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May 17, 2005City: No exclusive rights to lotDecision delights some at meetingByRecord-Eagle staff writer TRAVERSE CITY - A developer's idea for a hotel near the bayfront was dealt a significant setback, as city commissioners said no to his request to negotiate exclusively to buy a city parking lot for the project. "Why would we give up that piece of property?" commissioner Ralph Soffredine said. Developer Michael Uzelac of Federated Properties, LLC asked the city to sell a city lot at the corner of Grandview Parkway and Union Street for equity in a parking structure in a West Front Street redevelopment. Uzelac wants to build a hotel and residential complex on the parking lot and asked the city to "negotiate exclusively" a sale or swap with him. Uzelac's project on the west end of downtown includes public parking, retail, office and residential space. City commissioners Monday denied the developer's request for 18 months of exclusive talks about selling the prized property. The decision - and several commissioners' lack of enthusiasm for the hotel plan in general - delighted some in attendance. "It sounds like parking lot T is off the table," said Greg Reisig of the Northern Michigan Environmental Action Council. The council led a fight to stop a mall slated for the same site in 1986. Jim Carruthers, a city parks and recreation commissioner, said the public is "outraged" over the idea of a hotel near the waterfront. "It would be a huge mistake to give up lot T for a building ... ," he said, to a clapping audience. The parking lot is zoned for commercial redevelopment, said the executive director of the Downtown Development Authority. Bryan Crough told commissioners he thought Uzelac's idea deserved discussion. After the meeting, Crough said he was unsure how the city's rejection would impact plans for the West Front Street development. The DDA will continue to explore ways to finance public parking there, including through tax increment financing. "If he (Uzelac) wants to buy lot T, he needs a lot more information," Crough said. Uzelac could not be reached for comment Monday night. In other action related to the development, the commission unanimously approved a resolution that enables the city to recoup - through possible municipal bond issues - expenses for architectural, engineering, legal and financial services as it studies the West Front Street project.
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