Palm Springs council members are expected to discuss tonight alternatives to the $50 million renovation of the Desert Fashion Plaza, which has been vacant for several years.
“The council’s goal remains the redevelopment of the fashion plaza mall,” said City Manager David Ready, who is expected to provide a report to the council at tonight’s 6 p.m. meeting.
The city has failed to pen agreements with Wessman Development Co., which owns the property.
The project is considered central to revitalizing downtown Palm Springs.
Ready said he will be providing an update to the council on negotiations with the developer and then “The council will give us direction on potential alternatives.”
He declined to give specifics about the alternatives.
Michael Braun, vice president of Wessman, said the city has not told him about the alternatives.
“We continue to seek tenants and we are open to work with the city,” Braun said.
The city began looking for alternatives when the city and Wessman failed to sign a development and owner participation agreement by a June 30 deadline.
Braun said previously that his company could not enter into an owner participation agreement, outlining the city’s and Wessman’s financial obligations to the project, because the economy had not improved as hoped.
Braun said the company hoped to have a clearer grasp on potential leases by October.