Getting the Landing to take off

POST FALLS — After several years of stagnation, there’s movement in Post Falls Landing.

Allan Scharton, manager of real estate assets for Liberty Bankers Life Insurance Company, a Dallas firm that owns the multi-use site in the city center and along the Spokane River, said Liberty has accepted a letter of interest from an undisclosed local developer on a 1.8-acre project within the site that includes the marina.

"The buyer has not divulged what his intent is — whether to build a hotel, restaurant or another condominium building," Scharton said.

He said now that both sides have agreed on the non-binding letter, a contract is being drafted so a deal could be struck in six to nine months.

Meanwhile, Liberty is in the process of subdividing the portion of the 33-acre site that fronts Spokane and Fourth streets into six half-acre lots in hopes of making the property more attractive to small businesses.

"We'll be marketing those individually, but if someone wants to buy the whole project that's fine," Scharton said. "The city wants to see mixed uses in the project. Whatever business someone wants to put on one lot would not change the landscape for the whole project."

Scharton said Liberty has worked on the subdivision process for about two years and estimates it is about three to six months away from the city's public hearing process.

He said there has been more interest lately from developers wanting to buy the entire site as opposed to individual businesses.

"We had three serious lookers recently to buy the whole thing," he said.

One of the lookers was an undisclosed local residential builder who presented a conceptual plan of 127 single-family homes, but Mayor Ron Jacobson said that's not the city's vision for the site. The project was proposed to also include a hotel, amphitheater and restaurants when developer Harry Green first presented it 16 years ago.

"That area is more of a destination," Jacobson said of the Landing site. "It's a prime piece of property. I'd hate to see it become another neighborhood."

About 23 acres in the project remain undeveloped. The land is listed at $6.97 million.

Scharton said Liberty is eager to sell all or a portion of the site since it's losing about $30,000 per month in interest. Liberty took over the site via foreclosure about five years ago after Green filed bankruptcy.

"The city has always looked upon this project as the crown jewel of the future of downtown," Scharton said. "They collectively bought into Harry Green's big dream of what he put on this project, but a lot of what Harry planned is not economically feasible. We've gone round and round with the city because we need more flexibility on what we can build. I think they still believe that there can be a lot more commercial uses than what the city of Post Falls can muster. Post Falls is not that big of a town when it comes to new commercial uses that come into the area. It could take years and years to fill (the Landing site) up.

"The project is driven by demand and it's easy for the city to ignore that because it's not any skin off of their back."

Scharton said the city has been accommodating on some, but not all, of the changes Liberty has requested with the site.

Jacobson said the city is optimistic that recent developments along Spokane Street, including Post Falls Brewing that's open and Roger's Ice Cream under construction, will have a domino effect into Post Falls Landing. However, the city also realizes a project as grand as Green envisioned is not likely economically feasible.

"But if something brings the marina online that should create more activity," he said, adding the city would like to see the site developed as a master plan rather than piecemeal.

Scharton said if the site was near Dallas, Liberty could develop the property itself as it has in some other cases, but the distance does not make that a viable option logistically.