The City of Alpharetta has indefinitely suspended its downtown redevelopment project known as Alpharetta City Center.
“The changing economic climate and other variables have significantly altered the City Center Project,” stated Alpharetta Mayor Arthur Letchas. “While we do believe that Alpharetta City Center will in the future be a viable project that provides mutual benefits to the citizens of Alpharetta, the City, and the private sector, that viability cannot be realized as things now stand.”
Alpharetta officials met with Al Holbrook, principal of Solomon Holdings, the developer that was selected as the City’s partner on the project, to discuss the situation. After the meeting, Holbrook indicated his agreement with the decision. “Solomon is in agreement that the City Center project should be placed on hold due to economic conditions and the timing of the marketplace today,” Holbrook stated.
Following a series of public information meetings on the project, Alpharetta City Council agreed in April to continue consideration of the project. In preparation for a possible August vote to place a bond referendum on the November ballot, they directed staff to prepare additional traffic studies, an updated commercial market analysis, and a revised financial feasibility analysis. Staff was also directed to negotiate key terms of the business relationship between the City and Solomon Holdings.
It was those negotiations that brought, at least for now, a halt to the project.
“The City’s original intent was to identify and secure a development partner who could bring experience and equity to bear on the project to create a mutually beneficial business relationship, Letchas explained.” It is now apparent that, due to factors beyond the control of the City of Alpharetta or Solomon Holdings, that intent cannot be realized at this time.”
City officials were quick to indicate that the decision is not an indication of a lack of commitment to the future of Downtown Alpharetta or of any dissatisfaction with Solomon Holdings or Holbrook. “This decision is a factor of the current economy,” Letchas stated. “It is simply a result of where the market is right now.”
When asked if his Alpharetta-based company would consider issuing a new proposal if the City revisits the project in the future, Holbrook said, “We believe that this development is critical to the future progress and long-term success of the city; therefore, we will continue to champion its final positive outcome.”
“Projects like this are complex, involving a lot of variables that have to align for a deal to work,” says Letchas. “The timing has to be right for that to happen. I have no doubt that the time for City Center will come.”
Labels: city center, city of alpharetta, Downtown Alpharetta, postponed
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Brian Vanderhoff @ 9:10 AM
