Bernadette O'Leary (212) 312-3523(EDC)
MAYOR GIULIANI ANNOUNCES NEW JERSEY SHIPPING FIRM TO RELOCATE AND EXPAND IN HOWLAND HOOK MARINE TERMINAL
Project Will Bring 175 New Jobs to Staten Island
Mayor Rudolph W. Giuliani announced today that Ecuadorian Lines, a major Latin American shipping company, will relocate from New Jersey to Howland Hook Marine Terminal in Staten Island, thereby securing 175 new jobs. Ecuadorian Lines will also begin building a 50,000-square-foot temperature-controlled fruit storage facility at the Staten Island location.
The Mayor was joined by Staten Island Borough President Guy Molinari, Port Authority Executive Director Robert E. Boyle, Ecuadorian Lines and Pacific Fruit, Inc. President and Chief Executive Officer Carlos Aguirre and other community and local elected officials.
"Howland Hook's incredible success this past year is testament to the fact that New York City is experiencing a resurgence in the shipping industry," said Mayor Giuliani. "In its first year of operation, this marine terminal exceeded the number of containers it was expected to handle by 30 percent. Ecuadorian Lines' decision to relocate to Howland Hook demonstrates the kind of return we expected when we invested in dredging the marine terminal's berths. It also points to the Port of New York as the place to do business."
Howland Hook was reopened in September 1996 following the City's investment of $14 million to dredge the terminal's berth, which enables the plant to receive large container ships. Since its reopening, the terminal has reached an annual volume of nearly 80,000 containers, exceeding expectations of 60,000 containers for the first year of operation.
The New York City Economic Development Corporation (EDC) will commit $2 million toward the construction of a new facility for fruit storage and handling. The Port Authority of New York and New Jersey also will contribute $2 million, while the Staten Island Borough President's office will invest $1 million toward the facility's construction. The new plant helped attract Ecuadorian Lines from its former location in a Port Authority-owned facility at Port Newark/Elizabeth.
"I would like to thank Mayor Giuliani and Port Authority Executive Director Robert Boyle for their efforts in improving the local economy by securing 175 new permanent jobs for Staten Island," said Staten Island Borough President Guy Molinari.
"This agreement shows how partnerships can benefit our region by bringing new jobs and opportunity," said Robert E. Boyle, Executive Director of the Port Authority. "The Port Authority, the City of New York, the Borough of Staten Island and private sector companies worked together to craft a solution for the good of New York and the region. This agreement is also a prime example of the vitality of the Port of New York and New Jersey. Costs are down, business is rising dramatically and the port is playing a key role in keeping the region's economy strong and growing."
Ecuadorian Lines transports a variety of fruits, including bananas and melons, as well as other general container cargo, from Latin America to the Port of New York and New Jersey. Dissatisfied with its current location, Ecuadorian began searching for a new site several months ago and earlier this year issued a letter of intent designating Howland Hook its choice.
"We are very pleased to have Ecuadorian Lines' operations here at Howland Hook," said Ecuadorian Lines and Pacific Fruit, Inc. President Carlos Aguirre. "We are very happy to remain in the New York area and will continue with our commitment to the economic development of the region. We appreciate all of the hard work and effort to provide us with a state-of-the-art facility and look forward to our continued partnership in the future."
Howland Hook Marine Terminal Operator Carmine Ragucci said, "Howland Hook is a world class Intermodal facility. We are grateful to Mayor Giuliani, Borough President Molinari, and Mr. Boyle of the Port Authority for their efforts in reactivating Howland Hook. Staten Island is once again engaged in the exciting business of international trade and commerce. With the restoration of our on-deck rail service early next year, our vision of Howland Hook as 'future Port- New York' is well on its way to becoming a reality."
EDC President Charles Millard said, "Not only will Ecuadorian create jobs on Staten Island, but, since handling fruit is more labor intensive than handling containers, the number of jobs will be greater than it would have been for a regular container ship company. Our investment in the temperature-controlled facility also will enable us to take the first step toward ensuring the important commodity of fruit -- most of which is ultimately destined for the New York City market -- comes directly to our produce markets, such as Hunts Point in the Bronx, prior to distribution to the broader consumer market. We can therefore anticipate indirect job growth as well."
The City also acquired the Staten Island Railroad for $10.3 million with the help of a Federal grant from the Intermodal Surface Transportation Efficiency Act (ISTEA). The City is currently performing repair work on these tracks, as well as on the Arthur Kill Lift Bridge, to provide rail access between Staten Island operations, such as Howland Hook and the newly opened Visy Paper plant, and the rest of the nation. When completed, the railroad will provide quick, dockside rail service to Howland Hook Marine Terminal.
In addition to Howland Hook, other areas of the New York City waterfront also have experienced revitalization under Mayor Giuliani's leadership, resulting in increased public access and economic vitality. For example, the North Shore Esplanade, also in Staten Island, was reconstructed and opened to the public in August 1996.
Brooklyn also has benefited from Mayor Giuliani's focus on waterfront development. The Brooklyn Army Terminal (BAT), a 97-acre complex vacated by the military more than 20 years ago, was converted into a state-of-the-art industrial and manufacturing complex on the Brooklyn waterfront and has been 90 percent leased. A $17-million renovation of BAT's Pier 4 is nearing completion and will result in a 500-car parking facility, as well as public access for fishing, walking and ferry service to Manhattan.
By contributing two City-owned cranes to Brooklyn's Red Hook Marine Terminal the City helped increase capacity by more than 50 percent and helped attract a large international shipping line, Zim-American Israeli Shipping Company. Future Brooklyn waterfront projects include the rehabilitation of the Coffey Street Pier, construction on which began in late July.
In Manhattan, the reconstruction of Pier 11 is currently underway and an esplanade and bikeway are being created in the Wall Street. A new bikeway along the East River also is being developed. In addition, through EDC the City has privatized management at the Passenger Ship Terminal and has conditionally designated a developer to rehabilitate Piers 92 and 94 in the Hudson River.
Private ferry service has been encouraged by the Giuliani Administration through the rehabilitation of ferry service piers, including Pier 11 in Manhattan and Pier 4 at the Brooklyn Army Terminal. Currently, approximately a dozen private ferries to Manhattan from New Jersey, Staten Island, Brooklyn and Queens provide New Yorkers with a viable commuting alternative. Ferries offer New Yorkers a way to reduce commute time while protecting the environment, making travel to work a generally more pleasant experience and enabling residents and visitors to enjoy the water by boat. In summer 1996, a seasonal ferry operated along the East River to transport fans to baseball games at Yankee Stadium. Plans currently under way for a new Port Authority-operated ferry to LaGuardia Airport include significant improvements at East River ferry sites.
To further secure the potential of the New York City waterfront as an economic generator, Mayor Giuliani will pursue developing portions of the City as major marine cargo facilities for expected growth on the Eastern Seaboard. The City also will study creating a rail freight tunnel to link New York City ports to the rest of the nation.
EDC is the City's primary vehicle for economic development services. Using its real estate and financial resources, EDC helps develop businesses and create jobs throughout the five boroughs.
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