The Chattanooga Downtown Redevelopment Corp. will spend up to $480,000 to fix flooding problems in a parking lot adjacent to the new Moxy Hotel taking shape on King Street.
The city board voted Monday to approve a contract with Thomas Brothers Construction to address the rainwater runoff problems from the city-owned parking lot into the adjacent office and hotel project, and to pay to install lighting and gating to allow the city to rent out the parking lot on nights and weekends. The contractor was deemed the only eligible bidder for the work from among the proposals given to the city.
The repairs will cost up to $6,153 for each of the 78 parking spaces the city uses for employees who work in the Chattanooga Design Center building across the street during the day. But CDRC Chairman Daisy Madison, the chief financial officer for the city, said the improvements should help the city generate $25,000 a year in new parking fees on nights and weekends and aid in the nearby development of a new hotel and office complex by providing public spaces in the redeveloping area.
Cherita Allen, deputy director of the city's Economic Development Department, said a temporary fix will be completed within two weeks to ensure construction can proceed on the nearby offices and hotel, and the more permanent parking lot regrading and fix should be completed by December.
The city decision to repair the lot comes nearly a year after the city first proposed to sell the parking lot, and the adjacent owners of the hotel - Seaford Investments LLC owned by hotel developer Hiren Desai, offered $360,000 to buy the lot. That offer was later dropped and the city reconsidered the sale and decided to keep the property for its own employee parking.
Allen said the city is now obligated to make the flood control improvements and other parking spaces for city employees are not readily available.
A temporary fix should be completed within two weeks to allow construction to continue on the new hotel, which is slated to open Nov. 1.