Site 4 Indemnification Conversation Continues ...
In today’s Tacoma City Council study session Councilmember Manthou stated his intention to request that the Site 4 indemnification agreement with Hollander be held over once again to next week. It was set to be on the agenda for this evening’s council meeting. This motion comes at the request of Hollander Investments. The conversation soon revealed that the indemnification process may become a private party to private party transfer between the existing site owner and Hollander. This is allowed under the agreement signed with the Foss Waterway Development Authority and would effectively skip the need for a vote by the City Council.
The private party indemnification transfer, while allowed under previous agreements, is new legal territory for the FWDA and City. There will be more discussion in the near future about this process and the relationship between these organizations.
More to come …
Previously on Exit133: Foss Hotel Project Still Delayed by Council
Filed under: Developments, waterfront
4 comments
N Nick September 29, 2009
So is this just a legal loophole to try and avoid the ridiculous and potentially destructive actions of the city council? In this case, I actually kind of hope so…
E Erik B. September 29, 2009
Not another delay.
Come on Tacoma.
This is allowed under the agreement signed with the Foss Waterway Development Authority and would effectively skip the need for a vote by the City Council.
If bypassing the issue can save face for someone somewhere so much the better.
However, the agreement should have been approved a couple of weeks ago.
This hold up unfortunately still telegraphs to potential investors how fickle and unpredictable the city is in allowing any investment downtown.
J Jesse September 30, 2009
The fact that this project is being held up by the city council after nine years of knowing exactly what they want on that site stinks of back-room dealings and kick-backs. No person is so dumb as to hold this up, like the city council has, without a reason and the hotel union is a laughable excuse.
L Local yocal September 30, 2009
Go ahead with your bad self Hollander.