Erzbergerufer City of Bonn made error in hotel tender
Bonn · Although the council wanted to grant a lease of a prime piece of real estate on the Rhine for a new hotel, the city administration is suggesting a sale. It has left the choice up to investors.
It is a large prime piece of real estate in the best position on the Rhine directly adjacent to the Beethovenhalle. This Tuesday, the Jamaica coalition in the city council will in all likelihood agree to the sale of around 3100 square metres to an investor who wants build a new hotel on the Erzbergerufer. The expert jury for the architects’ competition was more than convinced by the design for the building. However, there is resistance to the project from the council opposition, not only because the other parties do not want a hotel there, but also because of the sale of valuable urban land.
According to GA information, Landmarken AG from Aachen is offering 4.1 million Euro for the land, which had been given a minimum value of 2.2 million (around 700 Euro per square metre) by the Office for Land Management and Geo-Information. The coalition of CDU, Greens and the FDP had decided in March last year that the attractive area should “preferably be advertised as leasehold.” The advantage is the investor pays annual rates and the city remains owner of the land.
However, none of the 14 applicants apparently wanted a leasehold contract. This is no surprise as low borrowing rates make it much more appealing for investors to buy the land themselves. The city administration also neglected to point out in the tender documents that leasehold was the municipality’s primary goal. Party groups said this had been explained as “an error” in the town hall.
It is unclear whether Landmarken AG would also be prepared to enter into a leasehold contract as the company will not comment as long as negotiations are taking place. On Friday evening, the city administration had also not yet answered GA queries on the tender process.
A few years ago, the city had to pay the student union 1.2 million Euros when it took over the dilapidated building. Once this sum is deducted, proceeds of 2.9 million Euros remain. According to a council resolution, this money will be used to buy areas of the former polyclinic on Wilhelmstraße and building social housing there.
Criticism from the opposition
The Greens are also using this argument to agree to the sale, even though they had originally demanded a lease. “We are not happy with it,” says faction spokesman Hartwig Lohmeyer. “However, for us the earmarking of money for social housing is decisive.” FDP faction leader Werner Hümmrich takes a similar position. There is no question of a “sellout” for CDU party leader Klaus-Peter Gilles.
The SDP wants to vote no on Tuesday. “So the city is losing another piece of land which would have been so important for housing construction,” criticised faction leader Bärbel Richter. The Left is also against the sale because it is demanding apartments or student housing on the site. The Bürger Bund Bonn also would rather have a “modest housing development” and is rejecting the sale. In addition they see no need for the planned 3-star hotel in Bonn.
(Original text: Andreas Baumann. Translation: Kate Carey)
