December 1, 1996

Critics Hit Punta Gorda Development As Start Nears

Punta Gorda's downtown redevelopment project continues controversial. Last week it was an "ugly" architectural rendering of the new courthouse. This week it is a proposal to construct an office building next door to the post office.

The matter worsened with Paula Hess' rejection of a second term on the Community Redevelopment Agency (CRA) - in effect, a resignation for principle. The board is comprised of the five city-council members, plus two county representatives Hess and Susan Evans.

Hess is a smart lady experienced in civic affairs. She remains chairwoman of the city planning and zoning board. However, she is disgusted with the slow pace of the project - which has dragged over six years - and changes in the original plan.

Once a booster of the project, Hess has drifted into the circle of critics who contend the property should be a park and the courthouse located elsewhere.

They worry that a Chicago title insurance firm will not guarantee ownership of the project until a "development of regional impact" (DRI) permit is issued by the state.

This final permit is expected to be approved in March. Then, construction will begin and extend over 10 years.

It is important to understand why ownership of the 32 acres became so involved.

When Col. Isaac Trabue platted the town in 1885, he dedicated to public use a narrow strip of dry land between Retta Esplanade and the harbor. He also claimed public right to submerged land from there to the navigable channel.

Under the dedication, the shore line and shallow water right reverts to Trabue's estate should the land cease to be used for public purposes.

The dedicated strip west of the bridges was enlarged with fill by city council during the Florida Land Boom in the early 1920s. The aim was to sell the filled land for tax-paying up-scale homes.

Retta Esplanade home owners sued the city for violation of the Trabue dedication and won. The city then converted the site to Gilchrist Park.

The city in 1929 enlarged the strip east of the bridges to provide free parking for snowbird trailer owners. They poured badly needed cash into the local economy during the Great Depression.

This expansion was accomplished by filling submerged land and by clearing dilapidated boat shacks from the commercial blocks between Retta Esplanade and East Marion.

Subsequently, the Florida legislature placed all present and former submerged lands under state ownership. About the same time, Punta Gorda started renting its space to trailer owners; but the income did not cover costs.

Sorting out conflicting claims of the state, county, city, private owners and Trabue descendants was enormously time consuming. Circuit Judge Donald E. Pellecchia met Trabue's dedication by reiterating Florida Statute 163.335: "The (CRA) powers conferred.... are for public uses and purposes."

Thus, clear title was obtained a few months ago to meet contractual obligations with Waltemath Enterprises. The latter was low bidder for development of the area in accordance with the city's objective to increase property tax revenue and boost the economy.

The CRA judged that the justice center - though tax free - contributed many jobs to downtown.

Because of the complicated ownership situation, the city and Waltemath would like title insurance. Yet, lack of such protection is not crucial.

Florida Statute 163.370 stipulates that CRAs "may insure OR (emphasis added) provide for the insurance of any real or personal property against any risk or hazards."

The city must provide clear title only to Waltemath, but MAY self-insure if it wishes. A city guarantee would be a good deal less expensive - unless some heretofore unknown lien should pop up.

Latest beef concerns the intention by Waltemath to purchase outright a parcel in the old commercial area along East Marion Ave.

There are 12 parcels designated in the CRA site. The justice center parcel consists of 10 acres on which Waltemath had planned three office buildings and an adult congregate-living facility.

The developer gave up his rights to this property in return for the privilege of erecting a tax-paying office building on the 1.8-acre city parking lot at the corner of East Marion and Nesbit. The historic, little Trabue legal office building on the parcel is not affected.

When this amendment was accepted by both parties last year, the CRA placed a value of $100,000 on the parcel. From this, a yearly lease of $5,500 was established for 99 years.

Now, Waltemath wants to buy the parcel outright, build 25,000 square feet of office space, and then sell it to the law firm of Farr, Farr, Emerich, Sifrit, Hackett and Carr.

Since last year's contract renegotiation, The U.S. Post Office purchased nearby land of approximately the same size for $165,000. Hess and others assert the city should receive more than this for the proposed office building site.

Aside from the fact that the federal government is not necessarily as price-conscious as private buyers, last year's property sales are not governed by this year's sales.

Florida Statute 163.380 directs that "real property acquired by CRAs shall be transferred as rapidly as feasible in the public interest, consistent with carrying out the provisions of the redevelopment plan and giving consideration to long-term benefits resulting from short-term losses or costs in the disposal."

The purpose of a CRA is to redevelop property as quickly as possible to increase tax revenue and public use - not hold real estate for speculation.

Any one can play the what-might-have-been game. It takes vision to make a well-thought-out plan and carry on until good happens.

PARTING SHOTS

• "The lie has seven endings." Swahili proverb.
  
• The estate of Rev. Martin Luther King is suing CBS-TV for producing a video of his famous "I have a dream" speech. The civil rights leader filed for copyright after he had spoken to thousands at Washington, D.C.
  
• Legally, copyright must be claimed on printed or taped material before exposure in the public domain.
  
• Moses did not claim copyright to the Ten Commandments after God had delivered them. Immortal words always have been adopted by lesser mortals - CBS-TV being one.

By Lindsey Williams, columnist for Sun Coast Media Group newspapers