Developer Bert Hesse was blunt in his meeting with City Council members Thursday: Hes grown tired of just holding hands with Charlotte and wants a more exclusive relationship as he tries to transform the former Eastland Mall site into movie studios.
Hesse is the last developer standing with plans to redevelop Eastlands 82 acres in east Charlotte. Two others had made proposals, but dropped out including ARK Ventures of Charlotte this week.
So Hesse came before the councils economic development committee thinking he and Charlotte would take their relationship a step further with a memorandum of understanding a more formal but nonbinding agreement for both parties to work out details.
He got one but it wasnt easy.
Pat Mumford, head of Charlottes Neighborhood & Business Services, told the committee that before his staff could recommend Hesses Studio Charlotte project, it needed six months to bore down into details.
Among the major details, Mumford and committee members agreed, was what it would cost Charlotte to make the deal.
Yet Mumford said the city doesnt normally enter into exclusive agreements.
Hesse acted jilted.
I am still confused on what our relationship is here, he said. For more than a year, Ive spent nearly $1 million on dating the city of Charlotte. Are you telling me were going to get engaged with the potential of getting married? Or do you want six more months of holding hands?
If you want six more months of holding hands, Im not interested. My investors arent interested in that.
He said he has investors lined up and that other cities have already made overtures to get married.
Council member Warren Cooksey asked Hesse if he already had the details the committee would need to recommend the project.
Hesse said he didnt.
So the committee unanimously voted to recommend to the full council that the city and Hesse drill down on details under a six-month exclusive agreement.
The committee wants to make sure that the appropriate (accounting) analysis is done completely like all private-public partnerships, council member James Mitchell, the committees chair, said in an interview. Were not looking for anyone else, and theyre not looking to go anywhere else.
Were engaged to be married.
Cost to the city?
Eastland Mall, built in 1975, was once east Charlottes commercial hub. But it began to lose customers and started a slow decline until the mall closed in 2010. The city bought the shuttered structure last year for $13.2 million and plans to spend nearly $900,000 to tear it down knowing it might not recoup any of the money.
The council was looking for the right project to revitalize not only the site, but all of east Charlotte.
At Thursdays committee meeting, several residents from the community packed into the small conference room to show support for Studio Charlotte.
Mayor Pro Tem Patrick Cannon, a committee member, said in an interview that east Charlotte residents should feel good about the committees decision to move forward with Studio Charlotte.
We have to determine the benefits, what the timing might be, what the financial structure might be and what will be the ask of the taxpayers, Cannon said.
Hesse has said he wants to own the land. Cannon said that needs to be worked out in the next six months.
The city has to determine how it would want to enter into that agreement: a cash disbursement or gifted, he said. From my perspective, if you want that land gifted to you, you need to agree not to come back to the city to ask for any more resources.
After the meeting, Hesse told reporters that the agreement was critical.
Without the city going into a serious discussion with us, we were not going to spend any more time on it, he said.
This shows our investors that Charlotte wants to be in the film business, and they want to figure out how to make it work.
The Charlotte Observer welcomes your comments on news of the day. The more voices engaged in conversation, the better for us all, but do keep it civil. Please refrain from profanity, obscenity, spam, name-calling or attacking others for their views.
Have a news tip? You can send it to a local news editor; email firstname.lastname@example.org to send us your tip - or - consider joining the Public Insight Network and become a source for The Charlotte Observer.Read moreRead less