City, Mohanna Say K St. Deal Near
KXJZ photo/Ben Adler
After years of stalled talks and an eminent domain dispute, a deal is near that would clear the way for redeveloping two blighted blocks of K Street in Downtown Sacramento.
Tuesday, September 23, 2008
The city of Sacramento and property owner Moe Mohanna have been mired for years in negotiations, lawsuits and mediation. But now, there’s broad optimism from city officials who have been skeptical of Mohanna in the past. Assistant City Manager John Dangberg is the city’s lead negotiator.
Dangberg: “We are making progress. We continue to make progress. I am feeling more optimistic than I have in the past about a potential compromise, and we should know more in the coming weeks.”
Several other Sacramento officials echoed that optimism, as did Moe Mohanna.
Mohanna: “This is a deal that makes sense. It is fair; it is equitable; it’s good for the community; it’s good for the city; and it’s good for me and my family and my investors. So that’s why it has merits. It is sustainable, it would be done and there is good faith dealing behind it.”
Under the settlement, the eminent domain dispute and all other lawsuits between the two sides would be dropped – allowing the K Street Mall’s two most run-down blocks to finally see some progress. Details of the agreement aren’t available yet. But city officials have previously said they want to see retail shops in the 700 block, and Mohanna says he’s working on a mix of retail, housing and hotel projects for the 800 block.
Dangberg says the city council is scheduled to discuss the deal in closed session on October 7th.