What the PA has in mind for the site, surrounding on three sidesby water, is to demolish the existing import auto processing centerand turn the acreage into a container shipping terminal. PA andstate officials say it is part of an effort to prepare the port forthe coming expansion of the Panama Canal and an expected influx ofnew shipping traffic. Combined with ongoing dredging and channelwidening, as well as a new rail system, it's also part of theauthority's 10-year, $2-billion capital improvement plan.

"Even during times of economic uncertainty, the port has been alifeline for this region," says Gov. Jon Corzine, in a statement."For that reason, we must protect this critical asset and moveforward with a clear vision for the future."

Susan Bass Levin, the PA's first deputy executive director,terms the deal, "a coup for port expansion. Right now, there isn'tany land left. The question was, how do we use the space we have inthe best way possible?"