ALLENTOWN — A downtown building owner is seeking a legal remedy because the borough has never built a parking lot that the building owner claims was promised.
A tort claim notice has been filed by attorney Adam Schneider of Long Branch on behalf of his client, Owen Seeland, LLC, in connection with property at 3, 5 and 7 S. Main St. and a parcel on Lakeview Drive. The managing partner of Owen Seeland is Nicholas DeMauro.
During various Borough Council meetings over the past year, municipal officials have discussed a plan to construct a parking lot behind businesses on South Main Street between Waker Avenue and Lakeview Drive.
The tort claim notice asserts that “the incidents complained of and the tortious interference with contract obligations continue to occur. There has been a breach of contract, both express and implied, along with tortious interference.
“The tortious acts complained of include, but are not limited to, conflicts of interest by the governing body of Allentown and specifically, but not limited to, Councilman William Borkowski as a former member of the LLC, who engaged in litigation with the LLC, and has, while acting in an official capacity as a council member, acted to divert resources away from the project in a manner that would be damaging to Owen Seeland, LLC, and would be to his own individual benefit.
“These acts include, but are not limited to, communications with governmental authorities without revealing the potential conflict, acting in both public and
executive session meetings while the conflict exists, and acting against the advice of the borough counsel.
“As a result of the actions of a councilman and governing body, the borough has breached both express and implied obligations to build and maintain the parking lot as per (an) agreement dated Dec. 3, 2010. Furthermore, the existing parking lot and road sold by Owen Seeland, LLC, have not been maintained and are in a hazardous condition.
“As a result of the actions of Allentown, the governing body, and Councilman Borkowski, Owen Seeland, LLC, has suffered damages. Prior to the sale, the plaintiff’s own parking lot for approximately 22 cars controlled an easement
that provided access to the parking lot for its tenants and guests, and was in substantial compliance with the zoning ordinances of Allentown.
“The documents pertaining to the sale specifically obligated the borough to construct a public parking lot that would be used by the property owner. As a result of the failure to proceed with the project and the acts diverting resources elsewhere, the property formerly owned by Owen Seeland, LLC, has been devalued and continues to be devalued.
“They no longer have a parking lot for their own exclusive use and are now obligated to share the lot. Had the express obligation to build a public parking lot behind their building been completed, the property would have maintained its value. Damages are estimated at $300,000 due in diminution of property values, increase in tenant turnover, and difficulty in renting premises,” the tort claim notice states.
Borough Attorney Greg Cannon responded to the tort claim notice on behalf of Allentown and said, “The borough denies any obligation exists on its part as alleged by Owen Seeland. In the three years Owen Seeland has been seeking to have the borough provide taxpayer-funded services to its private parking lot, no documents have been produced evidencing the ‘agreement’ alleged by Owen Seeland despite multiple requests by the borough for such documents.
“The borough’s governing body remains committed to working toward a comprehensive parking solution for the Allentown business district, which is likely to include improvements to the land purchased several years ago by the borough from Owen Seeland,” Cannon said.
“As far as an alleged conspiracy by council President Borkowski to undermine efforts to improve the property in question, I would note that the council president and the entire governing body recently voted unanimously to move forward with plans to include Owen Seeland’s property in the aforementioned parking solution, just as Owen Seeland has demanded.
“Although Title 59 provides absolute immunity to the borough for the allegations contained in Owen Seeland’s tort claim notice, the governing body has instructed me to reach out to Owen Seeland’s attorney to discuss this matter. Not only is Owen Seeland’s threatened lawsuit meritless as a matter of law, but the issues contained therein are already being addressed by the entire governing body without conflict or dissent.
“In short, this matter would appear to be more a lack of inquiry and/or communication on the part of Owen Seeland, rather than a true dispute. As always, the borough will be responsive to its business owners and residents and seek to resolve this matter in the most cost-effective way possible to Allentown taxpayers,” Cannon said.