Sabey Donated Money To Development Foes Northtown Mall Owner Helped Fund Opponents Of City’s Involvement In Remodeling Of River Park Square

The owner of NorthTown Mall contributed money to a group opposing the redevelopment of River Park Square in downtown Spokane.

“We did provide a grant to help them in communicating on the subject,” said Michelle Driano, a spokesperson for Seattle-based Sabey Corp. “It was a one-time grant.”

Driano said it was up to the opposition group, Citizens Putting Priorities First, to decide how to spend the donation.

Sabey also met with City Council members this week to express his opposition to the city’s role in the $100 million project, which would include a new Nordstrom store, a 24-screen cinema and other shops and restaurants.

“He said he’d be an active participant in any attempt to stop this development,” said councilwoman Roberta Greene.

Greene and other council members said Sabey threatened to sue the city if the council approved the project through an emergency ordinance.

Driano would not confirm whether a lawsuit is planned.

When an ordinance is passed as an emergency, it takes effect immediately and the public cannot force the matter to a public vote.

Citizens Putting Priorities First already is collecting petition signatures against the development.

The only remaining council action related to the project involves an off-street parking ordinance that officially states the city’s need for public parking facilities.

The ordinance also pledges the city’s parking meter money for maintenance, operations and ground rent for the shopping center’s garage if parking revenues can’t cover those expenses.

It’s not clear whether the council will consider that ordinance as an emergency.

City Councilman Jeff Colliton said the majority of the community favors the project, but it’s been tainted by a small but vocal opposition group.

“My correspondence has been running 4-to-1” in favor of the project, Colliton said.

Sabey met with council members, Driano said, to express his concerns.

“We really feel that this project is flawed, that it won’t meet projections and that the city is at risk,” Driano said.

Betsy Cowles, president of the companies that own River Park Square, said it’s unfortunate that Sabey is focusing on business competition, rather than the good of the community.

“He’d just as soon downtown died a frail death, when in other cities, a strong downtown does affect surrounding areas in a positive way,” Cowles said.

River Park Square is owned by Citizens Realty Co. and Lincoln Investment Co., affiliates of Cowles Publishing Co., owner of The Spokesman-Review.

“Overall,” Cowles said, “if the Spokane economy does well, everyone stands to benefit.”

Council members said Sabey was unhappy that the city is helping a private developer.

“His concern is that the city is enabling a competitor, which makes it an unlevel playing field,” Greene said. “It’s an interesting comment to make when you yourself have been part of making a playing field that’s not level.

“It would be interesting to see what the people at Shadle Center and Franklin Park have to say about level playing fields,” she added.

State and city money went toward street improvements that eased traffic congestion around NorthTown.

Shadle Center and Franklin Park Mall also are Sabey competitors.

Sabey Corp. representatives also met with council members in early October to discuss the River Park Square project.

The council is expected to take action on the off-street parking ordinance Jan. 27.

Last Monday, the council passed two resolutions related to River Park Square. The first allows a non-profit corporation formed by the shopping center owners to issue $30 million in revenue bonds to buy the center’s expanded and renovated garage.

The garage would then be leased to a public development authority created by the city.

The second resolution expresses the city’s support for the project and says the city would accept the parking garage - for free - as a public facility when the revenue bonds are paid off in 21 years.

An original plan, in which the city proposed to issue $30 million worth of revenue bonds itself to buy the garage, was withdrawn because of public opposition.

, DataTimes ILLUSTRATION: Color Photo