Mayor LaToya Cantrell’s administration, which has been making threats against Plaza Tower for years, first plans to secure the dilapidated New Orleans skyscraper and then potentially demolish it, a multimillion-dollar deal. won approval for the project.
At Wednesday’s Government Affairs Committee meeting, City Council members voted 3-0 to approve the contract with Indianapolis-based demolition company Lunacent. If the contract is approved by the full council as expected, Lunacent will conduct an evaluation of each floor of the building and begin a $2.75 million plan to make the half-century-old building safer.
If ordered, Lunacent would also be in a position to demolish the building at an estimated cost of $28 million, said City Attorney Austin Wilty, who briefed the City Council on the deal on behalf of the Cantrell administration.
This is something “New Orleanians have been waiting for for years,” Commission Chairman JP Morrell said as he began voting on the two-part plan.
City Councilman JP Morrell, photographed October 11, 2023.
“This is one of those things that everyone agrees is necessary,” Morrell added. “For example, if the FBI had a most wanted list of dilapidated buildings in the city of New Orleans, this would be number one.”
However, the building’s owners denounced the decision and said they would seek legal advice to determine whether the city exceeded its authority.
Randy Wasche, the executor of the estate of the late developer Joe Yeager, who owned the building for 10 years before his death in a car accident last June, announced Wednesday that he is tentatively speaking with a potential buyer for Plaza Tower. announced that they had signed a contract.
“This is completely premature,” Washe said of the committee’s move. “We are extremely disappointed that the city has taken this action. We have worked hard to enclose the building and have already had staff look at it from a structural standpoint and are in ongoing discussions with the city about additional measures. We have taken measures to ensure safety.
“I intend to obtain advice from Globo – engineering, legal and political advice, and I intend to continue to work with the city to resolve the situation,” Washe said.
long decline
Plaza Tower was one of the city’s first skyscrapers when it was completed in 1969, but it was abandoned by its last tenant in 2002 due to chronic problems such as mold, malfunctioning elevators, and other defects. It has fallen into disrepair since it was abandoned.
Wednesday, Dec. 11, 2024, at the Plaza Tower on Loyola Street in New Orleans. Staff photo: David Grunfeld, The Times-Picayune | NOLA.com)
A series of plans to revive the tower have come and gone over the years. Yeager, who bought the building in 2014, was at one point close to a deal to convert the property into UMusic Hotels, a chain owned by Universal Music Group, but that was scrapped when the coronavirus pandemic hit. Ta.
Before his death, Mr. Yeager was looking for a buyer to take the property out of his hands.
City Councilor Leslie Harris, whose District B includes Plaza Tower, said time is running out on the building, which has been cited for dozens of code violations over the years.
“We’ve taken the carrot, now it’s time to use the stick to take ownership of this building,” Harris said. “If they’re going to do nothing about it, I think it absolutely should be torn down.”
She noted that debris continued to fall from the building as recently as last month, despite the owners taking steps to install additional safety fencing and cover the top floor with metal “hair nets.” .
As a result, the road near the building was once again closed to public traffic.
Wednesday, Dec. 11, 2024, at the Plaza Tower on Loyola Street in New Orleans. Staff photo: David Grunfeld, The Times-Picayune | NOLA.com)
The net was installed on the building three years ago after a cyclist was injured by falling debris. A fence was added after a person who trespassed into the building fell to his death.
Final decisions on the contract must be put to a vote by the full council, but include the key votes of the council president and the site’s district representative, meaning it usually passes without opposition.
In providing details of the proposed contract that resulted from a request for proposals issued in December 2023, Wilty said the city would move toward making building owners responsible for mitigation and demolition costs. .
The plan is to begin evaluations and safety mitigations before New Orleans hosts the Super Bowl in February. Officials also plan to display artwork on the building before the game.
Washe said confidentiality agreements prevent him from providing details of potential buyers who have signed non-binding “letters of intent.” But he said they are an out-of-state group “with a lot of experience and are in a financial position to make a deal happen.”
Mr. Yeager, who has built a hotel empire in New Orleans that includes many restorations, including the Jung Hotel on Canal Street, has bought dilapidated properties like the Plaza Tower and is willing to get the right financial deal. He had a track record of living there for many years while waiting for his arrival. Please come.
But Washe said he was taking a different approach and was determined to reach an agreement as soon as possible.
Wednesday, Dec. 11, 2024, at the Plaza Tower on Loyola Street in New Orleans. Staff photo: David Grunfeld, The Times-Picayune | NOLA.com)
“I signed a contract today with someone I have vetted and believe to be a serious potential buyer,” he said. “There’s a new sheriff in town. I’m not Joe Yeager. I’m determined to get this done.”
