How Cost of Train Station at World Trade Center Swelled to $4 Billion
Santiago Calatrava's original concept for the
“Oculus” of the World Transportation Hub in January 2004 was much
lighter and more transparent than the final version, in which the number
of ribs and wing struts was doubled and glass was eliminated from the
wings.
With
its long steel wings poised sinuously above the National September 11
Memorial in Lower Manhattan, the World Trade Center Transportation Hub
has finally assumed its full astonishing form, more than a decade after
it was conceived.
Its
colossal avian presence may yet guarantee the hub a place in the
pantheon of civic design in New York. But it cannot escape another, more
ignominious distinction as one of the most expensive and most delayed
train stations ever built.
The
price tag is approaching $4 billion, almost twice the estimate when
plans were unveiled in 2004. Administrative costs alone — construction
management, supervision, inspection, monitoring and documentation, among
other items — exceed $655 million.Even the Port Authority of New York and New Jersey, which is developing
and building the hub, conceded that it would have made other choices had
it known 10 years ago what it knows now.
“We
would not today prioritize spending $3.7 billion on the transit hub
over other significant infrastructure needs,” Patrick J. Foye, the
authority’s executive director, said in October.
The
current, temporary trade center station serves an average of 46,000
commuters riding PATH trains to and from New Jersey every weekday, only
10,000 more than use the unassuming 33rd Street PATH terminal in Midtown
Manhattan. By contrast, 208,000 Metro-North Railroad commuters stream
through Grand Central Terminal daily.
In
fact, the hub, or at least its winged “Oculus” pavilion, could turn out
to be more of a high-priced mall than a transportation nexus,
attracting more shoppers than commuters. The company operating the mall,
Westfield Corporation, promises in a promotional video that it will be
“the most alluring retail landmark in the world.”
Photo
The architect Santiago
Calatrava and his daughter Sofia released doves to mark the start of
construction of the transportation hub in 2005.Credit
Ruby Washington/The New York Times
But
whatever its ultimate renown, the hub has been a money-chewing project
plagued by problems far beyond an exotic and expensive design by its
exacting architect, Santiago Calatrava, according to an examination
based on two dozen interviews and a review of hundreds of pages of
documents. The soaring price tag has also been fueled by the demands of
powerful politicians whose priorities outweighed worries about the
bottom line, as well as the Port Authority’s questionable management and
oversight of private contractors.
George
E. Pataki, a Republican who was then the governor of New York, was
considering a run for president and knew his reputation would be
burnished by a train terminal he said would claim a “rightful place
among New York City’s most inspiring architectural icons.” He likened the transportation hub to Grand Central and promised — unrealistically — that it would be operating in 2009.
But
the governor fully supported the Metropolitan Transportation
Authority’s desire to keep the newly rebuilt No. 1 subway line running
through the trade center site, instead of allowing the Port Authority to
temporarily close part of the line and shave months and hundreds of
millions of dollars off the hub’s construction. That, however, would
have cut an important transit link and angered commuters from Staten
Island, a Republican stronghold, who use the No. 1 line after getting
off the ferry.
The authority was forced to build under, around and over the subway line, at a cost of at least $355 million.
Michael
R. Bloomberg, who was then the mayor, demanded in 2008 that the
memorial be completed by the attack’s 10-year anniversary. That meant
part of the hub’s roof, which would be the decking under the memorial
plaza, had to be built first, adding about $75 million to the budget.
At the same time, the Port Authority was often its own worst enemy.
A
2005 construction contract was supposed to set a guaranteed maximum
price, but to accelerate the work, several expensive subcontracts were
approved. And in 2008, the authority rejected money-saving suggestions
worth over $500 million.
Ultimately,
though it may prove to be the building’s saving grace, the architect’s
extravagant vision was inextricably linked to the problems.
Mr.
Calatrava — known for lyrically expressive structures that are
challenging and costly to build — insisted on column-free interiors,
labor-intensive building methods and sculptural and curvilinear steel
elements that could only practicably be manufactured abroad.
One
factory in northern Italy produced one-third of the 36,500 tons of
steel in the hub. The steel bill for the entire project was $474
million.
