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Wednesday, August 21, 2002

Newport might buy properties for project




By Dave Niinemets
Enquirer contributor

        NEWPORT — Officials confirmed that the city may wind up buying the houses of the Cote Brilliante homeowners who are in a bind after a stall in the $100 million Newport Promenade project.

        “The ones that we are kind of looking at are some of the hardship cases where people have gone out and bought other properties,” said City Manager Phil Ciafardini.

        A number of residents of the neighborhood were offered options to sell by Neyer Properties of Evendale to make way for the Newport Promenade retail development. As a result, many of them purchased other homes in good faith, counting on the developer's payoff.

        Neyer Properties, the Promenade developer, is not affiliated with another well-known Cincinnati developer, Al Neyer Inc. in Blue Ash.

        Unable to secure retailers, Neyer Properties not only never lived up to the offers to individual homeowners, but was removed from the commercial part of the project by the city. If the city buys the properties, it will be one less roadblock for the development and may relieve the residents.

        “It's probably not the best scenario for us; we prefer to have developers take care of purchasing properties,” said Mayor Tom Guidugli. “If we have to, we'll spend some money on it to help it move forward. It's a good project.”

        Mr. Ciafardini estimates that six to 10 properties fit the description of those the city would try to purchase. Mr. Guidugli said more research would need to be done to know how much the city would have to spend.

        Larry Sinclair lives on Race Street and agreed to make a deal to sell last August.

        Mr. Sinclair said Neyer Properties assured him that the city would ensure all remaining properties would be secured through eminent domain, and the deal would be completed.

        “We thought it was a done deal,” said Mr. Sinclair.

        Mr. Sinclair's mother lives across the street and also made a deal with Neyer Properties. The Sinclairs signed a contract last September on a new home and planned to live together in it. But without their homes being purchased, they have been in limbo, unable to finalize a deal on the new home.

        Mr. Sinclair said the owner of the home has held it for him for several months, but he doesn't expect her to do so much longer. He's hoping if the city does make an offer, it's equal to what he expected. He said city officials assured him at the last commission meeting they would match Neyer Properties' offers.

        Some property owners are in even a tougher spot, saddled with two mortgages while waiting for a deal on their Cote Brilliante homes.

        Mr. Ciafardini said the city is now working out a deal with Neyer Properties in which the developer would continue working on the residential portion of the project.

        A new developer is being sought for the commercial portion.

       



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