amount increased for motel purchase
By Kevin Kelley
Published April 29, 2009
county will likely loan the city more money to complete the purchase
and demolition of the Country Inn Motel, Development Director Jim
In February, Cuyahoga County Commissioners approved
the city’s request for a $292,000 loan from the county’s Commercial
Redevelopment Fund. Earlier this month, city officials met with
the loan committee of the county’s Department of Development to
request more money to handle environmental remediation of the property,
located at 20520 Lorain Road.
The loan committee approved loaning the city an additional
$46,900 on April 8. The three county commissioners will vote on
the increased loan at their May 7 meeting.
“I don’t anticipate there being a problem,” Kennedy
said of getting the commissioners’ approval.
Of the new loan figure of $338,900, $203,900 is going
to purchase the property from Krishnakant and Hansa Thakkar. A total
of $135,000 will pay for demolition of the motel structure, environmental
remediation and associated legal costs, Kennedy said.
The additional money is needed, Kennedy said, to handle
environmental work associated with the demolition of the building.
The actual costs were unknowable until the purchase agreement was
finalized and more detailed studies were completed, he said.
Thirty percent of the loan will be forgiven under
the terms of the loan. The city expects to recoup the purchase price
by selling the property at a later date.
City officials want the Country Inn Motel property
to be part of a larger 11.88-acre development they are backing along
Lorain Road. The proposed development would be built on the north
side of Lorain Road from the old Garnett school site at West 208th
Street ending before P. J.’s Day Spa at West 204th Street, Mayor
Eileen Patton has said.
The project would include a mixture of retail, high-end
residential housing and up to 100,000 square feet of office space,
Ironwood Development Company, based in Fairview Park,
will be responsible for completing the project, city officials said.
City officials hope that the former Board of Education
offices and adjacent Garnett School site, located at the corner
of Lorain and West 208th Street, will also be included in the development.
State law dictates that the first attempt to sell
public school property must be through a public auction. However,
the district reserves the right to reject a bid.
The proposed project can also be completed without
school district’s property, the mayor has said.