Mr.
Calatrava’s boldest gesture called for a roof that could open to the
sky. In 2005, not yet convinced that the roof was practical to build,
authority officials including David Steiner, a board member, visited the
Milwaukee Art Museum to see Mr. Calatrava’s operable roof there.
As
they waited outside the museum, the officials were joined by
schoolchildren who had also come to watch. When the screen opened, the
children applauded. Mr. Steiner turned to Mr. Calatrava and, according
to the recollection of those who were there, said: “O.K., Santiago. You
can have your goddamn wings.”
It would take another three years to kill this exorbitant idea.
An Irresistible Opportunity
In
2002, the federal government set aside $4.55 billion for Lower
Manhattan transportation projects, an irresistible pot of money to local
officials who could build something grand without dipping deeply into
their own treasuries or spending too much political capital.
Planners
envisioned an east-west underground pedestrian network radiating from
two new aboveground landmarks: the Fulton Center, which opened in
November and was built by the Metropolitan Transportation Authority, and
the trade center hub.
“The
hub is a project driven by institutional ambition, and once begun, the
decisions that have made it so costly became irreversible,” said Lynne Sagalyn,
the director of the Paul Milstein Center for Real Estate at the
Columbia Business School, who is completing a book on the trade center
redevelopment.
In
2003, the authority chose the Downtown Design Partnership, a joint
venture, to design the hub’s aboveground entrance and other elements,
while an in-house team was to focus on the PATH mezzanine and platforms.
The partnership chose Mr. Calatrava as a subcontractor.
Then
52, Mr. Calatrava, a Spanish native, was at the top of his game. His
train stations, bridges and cultural buildings were aesthetic
sensations, though some have since been criticized for their cost and design.
His
spectacular plans for the hub, unveiled in 2004, departed radically
from the modest, utilitarian temporary PATH station that had been
completed two months earlier for $323 million.
The
hub’s centerpiece, called the Oculus, would be larger than Grand
Central’s main concourse, with a roof of two movable wings that could
open to the sky. Mr. Calatrava likened it to a bird taking flight.
Going
beyond what the authority had initially sought, Mr. Calatrava designed
the rest of the hub, too — the underground mezzanine, train platforms
and connecting concourses. What concessions he could not gain with his
considerable charm were often won by obstinacy.
The
authority’s board authorized a $2 billion project in 2004 — $1.7
billion from the Federal Transit Administration and $300 million from
the authority.
“The
original schedules and budgets were unrealistic to begin with,” the
Port Authority conceded in a 2008 self-critique. “Had the rebuilding
program gone without a hitch, those dates and costs could never have
been met.”
And
there were many hitches. The Bloomberg administration upended the
project in 2005, when a Police Department security assessment compelled
significant revisions. To improve blast resistance, the Oculus had to
have twice the number of steel ribs. The birdlike structure began to
resemble a stegosaurus.
Doubts
grew about the practicality of the design, prompting authority
officials in 2005 to head to Europe and Milwaukee to tour Mr.
Calatrava’s projects. They returned satisfied that his design was
feasible.
In
2005, the authority finally authorized a construction contract with a
joint venture called Phoenix Constructors. But the two sides could not
agree on a guaranteed maximum price for the overall project, so Phoenix
was allowed to sign subcontracts that cumulatively drove up the price.
The Federal Transit Administration would cite this as a crucial failure.
When
plans were dropped in 2005 for a building at Fulton and Greenwich
Streets that would have allowed daylight to reach the hub mezzanine, Mr.
Calatrava proposed an expanse of skylights set into the pavement. At
night, they would glow from below — not unlike the disco dance floor in
“Saturday Night Fever,” one architect suggested.
The
Bloomberg administration strongly opposed the plan. It wanted a
landscaped corner for the National September 11 Memorial instead. The
administration prevailed, so the mezzanine roof had to be re-engineered
to support the greater weight of trees, topsoil and irrigation. As
the costs of labor, materials and fuel climbed rapidly — in part
because so much construction was underway simultaneously in New York —
the authority was told in 2007 the final budget for the hub might reach
$3.4 billion. Leadership Churn
Consistent
direction was rendered almost impossible by constantly changing
leadership: four New York governors who appointed five executive
directors of the authority, and five New Jersey governors who appointed
four chairmen.
