Head over to American Dream in East Rutherford on a Saturday, and you’ll see a packed mall. Guests are enjoying indoor roller coasters, waterslides, or the indoor ski slope. Others are shopping or dining at one of the hundreds of offerings at the venue.
Yet mall officials have argued that American Dream — a sprawling $5 billion entertainment and retail destination in the Meadowlands financed by about $1 billion in state and local subsidies — isn’t fully opened.
Because of this, they claim they aren’t responsible for millions of dollars in negotiated payments to local towns until the mall is 100% occupied.
“Economic conditions change. Your expectations have to change,” said Marc Pfeiffer, associate director of the Bloustein Local Government Research Center at Rutgers University in New Brunswick. “They wouldn’t be able to cut that same type of deal today.”
Pfeiffer suggested that American Dream, the NJSEA, and the Meadowlands towns might resort to mediation or arbitration rather than a lengthy court battle. Many such cases are handled by retired judges in the state.
“They are far better off attempting to mediate a solution and if that doesn’t work, to agree to a final arbitration,” Pfeiffer said. “It could be a lower amount. It could be a staggered amount based on a verifiable metric.”
NorthJersey.com, August 7, 2024
