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Were neighbors negotiating with developer -- or extorting him?
In Philly, zoning can be a messy process, what with sometimes-conflicting input from neighborhood groups and residents living close to a project. Here's a new twist: A group of neighbors that filed an appeal against a zoning variance granted by the city's Zoning Board of Adjustment were seeking a payout in return for not filing further appeals.
Were neighbors negotiating with developer -- or extorting him?
In Philly, zoning can be a messy process, what with sometimes-conflicting input from neighborhood groups and residents living close to a project. Here's a new twist: A group of neighbors that filed an appeal against a zoning variance granted by the city's Zoning Board of Adjustment were seeking a payout in return for not filing further appeals.
The blog Philadelinquency has emails back and forth from appellant Doug Risen and developer Eugene Bukh, in which Risen appears to be seeking a payout of at least $95,000 for him and his neighbors to forego an appeal to Commonwealth Court regarding development plans for 1701 South St. (Their appeal to Common Pleas Court was already denied.)
"Did I feel like they were extorting me? 110 percent, yes," says Bukh, of PP Development.
Risen, clearly, does not see it that way. "He's trying to paint me as an extortionist when really I tried to bend over backwards to help him get the property up, while trying to protect the value of my own home, which is my largest asset." Risen says Bukh's plan to build a four-story property right up to the property line (and thereby up to the wall of Risen's home) will "cripple the value of my house." Risen says he doesn't actually want a payoff; he'd rather Bukh build what's allowed on the lot by right: a three-story building with a nine-foot rear yard. He saw the money as merely mitigating a direct harm, since he would lose his view and any sun to his second-floor rear deck, which also goes to the property line.
The unconventional but not unprecedented discussion of paying off the neighbors to be allowed to develop began reasonably enough, according to Bukh. "Prior to them appealing, we were trying to work with them as far as making some concessions. They felt like their property values would be decreased [by the development] so I said, 'I'll make you a fair offer. Let's get the properties appraised today, and when it's built let's get them reappraised. If the property value decreases, I'll pay each of you the value it decreased. And if your property value increases, then you pay me the money.'"
Bukh says neighbors rejected that, then asked him to build six stories and give them a condo in the building. When that didn't work for him, "They said, 'Give us some type of cash for our hardships.' It turned into them wanting $225,000."
Bukh says he was willing to give them $150,000. "I just wanted to get the project going. 7-Eleven, I signed a lease with them. I wanted to get this project done. I had everything ready to go; they pretty much threw a wrench in the deal."
The Center City Residents Association had ultimately supported the project. But Risen feels like he was dealt a bait-and-switch by the ZBA for approving the variance. "People who buy next to vacant lots, other than the zoning code there's nothing to tell them what's going to be there," he says. "We want the city to enfore the code it has in place."
By the way, as to what kind of payoff is on the table now: Bukh is offering $10,000. Risen says he plans to go ahead and appeal.
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