Norwood News

Hopes faded last week that a revamped Kingsbridge Armory will bring well-paying jobs to one of the poorest neighborhoods in the Bronx.

During a closed-door meeting at the offices of Community Board 7 in Bedford Park, Jesse Masyr, a lawyer for the Armory’s designated developer, the Related Companies, told community representatives that the project would not go forward with guarantees for living wage jobs — $10 and hour, plus benefits, as defined by the City Council. (The Norwood News attempted to cover the meeting, but was told the session was not covered under the state Open Meetings Law. See editorial on p. 6.)

Related and the city’s Economic Development Corporation (EDC) have presented the project, which will turn the landmarked Armory into an enormous shopping mall, as an economic boon for the community, mostly because it will bring jobs.

When it’s completed, Masyr said the Amory project will create 1,200 permanent jobs, some full-time, some part-time.

The Kingsbridge Armory Redevelopment Alliance (KARA) — which consists of local community groups, clergy and unions and has the vocal support of several elected officials — wanted to ensure that local residents, nearly 30 percent of who live below the poverty line, would benefit through the creation of living wage jobs.

Since the city chose Related for the project last spring, KARA has pushed for living wage language, among other benefits, to be included in a binding Community Benefits Agreement (CBA) signed between the Alliance and Related. Community Board 7 is also pushing for a CBA and living wage jobs.

The board and KARA had hoped to open CBA negotiations last Friday at an advisory meeting organized by the EDC and attended by representatives from the mayor’s office, Council Member Maria Baez, Assemblyman Jose Rivera and Ray Salaberrios, head of the Bronx Overall Economic Development Corporation (BOEDC), who was there representing the borough president’s office.

But when the subject was brought up, Masyr quickly put an end to any hopes of securing living wage jobs, saying that if all they were looking for in a benefits agreement was living wage jobs, he could put an end to the discussion right there. The answer would be no.

In an interview on Tuesday, Masyr said he was all for paying living wages, but that Related could not ask coming retail tenants to pay those types of wages at the Armory, especially given this “extraordinarily difficult” economic climate.

“I can’t ask tenants to have a [higher] wage package than they have just two miles down the road,” Masyr said. He added that other people in the industry think Related is “crazy” for even attempting to proceed on this retail-heavy project, given the state of the economy. “Retail is dead,” Masyr said.

In Los Angeles, Related agreed to living wage language for a downtown development project in a CBA, but Masyr said that’s because living wage is county law. “I’m all for changing the law,” Masyr said.

Desiree Pilgrim-Hunter, a KARA leader, said she’s not buying the hardship argument, pointing out that Related is buying the Armory for a mere $5 million, will be receiving an additional $17.8 million in tax breaks and another $45 million in historic preservation tax breaks.

Pilgrim-Hunter said the Armory project will become a “poverty wage center” without living wage provisions. 

With the city backing Related’s stance, Pilgrim-Hunter said the message to the community is: “Be grateful you’re getting anything. Even more, we’re going to further entrench poverty in the community.”

On Friday, city officials said they had no position on CBAs, but would not stop Related and the community from entering into a side benefits agreement.

Masyr did not commit to negotiating benefits agreements with KARA and Community Board 7. Masyr agreed to address KARA’s demands point by point and said, besides the living wage language, nothing they were asking for appeared unreasonable.

Local hiring goals and community space in the Armory are a couple of the items on KARA’s wish list.

Board chairman Greg Faulkner said the biggest development from the meeting was that the board and KARA were now committed to working together to forge a CBA, whatever form that might take.

If the project doesn’t benefit the community, Pilgrim-Hunter said the city should be willing to look at other developers. “The Armory was here to protect the community and now we’re looking for it to protect us from greedy developers who take what they want and then don’t want to give back,” she said.