No mention of financial stress was
mentioned at that time. By text message today, Mr Apicella  advised, “Hezi, don’t believe all the rumors!
We are very busy finalizing financing for Concord
and while we have had some right sizing we are still operating at high
l{evel}.”

If the Catskills project fails, it will be Mr Cappelli’s
second failure. The first, Empire’s Monticello Gaming & Raceway
disintegrated because Mr Cappelli could not get the financing for $50 million.
He may salvage this project a second time if he can find the financing for the
construction.

Mr Cappelli’s antics, as played out by Mr Apicella and their
attorney Al DelBello have relentlessly chastised the Yonkers City Council for
not moving fast enough in shepherding the process through its authorization
protocol. It seems they are unable to consummate their end of the bargain no
matter the final disposition of the Yonkers City Council. Their temerity and
condescending attitude was revealed again as late as the last few weeks when it
was suggested the project be scaled back. This was met by a shocked City
Council who recoiled at the suggestion.

Mr Cappelli places much hope on getting federally funded shovel ready stimulus money that has yet to approve such projects in California or New York because while the two states evaluate devlopment projects using protocol known as SEQRA, the other 48 states use the less stringent NEPA modality. An amendment that would permit SEQRA evaluated projects to be considered has nor diminished Senator Chuck Schumer's effort, previously unsucessful, to again attenpt to amend the federal stimulus process. Lacking success under the watching eye of Senator Schumer and the New York delegation, Mr Cappelli will need to hope his corporate lobbyists will be able to wrestle such funds by lobbying for their specific projects.

Yesterday’s City Council meeting did not have a revised LDA
(land disposition agreement) for scrutiny though the City Council was asked to
approve it prior to it being written down. The LDA was promised to be online at
the city's Website by end of business day today.

 

Mr Lesnick may have summarized it best when he said by
telephone, “The proof will be in the pudding; will they {SFC
Yonkers, Inc.}be able to raise the money. I look forward to read what is in the
LDA at tomorrow’s meeting.”

eHeziCappelli: “…It is Unclear if the Project Can Proceed” By Hezi Aris

Comments 41

  1. maybe mr cappelli was not in new york at the time…there is nothing unusual about
    a conference call from a developer who is interested in doing a project in yonkers
    and who is willing to himself speak to the elected officials rather than simply sending
    his attorney or another member of his company..this project is now down to the
    wire…the city council has to act without haste..they were meeting and he called..
    requiring his physical presence would simply delay the decision further…SFC is a good project one that I am betting will be approved. The last thing that the council
    Should be doing is demanding anything further..they have had more than enough
    Time and they have delayed the project enough..now its time to move forward

  2. How is it that Louis Capelli conferenced called the council meeting on his project & he couldnt be there? It’s totally wierd that he needs to speak, his input would be better in person and yet a Conference call with a boat load of interference is allowed by Lesnick….
    Chuck…why do you let SFC, Ammicone, and the rest of yonkers play you like a fiddle?
    Its the most un-be-comming thing to see an elected leader like you handle these meetings since you don’t seem to know WHAT YOU WANT from the meetings and YET you let the THEM tell you what is going to happen!
    I would have walked away from ANY meeting that a conference call takes place! get your BUTTS here and speak up like business men! Who are we dealing with?

  3. May be we start listening to the idealists.
    He sounds smarter than most.
    Phil Amicone is far from being a realist as we now witness first hand.

  4. I would love to see this addressed on News 12 for once rather than the same old boring crap.
    News 12 needs to tap into the young audience as well!
    Will this ever happen or will Yonkers be left in this TIME WARP. Because that is what it is… ask anyone who returns that has been away for a long period. Nothing changes and it is so disheartening.
    Again – a New Young Leader!

  5. Good Stuff is an idealist, not a realist. But one thing he says is true: many “good” people avoid politics. It’s not an age issue. They avoid it because of all the back-stabbing, cronyism and b.s. that goes along with it.

  6. Well first – anyone off the streets may be better than Phil.
    But of course they need experience in Business and management – NOT POLITICS.
    He/She also needs to focus on what IS… Keep the projecting to the dreamers.
    He/She also and most importantly needs to surround themselves by intelligent, strong leaders, versatile and people oriented professionals and in this case young or old.
    The Party: THE NEW PARTY period. FGorget Dem or Rep. The Party for the people and for the integrity of this city…
    We do not need an “expert, or an elitist, or a egomaniac…”
    There are young men and woman out there but they do not want to be involved due to the mess Yonkers has created and the backstabbing that occurs. It5 is impossible to try and work under those conditions.
    As an individual who works in city right now explained … you can not explain the irrational and that is what is taking place with this administration right now … this city is a mess…”
    I will stand by this and know that a strong , young independent man or woman will force change – I’m sorry but this administration is so awful and out of touch and not professional, business-like minded people… their nerds – sorry to say.

