Jamie Manser
The short version of a complicated matter is this: a historic structure that is owned by a non-profit, which has leased Section 8 housing units in it for over 15 years, is on the market.
The Downtown Development Corporation (DDC), managed by the Downtown Tucson Partnership (DTP), is currently accepting offers for the Coronado Hotel, located at 402 E. 9th St. (Interestingly, the DTP's board chair is Larry Hecker, who is also the president and CEO of the DDC.)
The building's tenants have purportedly been given notice about their possible upcoming eviction/relocation as their abode is for sale and priced to sell at $670,000.
The original deadline for purchase offers was Tuesday, November 24 but it has been extended due to a request from the Pima County Board of Supervisors.
An impassioned press conference advocating for the low-income and disabled tenants to remain at the Coronado took place in front of it on Wednesday, November 18 at noon.
Speakers included Casa Maria's Brian Flagg, City Councilwoman Regina Romero, County Supervisor Richard Elias, Primavera Foundation Director Peggy Hutchinson, attorney Bill Risner and former Councilman Jerry Anderson. Flagg said that Council Members Karin Uhlich and Steve Leal were also supportive of the location retaining its Section 8 status.
At the press conference, a 1990 contract between the DDC and the City of Tucson (COT) was cited that stipulated the City and HUD would have to approve sale of the property.
However, according to DTP's CEO Glenn Lyons, "The 1990 contract was nullified in a refinancing undertaken in 1991 to obtain construction financing for the project."
"The COT approved the transfer of the building from the DDC to a limited partnership, formed with the financial partner, at that time. The limited partner committed to operate Section 8 housing for 15 years - which it has done."
While the organization has fulfilled its contractual obligations, some City Council members are looking into options that can keep the location as affordable housing units.
Scheduled as topic number eight on Tuesday afternoon's City Council's Study Agenda, City Manager Mike Letcher is to give an update on the situation. My Magic 8 ball says that update happens between 4:30 and 4:45pm.
In the meantime, the Pima County Board of Supervisors is researching the possibility of purchasing the property.
"Deadline was extended for all parties until December 10," Lyons emailed. "Price and all cash offers are still the selection criteria. Expect the whole post-deadline period to last 2 months, (there is always a diligence period)," Lyons said.
