Why the City Council sounds like Apu from The Simpsons

As my colleague Jack Hagel reported today, the City Council gave Greg Hatem and Empire Properties until Nov. 1 to file new site plans for The Lafayette, the project proposed for a city-owned piece of property across from the new convention center. Although most council members went out of their way to lavish Hatem and Empire with praise, the council also included in its action a mandate that this be the last extension given.

This issue of the city giving developers extensions is an interesting one. The City Council can play hardball with developers who've agreed to build on property Raleigh owns, but that tactic doesn't have any effect on the capital markets. Nor is it likely to change the landscape for these projects getting funding. Yesterday, City Manager Russell Allen said other developers besides Empire have expressed interest in the land bordered by Salisbury, Lenoir and South streets. Allen's argument to the council was that there's no point in having Empire sit on a project it can't get money for. Allen admitted rebidding the project could just end up delaying the project further, but he thinks it's worth that risk.

In essence, the city (and the City Council) is acting like a bank. Empire's agreement with the city has certain terms, and once those aren't met the city can move in and take it away. Raleigh adopted this approach to developing city-owned property after several previous projects languished or never got built. The problem with the City Council playing hardball is that it's not like these developers don't want to build downtown, they just can't get the money at the moment. That isn't going to change just because council members beat their chest and say they're frustrated and fed up with delays.

It's all very reminiscient of a line from a Simpsons episode titled "Homer Bad Man." In the scene, Homer begins opening all the Krusty Klump Bar wrappers in the Kwik-E-Mart. Apu, the Kwik-E-Mart's owner, responds:

"Hey. Hey! Hey! I have asked you nicely not to mangle my merchandise. You leave me no choice but to...ask you nicely again."