High Shipping Costs Are Here to Stay, Says Bloomberg
By Henry Ren (Bloomberg) Stubbornly high shipping expenses for businesses are getting sealed into contracts for the next 12 months, forcing companies to pass the extra costs on to consumers....
The SS United States Conservancy has entered into an agreement with commercial real estate development firm RXR Realty to explore options for the revitalization of the historic SS United States.
According to the Conservancy, over the next several months RXR Realty will be working to determine the viability of the SS United States’ redevelopment and will explore a range of potential locations for the historic vessel. In connection with its work, RXR will also be paying a substantial portion of the ship’s carrying costs and making other investments during this option period, including assembling a team to assess the vessel’s interior spaces and explore concepts for the ship’s revitalization.
The SS United States, aka “America’s Flagship”, has faced an uncertain future in recent years. In 2015, the SS United States Conservancy, which owns the transatlantic liner, was nearly forced to scrapping of the ship due to mounting costs, only to be saved by an outpouring of public support that helped the Conservancy raise an additional $600,000 to save the ship. The following year, Los Angeles-based Crystal Cruises reached an agreement to purchase the iconic 1950’s era vessel with the goal of converting it into a modern, luxury cruise ship in compliance with all modern safety, environmental, and technical standards. But ultimately that deal too fell through after a technical feasibility study determined that the plan was a little too far fetched. Crystal instead ended up donating $350,000 to the Conservancy to help with ongoing costs.
Now, RXR Realty will go through its own due diligence process, but both sides are hopeful that a plan can be reached to redevelop the ship.
“The SS United States is one of America’s great vessels and an icon of American engineering and design,” RXR Realty says. “Given our history of repurposing and updating some of this country’s most historic structures, we are now working with the SS United States Conservancy to explore what options might exist for the ship, going forward. We are currently at the very beginning of this process – a process that will require substantial work on all sides. At the end of this period, we will have a better sense as to whether we have a viable plan and, if so, the specifics of that plan and in which waterfront community it might be actualized.“
The SS United States has been laid up at a dock in Philadelphia since 1996.
Join the 67,592 members that receive our newsletter.
Have a news tip? Let us know.