By LAUREN GROVER
Tyler Morning Telegraph
LINDALE — A lingering land purchase dispute could hamper the construction of a $50 million hotel and convention center, a project city officials call an “economic dream” for this burgeoning town.
Hotel magnate John Q. Hammons, whose 71 hotels span 24 states, has made a verbal proposal to buy 14 acres for about $1.3 million at the northwest corner of Interstate 20 and U.S. Highway 69 from Tyler Rose Nursery Inc. owner Joe Tew, Tew said Wednesday.
Hammons was unavailable for comment on Wednesday.
The $50 million development would boast a 10-story hotel and adjoining convention center, plus hundreds of new jobs and a flourish of tourism, said mayor pro tem Jim Mallory.
“This is the deal of the century for Lindale,” Mallory said. “It’s something that would impact every household, every person … when you calculate the economic impact, it’s astronomical.”
But those 14 acres are within a chunk of land tangled in an appealed lawsuit filed in November by Thedford Crossing LP, a group that attempted to buy 300 acres from Tew in 2005.
Previous to the failed sale, Thedford Crossing spent months hiring engineers and designers to map out development on Tew’s land — including discussions with Hammons about building a hotel and convention center, said attorney Deron Dacus, of Tyler.
He says Thedford Crossing drew Hammons to Lindale long before he talked with Tew.
“Thedford Crossing brought John Q. Hammons to Lindale in the beginning,” Dacus said. “He would have never known about the property otherwise.”
Tew didn’t finalize the sale to Thedford Crossing in 2005, leading Thedford Crossing to sue in an attempt to enforce the purchasing contract, Dacus said. Tew said the contract wasn’t complete, but Thedford Crossing said he pulled out of it for no apparent reason.
A district court judge ruled in favor of Tew in October 2007, but Thedford Crossing has appealed, leaving discussion with Hammons in a stalemate, Tew said.
The appeal process could take a year, said Tew’s attorney, Mike Gazette. The land title remains lis pendens, or in question, until then.
“Mr. Hammons basically told me if we could get this title cleared he’s ready to purchase it,” Tew said Wednesday. “I’m disappointed by this roadblock. If I could get this lis pendens removed I’d sell it tomorrow.”
But Tew and Thedford Crossing’s attorney said Wednesday both parties are open to negotiation
Read full story here.
Thursday, June 5, 2008
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