  7. ok ok a new young leader..how young is young
    and what about some experience either in
    business or management or do you want
    to drag some kid off the street

  8. or may be controlled fear…
    PS – if Edellman is reallyresponding wouldn’t he be pro-youth … considering he worked for former Gov. Rockefeller as the States Youth Advocate?
    Or was that just way too loooong agoo for him to remeber?
    Either way – I can’t say it enough that Yonkers need a new Young leader period.
    Ive beat my dead horse. by guys.

  9. don’t need to be old to LISTEN or READ…
    again, my point made – you’re great at this…
    I was rather curious growing up in Yonkers as a young boy and knew that Zalleski was a disaster…
    So it goes Amizalleski…
    Sorry That I know my past history… I also know that JFK was assasinated in Dallas Texas, boy I must be really old now…hahaha
    You are making Amicone and the old out of touches know it alls look even better…
    The truth hurts and you hide behind your hate which we all know is truly fear.
    Bring in the YOUTH!

  10. Sarcastic. Yes.
    PS – “out with old etc…”? I love how you not only don’t listen but you don’t read well at all… my point mad again – thank you.
    I have been clearly stating “Young passionate, intelligent and a young man with REAL VISION…”
    If we can discover this person than I will deal with Amizelleski for the 2 more years and watch him gladly make way for this person as Yonkers will be begging for it after his comical debauchery of what could have been a “New” Yonkers…
    But real vision does not exist in this administration.

  11. No, Grouch. Good Stuff was being serious. “Spencer the savior.” Good Stuff is a fake and is contradictory. Read the posts. Claims to be so young but refers several times to Zaleski, who hasn’t been mayor for about 14 years.
    Good Stuff is bad stuff. There is only “out with the old and in with the new” sloganeering. It is empty b.s. with no particulars, no names, no candidates. Just stupid nonsense to post on a web site.

  12. to anon 11:19 – right on target!
    again if only Amicone listened instead of regergitating what his laughable staff told him to do…
    Unfortunately he’ll continue to blame Chuck. If he was a true leader – Chuck would have followed. but he’s not. period.

  13. Keep posting Anon (not ‘anon’ – he’s he is right on target but woulda,coulda,shoulda’s don’t help…) YOU PROVE MY POINT everytime you post… I love it.
    Yes – stuck in the past… that should be under Yonkers Mayor’s Office Biz cards.
    You guys are far gone. Unless someone with youth, passion and INTELLIGENCE arrives – we’ll endure Amicone’s out of touch mediocraty of what he defines progress, vision and YONKERS.
    You are blind deaf and dare I say the rest…?
    Hey, by the way, where did those “Progress Continues” signs go? Did Jim Pinto take them to wherever he disappeared to???
    Give me another on Anon… you prove me right everytime and you prove that this Mayor has some real bright mental midgets on his side. hahaha
    Back To my point that we need New Young Blood… we can handle 2 more years of Mayor Phil Amizelleski – but if Yonkers wants to turn a new page we need new blood, with talent, vision and passion. Someone who will LISTEN, learn and be humbled…

  14. Again, this is what happens when city government put all its development eggs into one basket. When the basket drops, all the eggs break and we’ve gone from $3.1 billion to zero overnight. Maybe now city hall will see the light and release the downtown from the SFC stranglehold so that smaller developers with enough money to take on smaller projects will come back. It’s better to have five small developments that actually take place than one huge one that bombs.

  15. Spencer!!! The guy who started the car giveaways The guy who hired the Brawler, Lopez. The guy who gave us the friends and family club. You people are pathetic. Why don’t you just ask Ang, the Clock to come back. The young man posting on here is correct you can’t see ahead because your stuck in the past.

  16. Yonkers will never change till someone of profound YOUTH speaks out and up…
    These OLD AND OUT OF TOUCH Politicians and more mainly this so called Mayor is OUT OF TOUCH!!! He does not listen!!!
    He is not a business man , he is not a Mayor, he is not that ‘nice guy’ that everyone said he was … he is a disaster, egotistical, elitist wannabe …
    Capelli – is nothing of the like. Why are you even still thinking abot Yonkers… if you want people to think otherwise you need to move out quickly and put this circus to rest… let Amicone finish up asap so we can move on.
    I am a young guy – this is comical at this point. These people actually take themselves seriously… We need young blood in Yonkers asap.
    Amicone please just vbe quiet for the next couple of years and we may not compare you to Terrence Zelleski…

  17. Capelli, you are a smart man – get out of Yonkers as soon as you can! It is not worth it anylonger.
    This is insanity.
    Blame it on whoever at this point. Just get out asap or you will be sorry you ever put 1 cent into ghetty square.
    Its a mess and you are only 1 person in the mess not the whole mess , so can you imagine.

  18. The Royal Bank of Scotland lost 38 billion dollars the last quarter of 2008 and approximately 24 billion dollars the first quarter of 2009. The bank also reduced their overseas loans by approximately 80%.

  19. What’s to become of poor Joe Apicella. I guess he’ll go back the 2nd Ward in Yonkers. Maybe he can become a Ward leader.

  20. Smarter guys than him have gone broke.
    To bad Andy O’Rourke is still not the County executive. Good ole boy Andy made Capelli & Pirro millions on the parking lots at the Medical Center and The Airport.

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