The Port Authority of New York and New Jersey announced late today that it had selected The Durst Organization to negotiate acquisition of an equity membership interest in One World Trade Center. Over the next 30 days or so, Port Authority staff and Durst will work to finalize an agreement subject to the approval of the Board of Commissioners.

The selection follows an intensely competitive six-month process involving some of New York City's and the nation's most prominent private sector real estate interests - all vying for a stake in One World Trade Center.

The Port Authority chose to advance negotiations with Durst because its proposal best aligned with the agency's interests in the long-term success of the office tower and because of the firm's prior success in developing premier, "green" office buildings.

Port Authority Chairman Anthony R. Coscia said, "We're extremely pleased that some of the most prominent developers in the country saw market value in this world-class office tower, and engaged in an extremely competitive process for a stake in it. What is most important is that we reach an agreement that is good for the building, for the World Trade Center site and for the region."

Port Authority Executive Director Chris Ward said, "This confirms a clear and growing market interest in One World Trade Center and adds further momentum to the development of the overall site."

Under the Durst proposal, the firm will make a minimum investment of $100 million to acquire a membership interest in One World Trade Center LLC. Durst will also bring its expertise in assisting the Port Authority with ongoing construction and take on primary responsibility for tenant fit-out, leasing and property management. In exchange, Durst would receive a financial return tied to its equity interest and performance of the building.

The family-owned Durst Organization controls ten million square feet of commercial office space with a current occupancy rate of 97 percent, the authority declared, adding that "most recently, it successfully developed and opened One Bryant Park, the 2.1 million square foot tower on 42nd Street, which is home to Bank of America."

Construction of One World Trade Center has now risen to the 28th floor - about 270 feet above street level.

When completed in 2013, the tower will contain approximately 2.6 million square feet of world-class office space, along with an observation deck and a skytop restaurant.

An article today by Elliot Brown at observer.com noted that "Douglas Durst, the taciturn scion of a three-generation real estate empire, has been selected to buy a stake in One World Trade Center, winning out in a bidding contest with Stephen Ross, the aggressive developer who chairs Related Companies."

"His bid was viewed as more of a traditional one than that of Mr. Ross, who pitched the building, once known as the Freedom Tower, as a destination that would be complete with amenities like fitness centers (akin to the Time Warner Center, which he developed)," the article continued.

Jody Durst, President of the Durst Organization and Douglas Durst's cousin sent out a statement, the article said, proclaiming that "the building is a symbol of New York's resilience and strength and we have tremendous confidence in its future success. The World Trade Center site is, perhaps, the most complex building project ever undertaken and the Port Authority's progress on the construction of One World Trade Center is to be congratulated."

A statement from Mr. Ross said that "while we are disappointed and thought we offered a great vision for this iconic destination development and Lower Manhattan we wish the Port Authority and their new partner well."