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New Port Richey official denies claims made by Hacienda developers

 
The developers of the historic Hacienda Hotel have accused the City Council of cutting them out of the redevelopment process.  
The developers of the historic Hacienda Hotel have accused the City Council of cutting them out of the redevelopment process. 
Published Aug. 10, 2016

NEW PORT RICHEY — City economic development director Mario Iezzoni is refuting claims made by a father-son team as to why they walked away from redeveloping New Port Richey's historic Hacienda Hotel.

Last week, Iezzoni announced to the City Council that the city had informed Yaakov Rosner and his son, Avi, that they had defaulted on a development agreement to return the building to its roots as a boutique hotel using its historic footprint. The city purchased the Main Street property in 2004 for more than $2 million.

The Rosners failed to submit architectural renderings and select a general contractor in the time allotted by the contract, according to Iezzoni. Yaakov and Avi Rosner later told the Tampa Bay Times they walked away after being cut out of the planning process for renovations and after they were locked out of the construction site by the city. They also contended that New Port Richey mismanaged a $1 million state historic grant to stabilize the landmark 1927 hotel.

Iezzoni said this week the city "bent over backwards" to work with the Rosners and obtain their input on the stabilization construction work.

"We asked them several times what their vision was — to show us some drawings — but we received nothing," he said.

Iezzoni said Avi Rosner, who was to be the primary developer of the project, "disappeared for months and months and months," and his father continually asked to renegotiate the contract, which the city deemed unfair.

During the bid selection process, engineering and architectural work, Avi Rosner was absent and therefore did not get a key to the now-fenced hotel, according to Iezzoni.

The one day Rosner showed up asking for access to the site, Iezzoni said he was on vacation and the general contractor did not think it appropriate to let Rosner in without advance notice.

Iezzoni also defended the city's use of the state grant funds, saying planning was conducted and executed by numerous architects and engineers with decades of experience among them, and approved by state officials overseeing the spending of the funds.

"For them to just throw out there that public funds were somehow mismanaged is hard to believe," Iezzoni said of the Rosners.

In an email to the Times, Avi Rosner maintained his stance that he and his father backed away because the city refused their input, conducted demolitions that made the project unworkable, reneged on promises and failed to complete "crucial stabilization."

"I have strong faith in the Hacienda Hotel succeeding financially, but only a foolish developer would continue working under the agreed upon terms and actions that have occurred thus far," he wrote. "Should the city be interested in seeing the hotel open immediately, which could become the No. 1 destination in town, I suggest they become much more accommodating to whoever they decide to work with. After all, this is the hospitality business."