Complicating
matters even more, different projects were undertaken within inches of
one another at ground zero. For a time, a plastic tarp was all that
separated the hub from the National September 11 Memorial Museum.
Contributing
to the bloat in the budget was the authority’s practice of using it as a
catchall for any related work performed on abutting sites, on common
passageways and on shared mechanical, electrical and plumbing systems —
over $400 million in all.
The authority did move to trim costs in 2008 by reducing the size of the Oculus and eliminating the movable roof.
Still,
it rebuffed suggestions from independent engineers and architects that
the Oculus be even smaller, that parts of the temporary station be
reused and that columns, rather than a bridgelike structure, carry the
No. 1 subway line through the hub’s interior.
Mr.
Calatrava and his partners said that the impact and utility of the
Oculus would be diminished if it were shrunken further, that the
temporary station did not meet requirements for circulation of air and
pedestrians, and that columns would interrupt visitors’ movement and
provide a potential target for bombers.
At
this point, Mayor Bloomberg assailed the hub as “too complicated to
build” and demanded that the memorial be completed by Sept. 11, 2011.
His
prodding hastened the project but made it more complicated. With the
deck for the memorial in place, cranes could not lower materials and
equipment to the hub mezzanine below, so the authority bought 10
flatcars for $3 million and used PATH as a freight railroad.
Explaining
the rationale, Stu Loeser, a spokesman for Mr. Bloomberg, said,
“Setting a real deadline broke the cycle of delays and delivered the
memorial in time for the 10th anniversary, a crucial historical marker.”
A spokesman for former Governor Pataki did not respond to several requests for comment.
In
2009, Phoenix was dismissed. It was paid $982.5 million for its work.
The Downtown Design Partnership has been paid $405.8 million. And, based
on his share of the contract, Mr. Calatrava’s firm may have received
about one-fifth of that, or $80 million.
He is now designing the St. Nicholas National Shrine at the World Trade Center and he recently told a Spanish newspaper that
the fact he had been picked “shows that New York is satisfied with our
contribution up to now.” He declined to be interviewed by The New York
Times.
The
Port Authority requested an additional $662 million from the federal
government in 2009, pledging to finish the job in 2015 and to cap the
total budget at $3.995 billion.
Faster, but Costlier
Setting
aggressive new timetables had a cost of its own. In 2010, under orders
from the Port Authority and its steel contractor, a Spanish steel
manufacturer called Urssa began operating its factory around the clock
to speed up delivery of parts needed at the hub. In all, Urssa racked up
about $24 million in extra costs for accelerating the work, according
to a lawsuit it filed against a contractor and the authority over
payment disputes.
When
it had not been fully paid by early 2011, Urssa ordered that a shipment
of steel to New York be halted at Southampton, England, and returned to
Spain. Urssa later moved to dismiss the lawsuit. Neither its lawyers
nor authority officials would discuss the case.
Despite
the cost overruns and delays, Mr. Foye, the Port Authority’s executive
director, predicted the hub would be a “world-class transit gateway”
that would “help transform Lower Manhattan into a thriving 24/7
neighborhood.” It is intended for as many as 160,000 PATH riders daily,
nearly four times the number who ride to the World Trade Center site
today.
Barring
disaster, the authority expects to open the hub next year. The cost is
currently placed at $3.7 billion, though that does not include several
hundred million dollars of damage at the site from Hurricane Sandy in
2012.
Photo
A view of the incomplete PATH station, looking east from the memorial plaza.
What
did nearly $4 billion buy? Certainly an arresting structure, but one
whose details do not match the shimmering images that Mr. Calatrava used
to seduce officials a decade ago.
For
instance, the ribs of the mezzanine looked sleek as silk in the
renderings but in reality have the texture of stucco because of a
fire-protective coating. Asked in March why no one had smoothed the
surfaces, Mr. Calatrava’s office answered, “The client was not prepared
to spend the additional money.”
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