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Solar Center-Giant Eagle project is at standstill
Solar Center-Giant Eagle project is at standstill
By SUE REID
Plans for redevelopment of the Solar Center shopping plaza appear to have hit a wall since voters approved rezoning there last November. The Giant Eagle grocery chain spoke on record last week, citing financial challenges facing the developer of the plaza.
"We continue best-faith efforts to work with the Solon developer, who has come across financial challenges that may make it difficult to complete the project as currently designed and agreed upon," Dan Donovan, Giant Eagle spokesman, said from the chain's Pittsburgh headquarters.
"Though the future of the site remains unclear," Mr. Donovan said, "we are working collaboratively with the developer and are hopeful that a suitable solution can be reached.
"That said, we must also evaluate alternate site options in the event these efforts prove unsuccessful," Mr. Donovan said.
James Perlick, managing partner of the shopping center, said this week that those challenges are similar to those facing all developers.
"It's not just a particular problem for us," Mr. Perlick said. "The banks are a lot more cautious in their lending. They are lending on a lower percent value.
"That said, we are still working on our redevelopment plan of which we hope and expect Giant Eagle to be part of," Mr. Perlick said. "We are still in the process of finalizing and securing in-line and pad-site tenants, or free-standing buildings, as we speak. There's a lot of work on the table and on the drawing board.
"Giant Eagle has been patient and cooperative," Mr. Perlick said. "This crazy financial market-environment has been slowly turning around. We're also looking to adequately meet our long-term financing needs and assess our risk.
"This is a very tight deal and there are financial contingencies in today's market place where the lenders are not making forward commitments," he said. "The size of the project is enormous."
Solar Center developers presented the city with a request last summer in which they cited the necessity of the rezoning of the area to make way for a nearly 100,000-square-foot, free-standing Giant Eagle store, demolition of over 70,000 square feet of the center, a new facade, as well as additional buildings and a Get-Go gas station.
Solon voters last November overwhelmingly supported the rezoning request that would allow for a Get-Go gas station near the proposed new Giant Eagle.
Mr. Perlick said the approval was key to the redevelopment of the center at SOM Center (Route 91) and Aurora (Route 43) roads.
He said it would be "very aggressive" to think that something can begin at the center this year. "I think it will be at least a year out," Mr. Perlick said. "It all depends on how things fall into place. Chances are better in the spring of 2011 then the fall of 2010."
Mayor Susan A. Drucker said last week, "From the city's perspective, we remain hopeful that Solar and Giant Eagle will be able to resolve their outstanding financial issues.
"But first and foremost, we are committed to keeping Giant Eagle in Solon, so if an alternative site for the store becomes necessary, we will work to make that happen."
"We are working with them and hope and expect they will be part of our plan," Mr. Perlick said of Giant Eagle.
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