12/08/1975 Meeting - Laserfiche WebLink

Home Browse Search

while maintaining freedom of the older person. He thought the use of the Palace Hotel in this manner would be a distinct advantage and would meet the need for a near downtown facility for elderly persons. e George Boehnke, 3120 Agate Street, speaking for the Oregon League of Business and Property Owners, asked for public hearing because they felt it an issue of major importance. A suitable place was needed for senior citizens, he said, but the Palace Hotel, according to architects he had spoken with, was in need of structural changes to the point that it probably warranted a nonoccupancy sign. Speaking for himself, he wondered what had happened to change the criteria calling for condemna- tion of anything north of 8th Avenue in connection with the urban renewal program. He wondered what determined the difference between the Palace Hotel and the old Masonic Temple or the Heilig Theatre which were demolished. All had the same structural deterioration, he said. Mr. Boehnke said there was no objection to re- taining the Hotel as museum piece, but it should not be disguised as a place for elderly housing. He reiterated his request for a public hearing on the issue. Betty Niven, 3940 Hilyard, chairman of the Joint Housing Committee, said that people living in downtown hotels, mostly elderly men, did so because of personal preference; they were not applicants for public housing. It was a fact, she said, that a great deal of that type housing had been removed from the downtown area - 226 units through urban renewal. And the Palace Hotel was about the only place left that would provide any hope for continuing that lifestyle as well as that type structure. She thought it fortuante that the building became available at a time when there, ' was funding flexible enough to permit its acquisition; the cost per unit to the city for this kind of subsidy was very favorable compared to costs of other elderly housing in the community. With regard to the lack of competitive bids, Mrs. Niven explained that many hours had been spent trying to get facilities in the downtown area. When the Palace Hotel became available, it was decided better to "strike e while the iron was hot," recognizing that general market prices do not lend them- selves too readily to low-rent levels and that availability of federal funds would make the subsidy possible. Mrs. Niven remarked that although Mr. Suess had under- taken a great deal of building in the community, he was not one of the people to make an offer when ~he invitation was issued for use of revenue sharing funds to provide for dispersal of family housing. She was pleased that Sorgenfri was in- terested in becoming involved as owner/manager of the Palace Hotel and said the last thing to worry about ~as whether they would be able to handle it. Mr. Suess commented that if the purchase was delayed, the Palace Hotel probably could be purchased for the amount of taxes on the property. With regard to his not offering to participate in low-cost housing previously, he said he was involved only in housing for the elderly and had been told on several occasions that the city had all the proposals it could handle for that type of housing. Paul Osborn, Eugene Renewal Agency, said that inspection of the Palace Hotel build- ing showed it to be in good shape, considering the age of the building and type of structure. He said deflection of rafters as much as 10" in the Heilig Theatre build- ing was the reason it was condemned; that was not the case with this building. He said the present owners had received bids for work they wanted to do, but that was with the idea of using the first floor for commercial purposes - that is not included in the present proposal. Also, he said, the main danger was fire hazard, and that had been taken care of in consultation with fire inspectors - there is pro- posed an integrated ionization alarm system in each unit that will sound an alarm throughout the building. e A short recess was taken. II-A-l Councilman Williams, when the meeting was reconvened, declared his intent to abstain from voting because of his interest in Citizens Bank, mortgage holder on the hotel. He said prior to the time he knew the conflict existed, he did support the purchase when the issue was before the Joint Housing Committee. 644- 12/8/75 - 13