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Milkman’s Matinee News, Updated with Pictures, 2/8/02, 8:30 AM: The Common Council voted unanimously to give Louis Cappelli “90 Days To Deal” for a hotel or a major retailer Thursday night. The developer has his choice of both deals to pursue.
The Council also completed the historic land-use rezoning of the city, passing the “anti-McMansions” Zoning Ordinance.The issue of nonconforming homes in the outer neighborhoods will be further studied by the Planning Department.
Perils of Cappelli
Louis Cappelli, put in his third appearance at the Common Council in 4 days, Thursday evening, with a sobering update on the condition of the financial markets.
The volatility of the financial climate has prompted him to request a precedent-setting council approval of letting him choose his best configuration for the City Center. The council resolution made official a deal hammered out last Friday before the Urban Renewal Agency and constructed by Edward Dunphy, Corporation Council, Monday.
SUPER DEVELOPER GETS 90 DAYS TO WOO SEARS, WOW THE RITZ. Louis Cappelli showcases thumbnails of two ways he could take the City Center: 5 Floors or 4 Floors to the Common Council Thursday evening.
Photo by WPCNR
The resolution allows Mr. Cappelli 90 days to negotiate either a major retail tenant for the second floor of the city center, (Sears Indoor Store or a shadowy new retailer). If Mr. Cappelli cannot make Sears happen, he can eliminate the second floor retail footage in favor of a potential hotel deal.
Should a hotel deal fall into place, one floor (175,000 square feet of retail) would be eliminated from the City Center, and the enticing Ritz-Carlton Hotel worked into the Martine Avenue side of the Center.
In this scenario, Mr. Cappelli would come back to the Council with the hotel design for approval. Mr. Cappelli already has a preliminary design of how the Ritz Carlton might look, but he feels it is premature to have it photographed.
The City Center Lineup Today
Mr. Cappelli appeared tentative, concerned, highly respectful to the Council, but undaunted as he made his plea to the council to give him 90 days to shape the City Center configuration.
The Super Developer started off with an update, confirming again that he has the Target Store, Circuit City, and National Amusements signed to lease agreements.
He reports Legal Seafood will be inked to a lease Friday. He is in lease negotiations with Barnes & Noble and final lease negotiations with California Pizza Kitchen, Stir Crazy, and Bertucci’s, an Italian restaurant, “so all the restaurants (on the first floor street level) will be filled out.”
Cappelli is also confirming, “We’re talking to Bally’s and Equinox health clubs.” Asked where they would go in the project, Cappelli said it all depends what happens on “the spec floor.”
A two-week closing begins Monday
Cappelli, showcased the 1-inch thick “Closing Checklist,” assuring the Common Council that his three financing partners, CIBC, ULLICO and a third bank were in place to deliver the $150 million in financing. Cappelli has already spent $40 million of his own money, and continues to bankroll the pace of construction at the rate of $1 million a week, he said. Steel has been ordered and will arrive on May 25.
THE HANDS OF CAPPELLI hover over a 1-inch thick sheaf of “Closing Checklist Papers” last night.
Photo by WPCNR
Cappelli said his bank consortium would not approve the financing on the project if it had two speculative floors. The “man who makes things happen” said the banks needed the Council approval that the project would go ahead with either 5 floors or 4, prompting his creative request for an “either/or” approval from the Council.
Council partners with Cappelli – and he wants it all—Sears and Hotel.
William King enthusiastically nodded his assent to the 90 day negotiating window. Rita Malmud kept all in suspense before saying she would vote for the 90 days to give Mr. Cappelli “flexibility” to close his best deal.
CAPPELLI MAKES HIS PLAY, awaits the Common Council verdict last night. Clockwise, from top, Cappelli, Councilperson Rita Malmud, Councilman Roach, Mayor Delfino, Councilman Robert Greer, and Councilman William King. The Council broke new ground to give Cappelli carte blanche to make his best deal and satisfy his banking syndicate.
Photo by WPCNR
Greer provokes an intriguing answer
Robert Greer, asked an interesting question – what would happen if Cappelli was able to sign both the Sears Indoor Store and the Ritz-Carlton. Cappelli said he would then be using “the air rights” over the city parking garage which he purchased. This comment indicates that he is trying for the best of both worlds: the complete retail and a hotel.
Councilman Tom Roach said he was willing to consider the reduction of one floor a minor site plan amendment. Mr. Greer said, “I have no problem with it.”
McMansions Gets Done: A Habel Achievement.
Susan Habel, Commissioner of Planning who presided over the city rezoning the last three years, reported that the McMansions zoning ordinance addressing overbuilding in the outer neighborhoods was now completed as a result of the Council vote Thursday evening, commenting,
“I’ m pleased they passed it. It’s something the Council’s been looking at for approximately a year. A concern was raised by one resident (in the meeting) with respect to rebuilding on a non-conforming property, and that is not an issue directly related to these amendments it relates to another section of the zoning ordinance which the Mayor and Council have asked us to examine, and we will be examining it.”
Time for an FAR Check.
Habel said the final zoning ordinance passed yesterday evening,
“addresses the changes that were recommended in the City Comprehensive Plan. We have now completed with the exception of some changes that will be coming on the environmental recommendations, we have completed the land use recommendations of the comprehensive plan for zoning changes.”
As of 6:45 PM Thursday evening, Habel, relaxing in her office, reported with a satisfied grin that “the FARs are now in effect, yes, and coverage, changes in coverage creating a main building coverage and the side yard changes are now in effect as a result of the council’s action tonight.”
Mayor hails completion of the land-use rezoning. Says Cappelli has “heart in this project.”
Mayor Delfino, the last to leave City Hall, said, “The zoning ordinance we passed tonight is a very very important issue as it releates toprotecting the integrity of our neighborhoods. I’d have to say the Planning Department probably went to about 14 neighborhoods to redo these planning revisions and it was well-received. There’s always a small house here and there that faces and issue, but if we have to we’ll resolve them individually, but in turn this will be a great great difference for the city of White Plains. It will really protect the integrity of the neighborhoods.”
Asked to comment on the “perils of Cappelli,” the Mayor said, “I think as Mr. Cappelli said, things are changing every day. Fortunately, he has his heart on this project being completed, and I’m glad the council went along with his proposal tonight.”
Dunphy calls “Cappelli’s Choice” a precedent.
As we walked out of City Hall after the historic deliberations, WPCNR encountered Edward Dunphy and his legal entourage.
We asked the Corporation Counsel, crafter of the 90-Days to Deal measure, if the council acceptance of the elimination of one floor as a minor site plan amendment and the 90 Days to Deal measure was a precedent.
Without hesitation, Dunphy, walking swiftly West down Main Street away from City Hall, grinned and said, “It’s a precedent. We’re breaking new ground here. But, we’ll persevere. We always do.”