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The Spokesman-Review Newspaper
Spokane, Washington  Est. May 19, 1883

Former owner bids on Carlyle

The city of Spokane received two bids for the Carlyle Care Center, a downtown facility that provides care for people with mental disabilities. The city bought the center in November while it was experiencing financial woes in an attempt to keep it open until a new owner could be found. 
 (File / The Spokesman-Review)

The former owner of the downtown center that accrued more than $12 million in debt while providing care to people with mental disabilities is hoping to get the facility back.

The city of Spokane last week closed bids on the Carlyle Care Center, which it bought in November for $3.2 million in an attempt to save it from closing.

The Carlyle, 206 S. Post St., reopened a few years ago after it was converted from a flophouse by Jim Delegans and his wife, Fay. Though the project was praised by many mental health care advocates, Delegans had been unsuccessful in making the center financially viable.

The city bought the Carlyle from US Bank, which had foreclosed on the building.

City leaders said their goal was to buy it to keep it open and sell it as soon as possible. Last week, the city closed bidding after receiving two responses.

Bids were required to be at least $3.44 million to cover the cost of the building and some extra expenses, said Mike Adolfae, Spokane’s community development director.

“We’re looking for a price, and we’re looking for management ability,” Adolfae said. “We want to find somebody who can continue to run it and perform this service to people in our community,”

Delegans is part of group that submitted a bid consisting of more than 100 pages that would give the city $2.2 million at closing and as much as $1.2 million more depending on the Carlyle’s revenues for the first year of ownership.

Peter and Candice LaPlante, who own care centers in Spokane, submitted a slightly higher bid of $3.45 million. But that 10-page bid consisting mostly of letters of recommendation lacks some of the details the city required in the bidding process. The couple operate Mallon Place, 1724 W. Mallon, and Bethany Place, 9111 E. Upriver Drive.

Attempts to reach the LaPlantes and Leon Grundstein, the listed contact for the group that includes Delegans, were unsuccesful.

Allen Schmelzer, the city planner who has overseen the process, said he plans to meet with Mayor Dennis Hession about the bids this week.

“We just want the mayor to be comfortable with the proposals and their viability,” Schmelzer said. “They’re both unique.”