| OCR Text |
Show RDA amendment under advisement By PAL1L CHALLIS News Editor BOUNTIFUL The Redevelopment Agency took under review Wednesday a proposed amendment requiring Bountiful' s downtown developer to secure a loan agreement for 70 percent of the project by the end of the first 90 days of construction. RDA members tabled the proposed pro-posed amendment pending further review. It would add to the original option agreement the city has with Johan sen-Thackeray and Co., concerning con-cerning the shopping center project on Block 29. The amendment, presented by, Bountiful City Manager Tom Hardy, Har-dy, would require the buyer (the developer) de-veloper) to have a construction loan agreement for 70 percent of the project pro-ject in place. The developer would also have to meet the approval of an architectural review and from the RDA. "This would call for revision in the warranty deed to include 70 percent in the 90-day period of construction," con-struction," Hardy said. "If the developer de-veloper fails to do it, the land would revert back to the RDA." Hardy told the RDA board that the amendment calls for "reasonable restrictions and measures and after reviewing it, I feel comfortable with it." John Thackeray told the board that he was against the new amendment. Lenders would not approve ap-prove such an agreement, because the property would revert back to the RDA instead of the bank if the loan defaulted. "No lender would loan money under those circumstances," Thackery said. "I understand the RDA would like to eliminate all risks, but this amendment ould leave the lenders taking several undesirable risks." Board member Renee Coon made a motion to table the issue for one week so the RDA could digest the new information and make a responsible decision on the amendment on March 13. Board member Harold Shafter said the issue needs to be decided. The developer has already waited two weeks, since Feb. 20, because : the RDA failed to get a quorum at : its last meeting, Shafter said. Thackeray also gave the RDA an -update on the progress of negotia- ; tions with property owners and potential clients for the 180,000 square foot project in downtown j Bountiful. : "We are very encouraged at this point in the process. We have made firm proposals to land owners," he said. "With the war over it appears I the economy will get stronger and there will be more money available ! for the project, which we feel is a : good sign." ; Thackeray said the process is a "grinding one" that takes time. "We have been encouraged by the ; response from the property owners. ; No one has turned us down yet They seem to have a civic respon- sibUity about the future of the downtown area. Negotiations look promising." |
