MEMORANDUM OF UNDERSTANDING SIGNED TO SELL KAUFMAN PARK!

[Bill Call]

I have received a copy of a memorandum of understanding to sell Kaufman Park for $1,925,000. I received a copy of the memo after making a public records request.

The memorandum between the City of Lakewood and Giltz and Associates, Inc is dated February of 2007 and was signed by Tom Jordan, the previous Director of Planning and Development and a Vice President of Giltz & Associates. There is an undated note to file from Tom Jordan stating that due to market conditions the MOU is no longer in effect. An official of the Fitgerald Administration told me that the MOU is off the table.

At the time the memorandum was signed Giltz had purchased an option to purchase Lakewood Plaza, aka Drug Mart Plaza. The plaza was transferred in September of 2007 for a purchase price of $5.75 million. It was always my opinion that Giltz did not pay 220% of appraised value for the plaza. They were buying Kaufman Park.

A couple of observations:

1. The new owners owe back property taxes, including penalty. Look up permanent parcel numbers 312-14-106 and 312-14-107.

http://auditor.cuyahogacounty.us/repi/default.asp

2. The property is still valued at the old $2.5 million instead of the purchase price of $5,750,00. What's with that?

3. If the new owners can't afford $95,000 per year in taxes based on the old value how are they going to pay the new taxes of $200,000 per year?

[Valerie Molinski]

Surprised...and yet not surprised. Shady, shady, shady.

[Jim O'Bryan]

The memorandum between the City of Lakewood and Giltz and Associates, Inc is dated February of 2007 and was signed by Tom Jordan, the previous Director of Planning and Development and a Vice President of Giltz & Associates. There is an undated note to file from Tom Jordan stating that due to market conditions the MOU is no longer in effect. An official of the Fitgerald Administration told me that the MOU is off the table.

When I think what we were told...

It is all so disappointing.


.

[Shawn Juris]

Sounds again like the voters picked the right candidate.

[Jim O'Bryan]

From October 7. 2007 On This Forum

I appreciate everyone’s input over the last few weeks concerning a potential development at Lakewood Plaza and the Kauffman Park area. An engaged citizenry is one of Lakewood’s strongest assets. We fully expect to provide a more complete presentation about this potential development to the public. However, we are currently gathering the necessary information for the public and our elected officials to make an informed decision.


Since becoming the Planning and Development Director, I have reviewed several plans put forth by numerous developers and community groups for the redevelopment of this area. All of these organizations had well-intentioned goals of enhancing this very important facet of downtown Lakewood. To that end, the City of Lakewood applied, along with Lakewood Community Progress Incorporated (LCPI), for a grant to enhance the streetscape along Detroit Avenue and review development opportunities in the downtown district. The City and LCPI held three public meetings on January 31st, April 19th and August 28th for this study. These public meetings were promoted by press releases, fliers, Lakewood Alive, the Lakewood Observer, and even a notice on First Federal of Lakewood's electronic billboard.

Although these presentations did not provide any specific design or tenant recommendations for the mixed-use center, the study recommended moving the green- space to the street with a mixed-use center at the rear. The presentation given at the August 28th meeting can be reviewed at the City’s website at www.ci.lakewood.oh.us. Those involved with the study felt that a redefined park offers the City the opportunity to strengthen and enhance the heart of the community in a manner that adds value, re-energizes public spaces, and establishes a more cohesive connection to the park and its surroundings. The City of Lakewood remains the only inner-ring suburb with a true downtown. By maximizing the opportunities with this asset, it will support the community and serve as a center of confluence. This new space could be used to host a variety of community festivals and events, such as Light Up Lake Lakewood and the Farmers’ Market. It could provide important support to the downtown merchants and the City’s Main Street efforts.

Since this process began over two years ago, a developer actually purchased Lakewood Plaza. The developer will invest in Lakewood Plaza. It is our hope that the investment will maximize the site and surrounding area consistent with the Detroit Avenue Streetscape plan. We asked the developer to perform his due diligence on two plans: one limited to his site and another with additional City property. The developer is currently involved with complex negotiations with the existing and potential tenants, architects, and financial institutions. The City of Lakewood for its part was concerned about recreational activities, and the amount of green space that would be available if the park was reconfigured. To that end, we hired Osborn Engineering, a nationally known architectural engineering firm who has been the lead architect on the Yankee Stadium, OSU Stadium, and Jacob’s Field. The scope of work was to review the current uses at the existing site and suggest improvements at the City’s remaining parks and estimate their costs. City Council held a Committee of the Whole on June 11th. All Council members were given notice of the Committee of the Whole meeting, and the Clerk followed regular public notification processes that included notifying the local news media, the Lakewood Observer, and the Lakewood Public Library plus many others. At this meeting, we disclosed the necessity of this study was to see the feasibility of moving recreational programming from Kauffman Park to three other parks (Madison, Cove and Lakewood Park) if Kauffman Park was redefined. All Council members were present with the exception of Councilmen Demro and Dever. The Committee recommended funding the study. On June 18th, the full Council approved Ordinance 74-06B to expend these funds by a 6-0 vote with Councilman Dever abstaining. Before this regular Council meeting, the Council docket for that evening was posted on the City’s website. The Council docket was also available the previous Friday in Council’s office. At the Committee hearing and at the Council meeting, members were able to ask any detailed questions. At the Committee of the Whole, it was also disclosed that there was a purchase option of Lakewood Plaza and the potential developer was identified.

Over the last two months, the City has worked with Osborn Engineering in developing enhancements at the other parks and adding green space. We have laid out general parameters for the consultant to pursue in his design. Those parameters were to take the list of programmed activities at the park and build new enhanced facilities in the appropriate locations. The developer was instructed to design this space to include green space on Detroit Avenue for public use.

