Asheville parking garage hits snag

October 28, 2005

City of Asheville

FOR IMMEDIATE RELEASE

Contact: Kelley Webb

Day: (828) 251-4011

Mobile: (828) 768-1437

Haywood Street Parking Garage

The City of Asheville has received notice that the Basilica of St. Lawrence will require renegotiation of the terms of sale for property it owns that is necessary for the construction of the Haywood Street Parking Garage. In a letter dated October 25, attorney Richard A. Lucey, representing the Diocese of Charlotte, states that "my client will not be proceeding under the terms" of the 2003 Memorandum of Understanding between the Diocese and City "and if it is the City's wish to pursue a similar type of arrangement with my client then negotiations will have to begin anew."

"The letter states that, due to the lapse of time between when the original memorandum was signed and today, the Church can no longer consider selling the property pursuant to the terms that were previously discussed." said City Attorney Bob Oast. Oast said the delay was due to a variety of factors, including the change of ownership of the Battery Park Hotel, that complicated transfer of properties necessary for construction of the parking garage.

Cathy Ball, City Engineer and parking garage project manager, stated that the Diocese controls property critical to the construction of the parking garage, noting that the project cannot proceed without the affected property.

No timeline is available for a City response to the Diocese's letter since the response will require direction from City Council according to City Manager Gary Jackson. "I will ask staff to develop a list of options and alternatives for City Council consideration," Jackson said. "This information will be essential for Council to provide staff with the policy direction we need regarding this new development."

For further information regarding this news release, please contact Cathy Ball, City Engineer, at 828-259-5617.

##END###