El Con's Owners Pushed Their Neighbors Too Hard, And Tucson's City Council Punched 'Em Back.
By Emil Franzi
ONCE AGAIN, WE'RE surprised--even shocked--by a local government
saying 'no' to a big developer. Last month, the Pima County Board
of Supervisors denied Fairfield Homes its Canoa Ranch rezoning.
This month the Tucson City Council closed three roads giving access
to El Con Mall from Fifth Street.
The power of the Growth Lobby is clearly diminishing. Both rejections
are of historical importance and both share at least one common
thread--in both instances, the proponents were almost suicidally
arrogant and inept.
In El Con's case, the arrogance was utterly flabbergasting: As
part of the deal the mall owners proposed placing covenants and
conditions on nearby homeowners that would have required them
to support rezonings--or anything else the mall owners might want,
now or in the future--as a perpetual condition binding not just
the current residents, but any future homeowners.
The El Con Mall, owned by the Papanikolas and Kivel families,
was once the site of Tucson's most elegant resort hotel, the original
El Conquistador. But in 1956 the city rezoned most of the area
for Tucson's first shopping center. But not all the land was rezoned,
which is why the mall owners needed new approval from the City
Council.
Competition from Park Mall, just over two miles east of El Con
on Broadway, and from the newer Tucson Mall on North Oracle Road,
has reduced El Con's shopping preeminence, just as El Con once
upon a time displaced downtown Tucson as the city's premier shopping
hub. But El Con's owners now face limited options: They can upscale
their property, which would be difficult when most of the classier
stores are pulling out for better digs; or they can find something
else to do with all that land in the middle of town.
Many inside players say Dillard's, J.C. Penney's and Robinson-May
will all be gone, with the latter already on a 90-day lease and
headed for Park Mall. No hard confirmations are available--mall
owners and the businesses involved are as evasive as Bill Clinton
at a deposition. But off-the-record statements are everywhere.
One probable replacement: Loew's, a national competitor to Home
Depot. Already confirmed as a future occupant are a 24-hour Wal-Mart
and a much larger movie theater.
OBVIOUSLY THIS MAKES the neighbors nervous. The change
from high-end department stores to a Wal-Mart and a big lumber
yard is hardly an upgrade. El Con owners also have major problems
in the number of parking places allowed if there are changes in
the existing site plan, and they would need rezoning and other
actions to modify some existing usages.
This was enough to get the neighbors and the developers into
negotiations. The mall owners needed to eliminate protests over
their future plans. Neighborhood concerns centered around traffic
mitigation and the changes that would come about with a 24-hour
discount store.
The neighborhoods were represented by three organizations--El
Encanto Estates to the west, El Con- Miramonte to the north, and
El Montevideo to the east. The three groups had different concerns,
and El Con representatives played upon those basic divisions from
the beginning in the protracted negotiations that have been going
on for over a year.
El Encanto group was concerned only about the dozen or so of
its members whose homes bordered Jones Boulevard west of the shopping
center. El Montevideo was primarily concerned about Dodge Boulevard
and the proposed Wal-Mart, while El Con-Miramonte was divided
between those north of Fifth Street and those south.
It was obvious that any agreements would vary by neighborhood,
and so mall officials began hammering out three separate deals.
The residents were also divided between those more willing to
accommodate El Con and those who wanted to drive harder bargains.
Few residents actually believed it was possible to get all three
roads closed.
The mall owners were to have provided all three groups with a
variety of mitigation items, ranging from walls and reconfigured
entrances to buffer vegetation and dimmer lighting. The city would
have had to accept the improvements and other legal modifications,
including changes in the configuration of nearby public property.
The three neighborhood groups, as well as many of the individuals
themselves, would have been required to make certain concessions
as outlined in the final agreements between all the would-be signatories--each
association, El Con and the City of Tucson, plus numerous individuals.
There were treaties ending major 18th-century European wars with
fewer players that were shorter and more quickly negotiated.
There's some dispute about why the next step occurred. Councilman
Fred Ronstadt (whose ward contains the mall and surrounding areas)
placed the possible closure of all three northern entrances--Palo
Verde, Dodge and Jones--on the Council's agenda. Ronstadt says
he did that to 'get the attention' of El Con's owners and goose
stalled negotiations. The center's spokesmen, attorney Bob Cugino
and planning consultant Frank Thomson, have not returned The
Weekly's calls.
Thomson was also the lead presenter for Fairfield in the recent
Canoa hearings, placing him dangerously close to the all-time
record for bad luck. Thomson, a competent consultant and a decent
guy to boot, shouldn't take all the heat--in both situations his
clients apparently made the really dumb decisions.
SOME NEIGHBORHOOD folks dispute Ronstadt's actual motives,
but everyone agrees the road closure proposals were postponed
for several weeks pending final negotiations. And all observers
agree on two other things, namely that El Con officials offended
almost everyone by what they formally presented; and that former
Ward Six Council candidate and long-time Democratic activist Leo
Pilachowski, who was acting as a negotiator for the El Con-Miramonte
Neighborhood Association, became a key player for all the neighborhood
groups.
El Con didn't produce the final versions of the agreements until
the morning of the Council meeting. When an angry Pilachowski
dropped copies on all the principles, it caused considerable incredulity
and resentment. By the time the late afternoon meeting rolled
around, El Con had modified some of the language, but the oppressive,
one-sided substance of the proposed agreement remained unchanged.
The damage had been done.
Pilachowski says the restrictions El Con wanted to impose on
home owners were unconstitutional and could have devalued the
properties to which they would have been attached. Under full
disclosure laws, imagine a potential homebuyer's reaction were
he told, 'You're also compelled to support any rezoning the shopping
center asks for, and you're further compelled to attend Council
meetings to support said rezonings. Failing this, you must repay
the center for the cost of that wall between you.'
Legal or not, this proposed 'deal' revealed the arrogance of
those who drew it up.
Their plan apparently was for the Council to take no action and
move back to negotiations. But Pilachowski had already circulated
most of the repugnant verbiage to the Council and many of the
affected homeowners, prompting a loss of confidence in El Con's
ability to negotiate in good faith. Instead of a delay, four Council
members--Jerry Andersen, JosÈ Ibarra, Steve Leal and Janet
Marcus--voted for an agenda item its author, Ronstadt, never intended
to support: the road closures.
Both Ronstadt and Councilwoman Shirley Scott agree that El Con
helped cause the problem. Ronstadt says he knew they'd 'blown
it' when he saw the full text of the agreements. Scott, who with
Ronstadt and Mayor George Miller voted to keep the three streets
open, found the verbiage 'disturbing.' She admits the proposed
agreements were a catalyst in the street closures.
Pilachowski and others have been accused of trying to 'kill'
the Wal-Mart by forcing the street closings. Pilachowski denies
this, and points to the Costco/Home Depot complex in Marana. That
complex, about half the size of El Con and growing, has few problems
with access from a single road. In fact, it was designed that
way.
ARE THE ROAD closures a done deal? Will one of the four
Council members reconsider? Pilachowski points out that the neighborhoods
are far more unified now--there's a definite attitude change,
and part of it includes a stronger desire to hang together. Many
who were ready to give up or cash in are now heartened by the
Council's unexpected action.
One thing's sure--it's refreshing to report that a majority of
the Tucson City Council, for once, did not behave like they were
a row of potted plants.
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