FOR IMMEDIATE RELEASE

PR- 248-05
June 27, 2005

MAYOR MICHAEL R. BLOOMBERG, FOREST CITY RATNER CEO AND PRESIDENT BRUCE
RATNER AND CIVIC LEADERS SIGN COMMUNITY BENEFITS AGREEMENT

Agreement Outlines Jobs, Housing and Small Business Opportunities to

Brooklyn

Mayor Michael R. Bloomberg and Forest City Ratner (FCRC) CEO and
President Bruce Ratner today announced the first-ever Community Benefits
Agreement (CBA) in New York City to accompany a major development
project. Forest City Ratner, the developer for the proposed Atlantic
Yards project over the Long Island Rail Yards at the intersection of
Atlantic and Flatbush Avenues in Brooklyn, has agreed to sign a legally
binding document that contains specific project benefits related to
housing, jobs, small business programs, community amenities,
environmental assurances and arena usage. Joining Mayor Bloomberg and
FCRC CEO Ratner at a signing ceremony at Fulton Landing at Old Fulton
Street in Brooklyn was New York State Assembly Member Roger Green,
Brooklyn Borough President Marty Markowitz, and officials and executives
from the community based organizations that have worked collaboratively
to design the components of the Atlantic Yards' Community Benefits
Agreement.

"This Community Benefits Agreement is the largest private sector

investment in Brooklyn's history," said Mayor Bloomberg. "The $3.5
billion project will create 8,500 permanent new jobs, 4,500 mixed-income
apartments, substantial new commercial, retail, open space and host the
first major league sports team to play in Brooklyn since the Dodgers.
Brooklyn's working men and women and their families will have a stronger
local economy and more affordable housing in their future. The
development of the Atlantic Yards shows that Brooklyn - from Coney
Island to Williamsburg - is bursting with opportunity."

"We turned to these organizations because each has expertise that we

believed would benefit the overall project," Bruce Ratner said. "We
worked with them to develop the program and agreed to sign the document
because we want to proceed as a team and we want the people of Brooklyn
to know that we intend to work with them to ensure that this project
produces real benefits because there are real needs."

The program, which was developed over the last year during a series of
meetings, covers a broad range of benefits, including:

/Jobs Development/

Public housing residents and low and moderate-income individuals in

surrounding neighborhoods will get priority in available jobs.

Also, a minimum of 35% of the jobs will be for minority workers and
another 10% for women workers, with 35% of each category for journey
level workers. FCRC will use existing CLE programs to require
contractors to hire part of the workforce from low and moderate-income
areas.

FCRC will also develop a pre-apprentice training program to help new

workers develop the kinds of skills that they can use beyond this
project. Atlantic Yards will use union labor.

/Small Business Contracting/

At least five percent of pre-construction contract dollars will go to

minority owned firms and three percent to women owned firms. During the
construction phase, at least 20% of construction contract dollars will
go to minority firms and 10% to women owned businesses. 20% of total
contract dollars (including Arena concession activities) will go to
minority-women owned businesses for purchasing and service contracts
(exclusive of FCRC affiliates).

The MWB program will also include a credit facility program and
commercial lender and technical assistance component to assist minority
and women owned businesses. Finally, FCRC will create a community based
developer initiative to work with minority and women developers to
provide assistance and resources for small-scale development throughout
the City.

/Housing/

As previously announced, 50% of the approximately 4,500 rental units

will be for low and middle-income residents, with 10% of these set aside
for seniors. FCRC will also work with renters in the project footprint
to find temporary housing during construction and then provide them with
comparable size units at a comparable rent.

/Community Amenities/

FCRC will build a health care center and inter-generational facility as

part of the project. The latter will consist of child care, youth and
senior centers in one building with common corridors and an atrium.
Overall, the project will have at least six acres of open space.
Additionally, the arena will be available to community groups for at
least 10 events a-year at a reasonable rent with no profit to FCRC. Net
proceeds would be used for non-profit programs. Fifty upper bowl
tickets, four lower owl tickets and one suite will be set aside for
community use, with priority for young people and seniors. FCRC has
already agreed to provide at least 2,000 low-priced screecher seats for
all regular and post-season games.

/Environmental Assurances/

FCRC will adopt the most prudent building practices to ensure a minimal
environmental impact on the surrounding communities during all phases of
construction. The developer will also cover the costs of an
environmental committee to monitor environmental impact. The CBA
specifies that residents of public housing will be given priority in
"all aspects of this agreement." The developer will also sponsor annual
job fairs at the six public housing projects in the area.

