That is the question posed to City Hall. The owner of the Main Place and Liberty complex have offered to purchase the City-owned, 1000 space parking ramp under the mall for $7.1 million. Main Place Liberty Group, working to fill thousands of square feet of vacant office and retail space, sees the parking spaces as an important amenity for potential tenants of its properties. Selling the ramp puts the facility on the tax roll, though the City would be liable for necessary repairs in the short-term. Currently operated by Buffalo Civic Auto Ramps, the facility is not taxed, but parking is open to all. Developer Carl Paladino is urging the City to reject the offer.
The Buffalo News has the details:
One of downtown’s largest landlords contends that a push to sell a city-owned parking ramp to the owner of Main Place Mall would be “disastrous” for the central business district.
Carl P. Paladino warned Common Council members that if the 1,002-space ramp beneath the mall is sold, it would cause “extreme distress” for other properties unless the city expands its parking facilities.
Paladino also said that the purchase offer made by Main Place Liberty Group might get special consideration from Mayor Byron W. Brown and Ellicott Council Member Brian C. Davis because the company has supported their political campaigns.
Under a 50-year agreement, the ramp will be turned over to the mall owner at no cost in 2019. But for the third time in five years, Main Place Liberty Group is seeking to buy out the city’s ownership interest. The company would pay the city $7.1 million, but the city would have to pay for ramp repairs that include work on walls and concrete slabs.
Paladino — who serves on the Buffalo Parking Board and the board of Buffalo Civic Auto Ramps, the operator of the city’s parking system — said his analysis puts the ramp’s current value at $18 million.
“Any sale short of that amount would be a political gift to the buyer,” Paladino contended.
And more:
Paladino said that about half of the spaces in the Main Place ramp currently are occupied by employees who work in properties not controlled by the mall owner. If existing parkers are displaced, he said, it would cause major problems for other downtown property owners.
Lefebvre said he and Paladino agree on one thing: Downtown is in dire need of additional parking facilities.
But Lefebvre contended that Paladino’s development plans are compounding the problem. For example, Lefebvre cited plans by Paladino’s Ellicott Development Co. for a $45 million, 11-story office tower at 50 Court St. Main Place tried unsuccessfully to acquire the site from the city to build a new parking ramp, Lefebvre said.
“[Paladino] seems to be talking out of both sides of his mouth” regarding downtown parking issues, Lefebvre said.
Should the City accept the $7.1 million offer and transfer the ramp to Main Place/Liberty while remaining on the hook for repairs? Or should the current agreement remain in place? The City would operate, maintain and collect fees at the ramp for 12 more years and turn it over for free. Perhaps the sale could be made contingent on Main/Place Liberty dropping its suit blocking construction of Ellicott Development's proposed 50 Court Street office project. Should the City get out of the parking business altogether?
Photo credit: CitySky Photography by Nate Farnsworth.