OliverMcMillan controls fate of Mapes Hotel

The City Council approved a 40-day extension Monday night of a provision that gives the developer exclusive negotiating rights to work with a Sparks firm to renovate the hotel.

While OliverMcMillan can work with other developers if the deal with QM Corp. fails, the backup plan still calls for demolition of the hotel.

Members of the Truckee Meadows Heritage Trust had wanted the city to end the exclusivity provision and allow other firm interested in saving the Mapes from the wrecking ball to submit bids for renovation.

About 50 people showed up to urge the council to open the bidding process.

Trust members have argued that requests for proposals sent out by the city last year did not target firms that specialize in historic perservation. Only four proposals were received, and the city chose OliverMcMillan, which is developing the downtown riverfront area.

The city's redevelopment agency is buying the Mapes for $4 million, but in the request of proposal offered it to developers for $1 million.

"You have a chance here to get the best of the best," said Peggy Lear Bowen, a trust member. "You can't be anything but a winner, and you might make more money."

Councilwomen Candice Pearce and Judy Herman sided with trust members.

But a majority of council members agreed to continue the exclusive negotiating provision.

David Goldfarb, a San Francisco attorney representing the Reno Redevelopment Agency, argued that QM Corp. could not be expected to continue work on analyzing the hotel without the exclusive agreement.

Harry York, executive director of the Reno-Sparks Chamber of Commerce, also urged the council to stay with OliverMcMillan, saying the city couldn't risk the chance of the nationally known developer pulling out.

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