"When I proposed a legally binding community benefits agreement, it was

not because I doubted Forest City Ratner, said Assembly Member Roger
Green. "Rather, it was because I wanted this community benefits
agreement to be part of a process that included community needs at the
start of the project. This historical and precedent-setting agreement
is about results. It's about creating a children's zone where kids can
be safe, play and grow. It's about housing and it's about jobs.
Equally, it is about how we achieve these goals and a process that
includes the community from the start. I applaud Mayor Bloomberg for
assisting Forest City Ratner with making this real good faith process a
reality."

"There were so many times when the road to this agreement was
difficult," said Brooklyn Borough President Marty Markowitz. "There
were many times when the parties could have thrown in the towel and
walked away, but they resisted the temptation. Today, because of their
tremendous efforts, the nation's eyes are on Brooklyn. Other attempts at
community benefits agreements have been made in the past, but this
agreement is so comprehensive and far-reaching that it puts Brooklyn in
a class by itself, at the forefront of the corporate responsibility
movement. Since I convened the very first meeting of the CBA coalition
at Borough Hall last August, the members have worked tirelessly
together, through every disagreement and tough negotiation, keeping
their eyes on the greater good. They have created something truly
wonderful for their communities by keeping every member at the table to
work out their differences."
The Reverend Dr. Herbert D. Daughtry of the Downtown Brooklyn
Neighborhood Alliance, said, "We have worked long and hard to put
together a program with tangible benefits for people in the surrounding
neighborhoods and throughout the borough. I'm confident that this
Agreement will become a model for development throughout the City and
that the benefits of this development will be the true legacy of a
historic project."

James Caldwell, the president of Brooklyn United for Innovative Local

Development (BUILD), said, "Every phase of this project will create real
jobs with real benefits for residents. These jobs will benefit
individuals and families and neighborhoods. This agreement also shows
that a responsible developer can be pro-union and still create
innovative programs for job training and local hiring."

Bertha Lewis, Executive Director of New York ACORN, said, "This

agreement is about the fundamentals of life: a decent job, a place to
live and a neighborhood that is inviting to people of all backgrounds
and classes. That's what we have tried to do here and I'm confident
that we have succeeded."

The Reverend Walter J. Morris, Co-Chair, of the All-Faith Council of

Brooklyn, said, "For those who say that communities have not had a say
in this process, we say look not just at the process, which was
inclusive, but at the results. They reflect community needs because
community groups were involved in their development."

The Reverence Orlando Findlayter, the other All-Faith Council of

Brooklyn Co-Chair, added, "When a developer says 'help make this a
better project,' we say yes. This process was open and thorough and the
results speak volumes about the developer and we believe the end result."

Delia Hunley-Adossa, the Chairperson of the First Atlantic Terminal

Housing Committee said, "I was taught in school that it's not just what
you do that counts but how you do it. This CBA was a remarkable process
with remarkable results and we hope the benefits will go beyond this
project to influence how construction is done in this City in the future."

Len Britton, Executive Director of the New York State Association of

Minority Contractors, said, "When you bring in minority and women owned
businesses and contractors you bring minorities and women into the
workforce. We believe that is good for the project, cost effective, and
beneficial for surrounding communities. We are pleased with the goals
spelled out in this agreement and are excited about the work that will
be generated for the people of Brooklyn."

"I'm very impressed with the amount of thought and hard work that has
gone into this agreement. The community will be very proud of what came
out of this work," said Downtown Brooklyn Education Consortium Freddie
Hamilton.

Charlene Nimmons, Chairperson of the Public Housing Communities, said,

"I sometimes wonder how public housing can be so visible while public
housing residents are so invisible when it comes to policies and
projects that will impact their lives. This agreement recognizes the
unique needs of public housing residents in the surrounding
communities. That in itself is a major accomplishment."

The Community Benefits Agreement, which will be legally binding, also

specifies penalties for failing to achieve goals. While the groups
mentioned above constituted the formal working group of the CBA, the
Brooklyn Borough President's Office played a formative role in the
development of the agreement and local Community Boards 2, 6 and 8
provided oversight.
MEDIA CONTACT:

Edward Skyler / Paul Elliott (212) 788-2958

Lupe Todd (Forest City Ratner) (212) 981-5241