This morning we'll highlight a most revealing Bryan Saxton story in the Standard-Examiner, concerning the latest setback for Larry Myler, the Orem-based developer who'd been lined up by Boss Godfrey to develop that snazzy new downtown hotel at the northeast corner of Ogden's City's Junction project. From this morning's story:
CLEARFIELD — A notice of default has been filed against Midtown Village LLC by a Utah County bank for $54,476 in delinquent interest payments on a land loan.Oddly enough, Myler is completely nonplussed at the prospect of finding his Clearfield development project now in foreclosure. Myler is a bigshot developer, after all, and foreclosures are just minor nuisances which can always be cured at the very last minute by clever guys like he. Bankers, of course are just schmucks who get pushed around by bigshot developers all the time:
But the developer of the proposed $100 million Clearfield project maintains the notice is a “minor issue” that will not interfere with the development.
The notice, filed by Central Bank with the Davis County Recorder’s Office, claims interest is owed stemming from a $2.5 million loan taken out by Midtown Village LLC for property at 788 S. University Park Blvd., Clearfield.
Midtown Village is being developed by Larry Myler, Rob Storey and partners. The development, east of the freeway, is proposed to include a live theater, residential condominiums and a hotel.
“That (notice) will be cured and taken care of shortly. It is a nonissue,” Myler said of the overdue amount. “I don’t think anything is going to affect the project.”Myler isn't the only one who's un-rattled, it would seem. Clearfield city officials, like big government planners and schemers everywhere, are also apparently taking it all in stride:
Myler said the team is not going to allow a $100 million project, which involves a $2 million investment having been already made, to be done in by a $54,000 interest payment.
The development team has 60 to 90 days to catch up the overdue amount, Myler said, “which we will do. That is the easy part.”
Despite the notice of default, Clearfield leaders’ confidence in the project remains unshaken.We'll note that it's been roughly 3-1/2 months since Mr. Myler announced that his plans for Ogden's 14-story hotel/wading pool project were put on hold. It was of course about the same time that we learned that another Myler project was also in a holding pattern. Myler's general contractor (whose payments were apparently in arrearage) had of course stopped work on a similar project in Orem a month previously, had liened the Orem property and summarily walked off the job.
Regarding the stalled Ogden hotel project, Ogden City economic development department director Dave Harmer expresses a brand of caution which seems uncharacteristic of the normally highly optimistic Mr. Harmer:
“It’s kind of on hold because of problems with the Orem (development),” said Dave Harmer, Ogden director of community and economic development.So let's see now... Mr. Myler's Orem project remains stalled, his general contractor apparently remains unpaid -- and now he's in foreclosure in Clearfield.
He said Ogden leaders did not get beyond a conceptual stage with those behind the Midtown Village project.
“The current economic times are tough on projects,” he said.
Who amongst our gentle readers would like to predict what the next likely development will be in the Larry Myler saga?
(Here's a helpful hint: It involves a branch of the U.S. federal court system.)
13 comments:
Much as we appreciate Mr. Schwebke's daily exertions over at the S-E, we need to give the credit for this piece to Bryon Saxton of the Davis bureau.
"Kind of on hold," says Mr. Harmer of Myler's projected hotel in Ogden. That's a ringing vote of confidence if ever I've heard one.
Fact is, the current economy isn't encouraging to ANY project currently ballyhooed for downtown Ogden, whether Myler's, Leshem's, Ogden Properties', or Ernest Health's.
Best thing we can do as citizens is support the businesses we already have.
MM:
"Kind of on hold...."
Ah, this is indeed the age of euphemism. Just recently, President Bush was apprised of the fact that the economy shed 45 thousand jobs last month, the fifth month in a row in which jobs were lost. His response? That we're in a period of "slow growth."
Ranks right up there with "advance to the rear" as a less embarrassing substitute for "retreat."
Oooooops!
My bad.
Fixed it, thanks.
Moroni,
Couldn't agree with you more on your statements: "Fact is, the current economy isn't encouraging to ANY project currently ballyhooed for downtown Ogden, whether Myler's, Leshem's, Ogden Properties', or Ernest Health's."
and
"Best thing we can do as citizens is support the businesses we already have."
You didn't miss the "Top of Utah" headline by Schwebke, did you?
GODFREY NEVER STOPS COMING UP WITH HIS NIGHTMARES! Now according to Schwebke:
"GODFREY UNVEILING PROJECT PROPOSALS -- Is Ogden ready to become high-adventure mecca?"
By SCOTT SCHWEBKE
Standard-Examiner staff
"OGDEN — Mayor Matthew Godfrey plans to unveil to the city council tonight five possible projects he believes will enhance Ogden’s reputation as a burgeoning high-adventure mecca, a municipal official says.
John Patterson, the city’s chief administrative officer, declined Monday to provide details about the projects because Godfrey wants to first share that information with the council during tonight’s work session.
