Monday, August 3, 2015

Two articles in print today demonstrate challenges in construction, renovation process (Gulfstream Hotel is also an example)

Two articles appear today on the difficulties in renovating two problem properties in two different Palm Beach County municipalities. One is by Kevin D. Thompson about a problem property that happens to be in a Lake Worth historic district. The other is by Darrell Hofheinz of the Shiny Sheet about long-delayed renovations to the Palm House (formerly the Heart of Palm Beach hotel) on Royal Palm Way. Both illustrate the sometimes complicated situations involved in construction and building issues, and the time that they can consume.

The subject of the Lake Worth-related article is a property in the Southeast Lucerne Local Historic District. During my last stint on the Historic Resource Preservation Board, I believe this property came before the board at least twice under a previous owner. It is a complicated situation in that a previous board approved the raising of the structure which precipitated a cascade of other building and code issues. The wisdom of that original decision can be questioned but the fact remains that it was made and caused the property owner and city some insurmountable problems. The good news here is that there is a new owner, someone who is an architect and who, along with others, have bought properties along J Street. She has the expertise to address this issue, but as she says in the article, it takes time. And she has to take care of other people's mistakes in order to turn this property around.

I am optimistic about this one right now. It does take time and that is not unique to Lake Worth. Fortunately, problem properties are being addressed and one by one they are either being renovated or, if they are too far gone with no other solution, they may be demolished. If it goes as far as a demolition that opens up the chance for someone to build a structure that is compatible with our revised land development regulations and also be subject to review by the historic board as new construction.

Then there is the Palm Beach-related article about the Palm House property that is on the south side of Royal Palm Way, between South County Road and South Ocean Boulevard. You don't need to be in a historic district to have problems renovating an existing building. Here are just some of the issues related to this project, as called out in the article:
     Palm Beach County Judge Donald W. Hafele appointed Glickstein as part of an agreement among several parties to resolve an internal ownership dispute that had raged since last fall. The appointment slammed the brakes on multiple legal actions filed at the county courthouse involving key Palm House players.
     Glickstein will work to “secure, improve, repair, manage and oversee completion of construction” and improvements at the property, which has been under renovation for nearly a decade, according to Hafele’s order.
     In addition to generating lawsuits and construction liens, the Palm House project at 160 Royal Palm Way is the target of a foreclosure action brought by its primary mortgage lender. The Palm House also has racked up more than $1.7 million in fines issued by the town for construction delays and non-approved projects at the site.
The stalling of this project pleased no one in Palm Beach and it has taken action by the courts to resolve it. At least now there is a way forward, but this is still going to be a challenging project to sort out and complete to everyone's satisfaction.

At the Commission work session last week on the ITN for the failing Casino complex, Commissioner Maier in his concluding remarks said that he doesn't care that the Gulfstream Hotel was closed for 10 years before the current property owner took control. He cares only that they have "sat on it" for the period of a little over a year since they have taken ownership of the structure.

I hope that Lake Worth Mayor Pam Triolo and all the commissioners have toured the Gulfstream Hotel recently. If not, they really need to so they can have an appreciation for its current condition. I was in the building two years ago and, speaking as one with some experience, it is not a case where one can just turn on the power and start running a hotel once again. Those ten years were not kind to the inside of the hotel. Electric, plumbing, A/C and the elevator all need major work or replacement. The new owners also quickly got a permit to demolish the pool on the south side of the property, behind the hotel building, which was left to be an attractive nuisance by previous city commissions and administrations. Problem solved.

There are other functionally obsolete aspects of the hotel that must be addressed. These include a modern kitchen sized for the operation, the size of guest rooms and the provision of a larger space for meetings/conferences. Owners of the Gulfstream represented on Thursday night that they are underway with an architect, who was introduced at a recent City Commission meeting that is putting plans together for the west side of the hotel property. That side of the property will contain the parking to support the existing hotel along with additional hotel rooms. A decision on the demolition or relocation of the apartment building on the west side of the property needs to be made; that decision cannot be made until plans are in place and can be approved for what is to replace it. The uncertainty and the length of the ITN process must have been a distraction as well.

So, it is true that someone who 'sat idle' with problem hair for many years can walk into a hair salon, a salon professional can make an assessment of which process and cut would be best, and have a solution for the client within the same day or even in an hour's time. It is much different for someone who owns a large, historic property, especially one that has been idle for a decade in our subtropical climate.