Thursday, October 4, 2007

Update on Roosevelt Island Tennis Club Inquiry

I just received this follow up message from RIOC President Shane in response to my message to him detailed in this post below.

Mr Shane:

The license is terminable under certain conditions for public purposes.
We cannot merely terminate at our whim. The investment made by the
licensee in developing the business is not to be ignored.
Contrary to your assumption, there is a high level of community
involvement, a report of which will be a part of the RE Committee
presentation this evening. I would also expect that the developing units
of Southtown will be a fertile source of membership for reasons of
proximity and demographics. But, while RIOC participates in the success
of the business by reason of the % clause in the License Agreement, RIOC
does not run the business.

Stephen H. Shane
President & CEO
Roosevelt Island Operating Corp.
More later.
Here is my reply to Mr. Shane:

I was not proposing terminating the license of the tennis club but only pointing out that a meeting in regard to the "Third Modification of the License Agreement between Roosevelt Island Operating Corporation and HCK Recreation, Inc." was scheduled for Thursday October 4. After all, this meeting of the Real Estate committee must be about certain rights and obligations under the license agreement between RIOC and the tennis club or why have it at all. I was merely suggesting that no further or additional rights be bestowed upon the tennis club or obligations assumed by RIOC until other potential recreational, cultural or entertainment uses were explored.
I would think that any such termination, certainly not on what you refer to as a "whim", would only be considered if there was a suitable alternative user providing a compelling public benefit.To my knowledge no such alternative is currently being proposed but that should not mean RIOC enters into an agreement which precludes any such future possibility.
I thank Mr. Shane for entering into this dialogue which, I believe, is of concern to Roosevelt Island residents.

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