One more deal left to make for convention center land

Friday, February 5, 2010 at 12:01pm

Metro’s housing authority is the new owner of the one of the city’s best-known strip clubs.

The Metropolitan Housing and Development Agency has been granted possession of Christie’s Cabaret at the corner of 7th Avenue and Demonbreun, paying the owners — Nashville Downtown Platinum — nearly $1.8 million.

MDHA has just one condemnation suit pending in its efforts to acquire all the SoBro property within the footprint of the Music City Center. The hearing for that last piece of property — currently the site of the Musicians’ Hall of Fame — is set for Feb. 12.

Friday, Circuit Court Judge Barbara Haynes ordered the disbursement of $14.8 million for MDHA’s taking of the largest piece of property in the convention center footprint — 5.66 acres owned by Tower Investments just south of the Sommet Center.

Tower’s attorney, Joe Conner, said the real-estate investment company must pay $3.2 million to SunTrust Bank and $10.8 million to Arena Properties on the land. A third lien holder, PremierWest, is owed more than $12 million on a mortgage Tower took against its property in late 2009.

The final valuation of all the condemned convention center land will be determined in as-yet-unscheduled jury trials.

Construction on the Music City Center will begin Monday.

3 Comments on this post:

By: idgaf on 2/5/10 at 2:06

How did they get 26 million in loans on a property that was judged to be worth only 14.8 million?

By: Cookie47 on 2/5/10 at 3:13

Great!!! Now that Metro owns it's own strip club, maybe they'll strip before screwing us with the cost of this boondoggle.

Cookie47

By: Magnum on 2/5/10 at 5:49

I've got an idea. I say Metro runs the strip club for six months. If it makes money straight up, we build the convention center. If it loses money, we don't. Based on their track record, I'd say this proposal would save us about a billion.

Oh no, I just remembered. You see, the strip club wouldn't make money, but the investment to the city would. You see, all of the extra business that would be generated by having people in the strip club would trickle down to the businesses around it. We would put a special tax on those businesses to ensure that this incremental increase in taxable spending was shuffled into a larger pot of money. Then we would skim money out of that larger pot to pay the debt service and the operating costs on the strip club all the while raving about its success. Scary...right? Well that's how it works.