I grow increasingly concerned that the already long history of cultural
rivalry between these twin cities threatens to segregate us further by the
business decisions of one or two companies here and there. While the numbers
may seem high - 1K for Lawson, 500 for PDI - be in known that Minneapolis
was the winner of almost a 20-year consolidation of the banking , insurance
and legal industries hereabouts, and that St. Paul not only suffered serious
losses and high vacancy rates during that period, we were taken to the
cleaners by a number of development initiatives - like Galtier Plaza and the
World Trade Center - by unscrupulous developers and insensitive bankers and
foreign investor-owners of these failed properties. Moreover, Minneapolis, I
do not believe, suffered as serious damage as St. Paul in the rush to the
suburban mall era of the 60's, 70's, 80s., leaving our downtown bereft of
retail business and emptying out our storefronts, Town Square and the World
Trade Center Atrium.
And the Lawson deal looks great - a well-designed building facing Rice Park
housing an upscale retail sector - but Coleman's recruitment has come at a
far too high cost - yet another TIF district and the first wholly-owned
commercial structure by a city incapable of managing such an enterprise. But
that, too, was a smokescreen for the squandering of public money and the
saddling of St. Paul taxpayers with the highest and riskiest debt service
levels in the 20th Century. We built the building - with absolutely no
equity investment by Lawson or the St. Paul Companies or Dave Frauenschuh -
for over $110 million, then, within a year or so, turned around and sold the
primary structure (all but the parking ramp) to Frauenschuh (and partner,
John Nasseff, the millionaire former West official who bought out of his
pocket the Minnesota Club) for $57 million.
What? Yes - about half of what we paid to build it we sold it for. Stories
of this kind abound in the wake of the so-called beautification of St. Paul
by corporations fed from the public trough in such amounts as to cause
Standard & Poor's to rate our credit status, therefore our bonds, at some
serious risk.
St. Paul physical façade is shaping up pretty well, yes, but built when
prosperity was at an all-time high and these corporations could have
afforded at least a half-equity stake in their developments and behind it is
a debt that Coleman will walk away from at the end of this year when the
economy is slowing and debt service a more serious matter than who's
erecting the next monument to this extraordinary - and unconscionable -
giveaway of the public largesse.
Be careful of what you wish for.
Andy Driscoll
--
"Whatever keeps you from your work is your work."
Albert Camus
The Driscoll Group/Communications
Writing/Graphics/Political Consulting/Communications Strategies
835 Linwood Ave.
St. Paul, MN 55105
651-293-9039
email: [EMAIL PROTECTED]
> From: "R.T.Rybak" <[EMAIL PROTECTED]>
> Date: Wed, 24 Jan 2001 08:52:35 -0600
> To: [EMAIL PROTECTED]
> Subject: [Mpls] Minneapolis loses again
>
> Next time you see your taxes going up, or see the city cutting more of your
> basic services,
> http://www.startribune.com/viewers/qview/cgi/qview.cgi?story=83413239&templa
> te=column_grow_apull
>
> check out this morning's Star Tribune article about Personal Decisions
> International (PDI).
> http://www.startribune.com/viewers/qview/cgi/qview.cgi?story=83414696&templa
> te=metro_a_cache
>
> It will help explain why we need a new Mayor who understands there is a way
> to build the city without writing massive subsidy checks out of the public
> checkbook, and a way to spur the PRIVATE SECTOR to pay for basic services
> without taking more and more from those of us who live here.
_______________________________________________
Minneapolis Issues Forum - Minnesota E-Democracy
Post messages to: [EMAIL PROTECTED]
Subscribe, Unsubscribe, Digest option, and more:
http://e-democracy.org/mpls
