Wednesday, December 19, 2007

K Street Drama, Act 333

I watched the public hearing and it was an excellent exhibit of a well lead process where everyone had their say and all the issues were amply expressed.

Though skill at running a public meeting doesn’t necessarily translate into skill running a city, the Mayor did run an excellent meeting, and one hopes her success there does translate into success with long suffering K Street.

That is one of our wishes for the New Year.


K Street battle headed to court
Taking action against blight, the City Council votes to force big landowner to sell his properties.
By Mary Lynne Vellinga - mlvellinga@sacbee.com
Published 12:27 am PST Wednesday, December 19, 2007


Saying the blight on K Street has festered for too long, Sacramento City Council members brushed aside threats of a drawn out courtroom battle, voting unanimously Tuesday to start the legal process of forcing landowner Moe Mohanna to sell his properties there.

At the close of a bruising four-hour public hearing, Mayor Heather Fargo said she still hopes the city can reach an amicable settlement with Mohanna, but needs to have the tool of eminent domain at its disposal.

"The message that this sends is that the city of Sacramento is serious about K Street," Fargo said after the 9-0 vote. "K Street is going to be a retail street that people in Sacramento will be proud of, and we will do whatever it takes to get there."

The next step is for the city to convince a Sacramento Superior Court that the use of eminent domain is justified. Then, it would be up to a jury to decide how much the city would have to pay Mohanna for his nine properties on two of the bleakest blocks on the K Street Mall.

At Tuesday's hearing, four lawyers appeared on behalf of Mohanna and other partners in his properties. They challenged the city's characterization of the events leading up to the vote, saying they would use 13 different legal arguments to challenge it.

"You're going to lose … and it's guaranteed whichever way it comes out you're going to be in court a long time," said lawyer Myron Moskovitz.

"Your staff told you this is a way to speed this up, this is a way to get the downtown going quicker. It's exactly the opposite. This is the way to slow things down."

Moskovitz said his client should be given the chance to redevelop his own properties. "Moe's ready to go. He's ready to develop on his own."

A parade of prominent downtown developers, business people and civic leaders, however, urged the city to do whatever it takes – including exercising eminent domain – to move forward with redevelopment.

Joe Zeiden, owner of the Z Gallerie, plans to convert the historic buildings in the 700 block into a row that includes upscale retailers such as Sur La Table, Z Gallerie and Anthropologie.

Zeiden attended the hearing but didn't speak. His lawyer, Richard Hyde, told the council that "this city is fortunate to have a developer of this quality willing to take an interest in and redevelop K Street."

David Taylor, downtown's most prominent high-rise developer, said the picture was bleak. "I've never been more discouraged about K Street than I am right now, and I'm fearful that if you don't do anything tonight, you'll be in exactly the same spot that you're in five years from now, 10 years from now," he said. Taylor is a member of the team currently converting the old Woolworth store at 10th and K streets into a live theater and restaurant.