Print

Email story

Comment

Email editor

Builder abandons Clearwater townhome plan

By MIKE DONILA
Published March 5, 2007

Mediterranean Village was supposed to be part of the Clearwater's revitalization future, a pond-side collection of 100 townhomes downtown.

The ambition: Turn an old car dealership site into a desirable residential alcove to help spark downtown interest and lure more residents to the businesses.

But after almost eight years and countless setbacks, all that remains of the grand vision is 15 residences crowded behind a concrete privacy wall just east of Myrtle Avenue and south of Cleveland Street.

The final blow to the plan came Monday, when a Sarasota developer who'd pledged to build another 85 homes there, dropped his option to do so.

The spectacle has left city officials and the residents who bought into the Mediterranean Village dream to wonder: What now?

"It's never good to have a developer fail on an approved project this far along, but it does allow us to update the desired use on that project and maybe develop something more consistent with the current state of downtown Clearwater," Assistant City Manager Rod Irwin said.

* * *

Plans to build the Mediterranean Village came at a time when the city started focusing on downtown revitalization. The project - a townhome complex next to a proposed drainage pond - first surfaced in 1999. A deal was struck a few years later.

Under the agreement with Sarasota developer Bruce Balk, the city would pay about $1.3-million in fees and bring the land - the old Dimmitt Chevrolet property - up to environmental standards.

At the time, the project was expected to cost $16.4-million and generate more than $225,000 annually in city taxes.

The village would be built in phases on land that Balk would buy from the city.

The project got off to a rocky start, but the city eventually built the drainage pond, later calling it Prospect Lake. And Balk eventually finished most of his first phase: 15, two-story orange and yellow townhomes that many city leaders ridiculed, saying they were ugly and crowded. While he still had to tie up some loose ends, like adding greenery, the clock ticked on the second phase.

On Monday, Balk's option expired when he did not purchase the property and start development.

According to the agreement, he was supposed to buy 2.77 acres for $936,000 and build 49 more townhomes in the second phase. Neither Balk nor his attorney, Barbara B. Levin of Sarasota, returned calls seeking comment.

* * *

The city can now probably demand twice the price for the property. But city leaders say that's no consolation after years of waiting for something to be built there.

And now local officials aren't so sure they want only homes there.

Since the project was first proposed, the downtown has experienced some revitalization. There's a new, modern public library. And a number of downtown residential developments, including one next to City Hall, have broken ground.

In the coming weeks, city leaders said they'll discuss just what they want built on the property. Irwin said city planners will develop a plan for the area and give it to the City Council within a month. If approved, the city would ask developers to get involved, but that might not happen until early summer.

City planners say they'd like some residences, as well as shops and restaurants, built there. And the mayor has even suggested looking into putting a movie theater on the property.

"I would like to know whether one would fit there," Mayor Frank Hibbard said. "It would be pretty nice to be able to walk out on Prospect Lake before or after (a movie). It's a good way to attract people downtown and we own the land. One of the biggest things about bringing in a theater has been the price of land."

Councilman Bill Jonson said some residents have told him the location is ideal for an entertainment venue.

But, Jonson said, the city needs to strike a balance to accommodate the residents who live in the first phase of townhouses, since they were told that more homes - not shops and restaurants - would neighbor them.

Sandra Chandler, a caregiver who has lived there for two years, would like more homes.

"That would be nice. We already have the downtown area and I think the townhomes would be more efficient and accommodating to the neighborhood," said Chandler, 59.

But Tara Conn, who has also lived in the village for two years, says the city needs more bars and restaurants.

"I think that would help bring more people here. The area is cute, but the empty park is awkward," said Conn, 25. "They need more stuff to keep people here. There's not a lot to do."

* * *

Finishing Mediterranean Village was delayed for years as Balk faced construction delays, logistical errors and environmental concerns. Both the city and Balk share blame for the delays, which included a final one last fall as Clearwater waited for the Florida Department of Environmental Protection to sign off on the property's environmental cleanup.

"That was hugely frustrating," Jonson said.

City officials said they talked to Balk a number of times in the past month, trying to see whether he planned to continue, but they've declined to speculate on why he quit.

"I think at the time he's just not in a position any longer to perform under the development agreement," Irwin said. "He could not close (on the property) or show evidence that he could."

Fast Facts:

Time line

1999: Clearwater officials begin talks to develop the downtown site of a former automobile dealership next to a to-be-built drainage pond.

2000: City officials choose a plan to build 100 townhomes on the site.

2001: City learns it must also clean up contaminated soil from the site.

2002: City begins building the 5.5-acre drainage pond, now known as Prospect Lake. City signs deal with Sarasota developer Bruce Balk.

2003: Pond is built. Balk begins making progress on the first phase: 15 townhomes at the corner of S Prospect Avenue and Cleveland Street.

2004: Some of the townhomes open. Balk said he's ready to begin Phase 2. The city still needs state environmental regulators to sign off on the site cleanup for him to start building in this phase.

2006: The state approves cleanup. Balk receives an extension for purchasing property for the second phase.

2007: Balk fails to buy property. City said it will revisit the site's development plans and look for a new builder.

[Last modified March 4, 2007, 21:24:46]