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Controversy on Farish Street

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The Farish Street District Redevelopment Ad Hoc Committee and Jackson Mayor Frank Melton lobbed complaints about the lack of development progress in the Farish Street Entertainment District at a public forum last week. Committee members, including chairman Harold Lathon and hip-hop artist and Jackson Free Press columnist Kamikaze, hurled complaints at Memphis-based Performa Entertainment Real Estate Inc., which is overseeing development of the project.

Kamikaze pointed out that Farish Street languishes in blight while other portions of downtown blossom with new development.

"If you stand in front of the site of the convention center and look a stone's throw away from the convention center, you still see the blight that exists on Farish Street," Kamikaze said. "Nobody's doing anything about it."

Melton proposed to take the Farish Street contract away from Performa.

"Over the last four or five weeks, there's been nobody working on the entertainment district," Melton said. "We're going to pull that contract and get some local people who can get that done."

Melton criticized the absence of Mid State Construction workers on Farish Street, telling the crowd that contractors working with the Memphis company told him that Performa had been stiffing them out of their pay. "I called (Mid State), and they say they haven't been paid in the last three months, and that's why they're not down there (working) anymore," Melton said.

Mid State Chief Operations Officer P.G. Bernheim said Mid State had completed Phase 1 of the project and was "waiting for Phase 2 and Performa's direction on it."

"I talked to (Performa's Vice President of Development) Cato (Walker) Tuesday or Wednesday of this week, and I feel optimistic about the situation," Bernheim said.

Walker admitted Performa owed Mid State money, but added that rumors were flying about the two companies' relationship.

"Positions have been made about our circumstances without anyone ever calling to see if those were true," Walker said. "We are working with the state and our lender to close out Phase 1, and we're paying Mid State the money that they are owed."

Performa has been wrangling with the Farish Street development since the 1990s. The company said it took three months just to get approval from the Department of Archives and History and the Department of Interior to tear down a building at 230 Farish Street, the site of the future Wet Willie's. After those two agencies granted their permission, the Jackson Historic Preservation Commission tabled the decision, and only approved the demolition last week, despite 230 Farish Street already being partially demolished.

Other problems have shaken the development. Performa sent an Oct. 12 letter to the Jackson Redevelopment Authority outlining complaints, such as the presence of asbestos in some buildings, despite city assurances that none was present. The Mississippi Development Authority also initially promised funding for some of the development, but changed the contract, demanding Performa build residential apartment complexes in the district.

"I don't think people realize how complicated a project like this is," Performa CEO John Elkington said.

Performa also complains that some properties do not have gas, water or sewer connections, despite assurances from the city that connections exist.

Susan Lunardini is owner of Southern Consultants, which designed the massive brick-laying of Farish Street, completed in 2004. Lunardini said water and sewer stubs were available to each site, though the connections do not extend all the way to buildings.

"Water and sewer connections are not more than three or four feet from the buildings," said Lunardini, adding that Performa representatives participated in the design plan.

Lunardini could not confirm the presence of gas lines under the two blocks in the entertainment district.

The delays eventually canceled out loans from Trustmark National Bank to fund construction on 230 Farish St., forcing the parent company of Wet Willie's to self-fund the construction of the building and broker a new deal with Performa in the process.

Walker said three buildings near the end of the district bordering Amite Street are completed, and that the Historic Preservation Commission's decision to allow the demolition of 230 Farish means construction can now continue on the Wet Willie's building.

Kamikaze pointed out, however, that Performa's delays have already caused a breach of contract with the Jackson Redevelopment Authority, and said the JRA needs to cut the company free and submit new requests for bids for the work for brevity's sake.

"They've already broken that contract," Kamikaze said. "It's time to pick somebody who's actually going to move ahead on this project."

JRA President Brent Alexander confirmed that the delays qualify as a technical breach of their contract, but said they opted to stick with the company because of its unique experience in building entertainment venues, coupled with its connection to venders such as Wet Willie's LLC, King Biscuit Café LLC and BB King's Blues Club LLC—all proposed Farish Street tenants who signed tenant agreements with Performa.

"Are they dragging their feet? Yes. But do they have a good reason to drag their feet? Yes," Alexander said. "Farish Street is an exciting project, but it's also a difficult project."

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