City Moves to Reacquire Municipal Parking Lot (20. May 2008, 14:43 by Derek Young) ~ Ugh. Court Documents.

This appeared over at the TacomaGeekery blog and definitely caught our eye. The City of Tacoma is looking to settle the question of ownership around the Municipal Parking Lot across Market Street from City Hall.

You know the Marcourt Building / Bridge Condos on Market Street? Well, as you may recall, the city acquired the Marcourt Building in 2002 via eminent domain. In 2004, the City and Catapult entered into a development agreement for the building and the Municipal Parking Lot to the north. As part of the agreement, Catapult was to develop a mix use project that would include a new ‘City Parking Facility’. Remember that? The Art Lofts! The project was to have reached substantial completion no later than January 31, 2007. Finally, the agreement entitles the City to exercise its option to reacquire the Parking Lot if Catapult fails to convey the City Parking Facility to the City the substantial completion date. As you probably know, it’s still the same parking lot. So …

The City provided a notice to Catapult of default in September 2007. Catapult never responded.

From the lawsuit dated May 9th, 2008 (pdf):

4.3 Pursant to an agreement entered between the City and Catapult in 2004, Catapult is obligated to develop the Municipal Parking Lot, including the construction of a new parking facility and condominiums. Catapult has defaulted that agreement and the City intends to enforce its rights under the agreement in mediation and/or arbitration, as directed by the agreement.

4.4 However, because several other person and entities may claim a valid and subsisting interest in the Municipal Parking Lot, the City must simultaneously commence this action in order to adjuciate and declare the respective property interests in the Municipal Parking Lot and the corresponding priority of said property interests. In addition, the City intends to prohibit any further unauthorized encumbrances of the Municipal Parking Lot.

4.5 Condominium Owners and Association. Owners of the “Bridge Loft” condominiums and the Association have been named in this Complaint for the purpose of resolving any claimed property interest they may allege in the Municipal Parking Lot.

As we read the lawsuit, we were surprised to see the list of defendants. This gets complicated. There are developers, condo owners, business associates, a few random passersby. It’s a big list of folks that may have an interest in that lot – including every condo owner in the Bridge.

So, maybe we’ll get some new development there soon… maybe?

Link to TacomaGeekery