Exit133

August 28, 2014 · Exit133

Walmart Developer Sues Tacoma

The development company that bought the former Union Avenue Elks Lodge property where the Tacoma Walmart now stands is suing the City of Tacoma for delays in the permitting process.

According to the Business Examiner, Allenmore Medical Investors LLC is suing the City of Tacoma, as well as individual council members for the delays that followed the temporary "big box moratorium." AMI is asking for damages of more than $1.8 million for delays resulting from the large-scale retail moratorium imposed by the Council when it learned that the developers planned to build a Walmart on the site.

Due to a loophole in Tacoma's rules around when City Council resolutions and ordinances become effective, the developers were able to get their application in during the window before the moratorium could go into effect. (That window will be closed if Tacoma voters approve a related Charter amendment this November.)

Because the Walmart developers were able to get their applications in during that window, the City ultimately had to issue the necessary permits, but there was a delay, which AMI is suing over, according to the Business Examiner.

This lawsuit claims a violation of AMI’s federal constitutional provisions regarding property rights for improper reasons and motivations. “In taking the actions … the individual defendants were driven by evil motive or intent and/or showed a reckless or callous indifference to AMI’s constitutional rights," the lawsuit alleges. "Alternatively, the individual defendants were negligent.”

The lawsuit names the City of Tacoma, Mayor Strickland and council members Lauren Walker, Ryan Mello, Jake Fey, Victoria Woodards, Marty Campbell, and David Boe for that delay, and alleges a violation of the public meetings act related to conversations on the topic. Any guesses on how this will turn out?

Filed under: City Council, Tacoma Business, City Government, Retail, Walmart

10 comments

  • Xeno August 29, 2014

    Another reason not to shop there. Frivolous lawsuits to your community.

  • AP August 29, 2014

    I will never buy anything in this complex.

  • Arash August 29, 2014

    Just terrible. I hope this lawsuit gets shot down quickly, and the company gets another black eye as a result.

  • Tim Smith August 29, 2014

    Almost as big a story as the $1.2 million in loss to shoplifting causing the WALMART to reduce and eliminate the night opening hours. This will probably cover those thefts.

  • DeeBee Cooper August 29, 2014

    I guess Harris Corporation will have to stand in line behind WALMART when they sue the city over the exposure and compromise of the Tacoma PD STINGER II system an KINGFISH program.

  • RHTCCComedyfan August 29, 2014

    I have some spare cardboard boxes for the mayor and some city council members so they will have a place to reside in if there is a costly judgement against them. I recommend watching the movie Life Stinks by Mel Brooks.There is also a place for meals at St Leo's in Tacoma for the indigent.

  • noname joe August 31, 2014

    I work for walmart.. and i feel ashamed they would do this to get money. Prolly trying to recoup lost money due to theft. I have been to this store and have to say it's the worst one i have ever been to, empty shelves and no workers.

  • CJ September 2, 2014

    Question........ Can the City counter sue the developer for fraud? The developer submitted plans for a "medical complex" and changed it to a big box store, due to a "loophole" allowing it. Can someone submit false information, in order to be granted a building permit? It would be easy to show that they never intended to build a medical complex and knowingly presented false information to the City of Tacoma. Is Tacoma legal council looking into that?

    • JDHasty September 3, 2014

      When former Council man Bill Evans can get permitting the God awful monstrosity he is erecting in Proctor ...it sends the message to developers that Tacoma is very flexible and plastic in it's application of development standards. What is sauce for the goose is sauce for the gander, if Tacoma is going to allow a stinking west coast interpretation of Cabrini Green then it naturally follows that other developers must be allowed to play fast and loose with the development codes.

    • Tim Smith September 3, 2014

      CSC of Tacoma LLC (now owned by GEO Group) in 2009 got a $54.4 million state-aided bond loan to refinance the Northwest Detention Center on top of the original $57 million provided to them in 2003 for the original construction. A facility originally supposed to be a temporary two or three day waiting area has turned into a 1575 bed long term prison. The legacy of misrepresentation, misdirection, and failure of oversight is known world-wide. Permits flew out of city hall faster than cold patch from a pothole on South Tacoma Way. The precedents for corporate exploitation of the City of Tacoma are legion.