The embattled New York Wheel now has until early 2019 to get the project on track, THE REAL DEAL reports.
The Wheel’s developer and former contractor hashed out a new deal which would give the development team an absolute deadline of Jan. 7, 2019 to hire a new contractor to finish the project, according to the Staten Island Advance. As a part of the amendment, which was filed in Delaware Bankruptcy Court on Friday, no party will be allowed to seek an extension beyond that deadline.
It would also give former contractor Mammoet-Starneth the rights to the Wheel parts as long as no “termination event” takes place before Oct. 23, potentially ending a longstanding dispute between them and the development team. However, the team would be allowed to take part in an auction of the parts if it proves it can afford to purchase them.
Mammoet-Starneth walked off of the New York Wheel site last year in May and was fired soon after. The two parties reached an agreement this May that gave them a Sept. 5 deadline to figure out how to move forward with the project, but this was later pushed back to at least Sept. 11.
The amendment also allows Mammoet-Starneth to finish its Chapter 11 bankruptcy proceedings.
A hearing on a motion to approve the new agreement between the New York Wheel developers and Mammoet-Starneth has been set for Sept. 21, according to a spokesperson for the New York Wheel. Read more at THE REAL DEAL.