Developer needs cash to finish Fenway resort renovation in Dunedin (St. Petersburg Times)19 December 2009, 2:45 pmDUNEDIN — George Rahdert invested $6 million of his money into the Fenway renovation, hoping profits from hotel customers and condo sales would follow its timely completion.
Yet after four years and another $6 million in borrowed money, not a single shovel has turned on the Fenway project.
Rahdert, a St. Petersburg-based developer and attorney, doesn't know where he'll get the money to finish the project. The bank that committed to the historic hotel's rebirth reneged last year. So, too, did a self-declared hotelier who offered to buy out Rahdert's interest.
...Rahdert thought he had found a buyer in Robert Masson, who claimed a connection to a California wine empire and spoke "the language of hotel development."
Masson gave Jessica Hollingsworth, Rahdert's broker and project manager, an offer: he would pay to own and operate the hotel, while Rahdert would stay on as a minority partner helping with its historic dedication. Masson signed a contract promising $12.5 million, which would have bought the land, paid off Rahdert's investment and left the rest of the redevelopment costs to Masson.
But, according to a lawsuit filed by Rahdert, Masson reneged on his commitment and may have misrepresented his credentials.
...Masson gave Jessica Hollingsworth, Rahdert's broker and project manager, an offer: he would pay to own and operate the hotel, while Rahdert would stay on as a minority partner helping with its historic dedication. Masson signed a contract promising $12.5 million, which would have bought the land, paid off Rahdert's investment and left the rest of the redevelopment costs to Masson.
...For now, the 6.4-acre property's only occupant is the Washburn Academy, a private school that uses teaching methods devised by L. Ron Hubbard. It has leased a building there month-to-month since the summer of 2006.
The academy's presence has allowed Rahdert, who represents the St. Petersburg Times on First Amendment and business issues, to maintain a special zoning exemption and protect against vandalism at the site, located at 453 Edgewater Drive.
Rahdert and Hollingsworth, a former vice president of the now-defunct Triangle Development, met in 2005 when Triangle paid Rahdert $6.5 million for 2 acres of his family's land on the Clearwater waterfront. Two Triangle partners, both Scientologists, sold the land to the Church of Scientology when their plans for an upscale condo development failed. The land remains vacant.
Hollingsworth, a Scientologist for more than 30 years who has publicly criticized press coverage of the church, has helped with the Fenway's redevelopment since Rahdert's purchase, attending site visits, meeting with city staff and seeking condo buyers and financiers.
The Times has aggressively reported on the church for decades, including a series of investigative reports published this year based on sources Hollingsworth said were "liars," according to an Internet comment she confirmed was hers.
Rahdert said his business relationships with Hollingsworth and the Times are kept separate and do not constitute a conflict of interest.
more at
http://www.tampabay.com/news/business/realestate/developer-needs-cash-to-finish-fenway-resort-renovation-in-dunedin/1060087