“He wants them to be part of the process,” Patterson said.
Godfrey and Council Chairwoman Amy Wicks could not be reached for comment. Meanwhile, Council Vice Chairman Doug Stephens said he is looking forward to Godfrey’s presentation.
“It’s good to know what he’s thinking and what focus he has for the city,” he said.
The work session will follow an Ogden Redevelopment Agency meeting and a council meeting that begin at 6 p.m. on the third floor of the Municipal Building, 2549 Washington Blvd.
Godfrey developed the list of high adventure projects based on suggestions from various stakeholders, including local athletes and outdoor recreation industry officials, Patterson said.
“They gave us ideas of what we should be pursuing as the high-adventure capital,” he said.
None of the projects involves a separate proposal to build a $1.6 million ice-climbing tower downtown, Patterson said.
The administration has asked the council for $200,000 to jump-start fundraising efforts for the tower.
A majority of council members have said they would be willing to provide a one-time, $100,000 allocation for the project. The council may vote on the request June 24.
Godfrey does not plan to ask the council for money for the five projects to be discussed tonight and is hopeful funding will be provided through Weber County RAMP tax proceeds and other sources, Patterson said.
The RAMP tax was established by county voters in 2004. The measure allows the county to impose a local sales tax of one-tenth of 1 percent, which equates to 1 cent on a $10 sale, to improve recreation, arts, museums and parks."
When is Godfrey going to grow up and face reality? When is he going to do something for the ordinary resident of Ogden? I hope he does it before he puts the City into bankruptcy! Of course he says that all these new projects won’t involve any taxpayer money. Oh, sure! Where and how many times have we heard that line?!
The Junction for which we just paid a $1.5 million bond payment was supposed to be paid for by tax increment payments (they’re not generating enough to make that payment) so it’s coming from revenue that was supposed to go to fix the City’s infrastructure.
The ice tower we were told is supposed to be a private venture, but now the City Council is being asked to fork over $200,000. to give others confidence enough to donate money for it. Sorry, but I don’t see that happening. The City will continually be on the hook to provide money for one thing or another because the reasoning will be, “Oh, we’ve invested $200,000. already, and we can’t lose that investment” so we’ll just keep pouring good money after bad.
Now there are five more projects that he wants to strap us with?! And he wants the City Council to be a part of the process?! Oh, PLEASE!! Since when did he start thinking of involving the City Council?! He must know that there’s a good chance that his five projects are as hair-brained as he is and will fail so he wants someone to blame their failure on!
It's getting too expensive to live in Ogden and Gdfrey wants to burden us with more Disneyland rides that we can't afford to ride! I've heard that his mother's ob/gyn swears that he didn't drop Godfrey on his head when he delivered him, but I sure wonder about that!
Does anyone else think the carnival should be put on hold until the economy improves or better yet until we see how his other projects do?
(Sorry, I posted this on the wrong thread -- this is the thread I wanted it on.)
Debbie Dew,
I forgot to congratulate you on your excellent post. A lot of good information. Maybe it would be worthwhile to contact the Council and let them know where you stand on the ice tower and the City going in debt for more of Godfrey's "hair-brained" projects. Give them the support they need to deal with Godfrey.
Myler's financial troubles are staggering. The press hasn't even reported the sheer depth of Myler's finacial problems.
Trust me. You're only seeing the tip of the iceberg right now. The press isn't really onto this story yet. Much more will be revealed in the days to come...
And here's another thing. How is it possible that Mayor Godfrey seems to always hook up with the dregs and broke-asses of the investment world: Gadi, Southwick and now (bada bing)...
Myler!
We know Godfrey attends Church every Sunday.
The question is... what does he do for the other six days? Attend mafia conventions?
They're doing some amazing things with RICO statutes nowadays.
In Federal court, your standing in the LDS church is irrelevant.
Mono, are you suggesting that lying little matty's frauds and insider dealings are a function of his religious beliefs and therefore protected as freedom of religion? Sounds like Warren Jeffs and child labor.
Clarification, that's labor as in "work" not child bearing.
No, I'm suggesting that state courts do not always vigorously pursue cases against those favored, for whatever reason, by the church leadership.
For what it's worth, the only reason this incompetent developer ( Mr. Default is no big deal . . .) is not in bed with Ogden and shafting us good too, is citizen activism that shined a light on the Ogden deal and exposed the corrupt payoff Godfrey had lined up, causing the project to go on hold.
Never forget citizen activism does make a difference . . .
Just wondering, how many of you people actually know Larry Myler? One Who Nose..you seem to be very sure of what you're saying! How are you so sure? Why should we trust you? People, look around at the economy. It's no one person's fault, everyone is going down, it's just a matter of HOW people choose to go down and what they do after the fact. Larry Myler has been nothing but honest and hard working, doing his best in the situations he's been put in. And I hear he's authored a business book, to be released in February. I think that's pretty darn cool.
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