Lakewood has over 110 of acres of park space on school or City property. (This number includes the approximately four acres recently added to the inventory through the school’s rebuilding process.) The City also utilizes part of the 3,400 acres of Cleveland Metropark space on its western border. In this process, we have involved the Division of Recreation of Lakewood City Schools who manages the park programming. It is our hope that with investment in this project, further capital improvements will enhance the overall recreation options and add further acreage for public use. In no way do we want to diminish the public park amenities currently available.

There will be a public process. If the due diligence process reveals that the development will not result in enhanced recreational opportunities for Lakewood residents, there will be no public investment or sale of land. Any sale of land will be sold at fair market value as established through an appraisal process. There are numerous zoning issues that would go before a public meeting of the Planning Commission that is a public process. The authorization to sell land by charter will require approval of City Council and further public hearings. I welcome everyone’s input when and if a specific proposal is put forth. In the interim, we will attempt to keep you informed. Please understand that much of the press on any topic is frequently limited in space and in content. I hope this post is more helpful to you. Any redevelopment of the site will be done in a thoughtful, planned, and public approach.

[Donald Farris]

Hi,
Any chance that the document could be scanned in and posted?

Thanks, Mr. Call for taking the effort to check into this!

[Richard Cole]

"That field is very near and dear to me," George said. "I'm probably the last person in the city who wants the field to go."

[Bryan Schwegler]

We're only 6-weeks out from when George left office and we've already uncovered two massive lies, it's scary to think how much more there is to uncover.

It's so very disappointing.

[Valerie Molinski]

We're only 6-weeks out from when George left office and we've already uncovered two massive lies, it's scary to think how much more there is to uncover.

It's so very disappointing.

What did I miss? The other one? Other than the major budget shortfall?

As I said in that thread, I don't imagine that someone would invest that kind of money in renderings and planning unless something big was already in play. Guess I was right.

Baldfaced lies... in print, no less.

[Rick Uldricks]

deleted

[Lynn Farris]

Two things disturb me about this, even though we had suspected a memorandum of understanding regarding Kaufman Park since the purchase.

1) Once again we were lied to by our city officials

2) When we purchased our building, the school board immediately sued us for back property taxes at the new higher value. Assuming the value had been higher when we purchased it Now Mr. Call is indicating that the property hasn't been re-evalued - even though the market value should have been clearly changed with the purchase.

[Bryan Schwegler]

We're only 6-weeks out from when George left office and we've already uncovered two massive lies, it's scary to think how much more there is to uncover.

It's so very disappointing.

What did I miss? The other one? Other than the major budget shortfall?

As I said in that thread, I don't imagine that someone would invest that kind of money in renderings and planning unless something big was already in play. Guess I was right.

Baldfaced lies... in print, no less.

The two...

Kaufman Park
Budget Shortfall.

Fitzgerald said it was there....George said it wasn't. George even took Fitzgerald in front of the elections commission to claim he was lying.

Of course the truth always comes out in the end. IMHO, it speaks loads about the integrity of our former mayor.

[Bill Call]

Hi,
Any chance that the document could be scanned in and posted?

Thanks, Mr. Call for taking the effort to check into this!

If someone can tell me how, keep it simple I'll post the document. There's more!tease

[Stan Austin]

Bill---- Your efforts to bring to our attention the memorandum of understanding are commendable but not particularly revelatory.

From day one, when the potential sale of the Detroit Plaza was public, it was well known - and publicly discussed by the George Administration - that the Kaufman Park was to be part of the discussion for an overall plan of that area.

Tom Jordan's post on the Deck addressing that point made it very clear and explicit that the development of any plan would be open and in the public in front of the various boards and commissions responsible for those reviews.

And, finally, as quoted by the various media references, Mayor George made it very clear that his goal was that any final plan would have to result in a net increase to Lakewood of green space.

A redevelopment of that plaza and its surroundings would be the final piece tying together two iconic buildings with the brand new library.

It would be hoped that a similar level of planning and development skills could still be brought to bear so that idea might be realized.

Stan Austin

[Jim O'Bryan]

Bill---- Your efforts to bring to our attention the memorandum of understanding are commendable but not particularly revelatory.

From day one, when the potential sale of the Detroit Plaza was public, it was well known - and publicly discussed by the George Administration - that the Kaufman Park was to be part of the discussion for an overall plan of that area.

Tom Jordan's post on the Deck addressing that point made it very clear and explicit that the development of any plan would be open and in the public in front of the various boards and commissions responsible for those reviews.

And, finally, as quoted by the various media references, Mayor George made it very clear that his goal was that any final plan would have to result in a net increase to Lakewood of green space.

A redevelopment of that plaza and its surroundings would be the final piece tying together two iconic buildings with the brand new library.

It would be hoped that a similar level of planning and development skills could still be brought to bear so that idea might be realized.

Stan Austin

Stan

Thank you for jumping in and would also love to hear from a Realtor on this topic, or someone that can explain the various terms that pop up in the paperwork obtained by Bill, Tax Value, Assessed Value, etc.

I think the general concern, and one that I share is that this project seemed to be farther along than indicated. That to ask a developer to develop drawings, and purchase land would indicate that a more formal arrangement was floating out there.

I have to think after speaking with Bill Call last night his biggest concern, was that the city was once again embarking on a bad deal, that would come up short, in vision and financing.My other concern was either the developer was being played(I can cope) or the public by thinking there would be some say in the outcome.

While minor points, all phases of life in this city seem besieged by meetings to decide things already set in stone long before the public meeting to decide.

.