Libby’s sale requires state approval
Paterson mayor’s actions raise concerns
PATERSON – The high bidder for the Libby’s Lunch property at the Great Falls has a “one year performance period” to get financing and requisite government approvals for his restaurant plans, Mayor Andre Sayegh announced Thursday.
At the same time, in his eagerness to develop the Libby’s site, it seems Sayegh may have skirted – if not actually violated – New Jersey’s historic preservation laws.
Sayegh told Paterson Press he and the buyer – whom he has described as “the new owner” – signed the property transfer documents this week.
But the State Historic Preservation Office said on Thursday the law requires Sayegh to get its approval before selling the Libby’s Lunch site. Officials in Trenton had conveyed that same message to Sayegh in a letter on May 6.
State officials said the Sayegh administration filed its Libby’s sale application on Tuesday. SHPO has not yet reviewed Paterson’s application, officials said.
“Once the application is determined technically complete, staff reviews the documentation to determine whether it is an encroachment to the historic district,” said state spokesperson Caryn Shinske. “Project authorization under the NJ Register of Historic Places Act is required for the sale of Libby’s Lunch.”
At stake is a crucial component for Sayegh’s hopes that booming tourism at the Great Falls will launch Paterson’s revitalization.
The mayor has predicted Paterson will flourish as eateries spring up around the national park, giving visitors a reason to stick around longer than just looking at the waterfall. At present, the only restaurant within view of the park is a Burger King.
Some of Sayegh’s allies, however, have questioned his desire to sell the Libby’s land, asserting that it is too valuable an asset to relinquish. Those critics say the mayor should have kept the property and leased it to a private company.
Sal Washah, a college technology professor who owns a Middle Eastern restaurant in Clifton, emerged as high bidder in the city’s April 30 land auction, offering Paterson $850,000 for the property. Washah said on the day of the auction that he wants to demolish the Libby’s building and replace it with a three- or four-story structure that would include a cafe for pastries as well as a dining area for smoked meats and sandwiches.
Washah could not be reached for comment, despite multiple inquiries from Paterson Press. He said in a text message that he is on vacation.
Sayegh issued a statement about the status of the Libby’s deal on Thursday morning.
Sayegh: ‘Optimistic’ about Libby’s sale
“We are optimistic about where things stand with the Libby’s sale,” the mayor said. ”While Libby’s is not a protected asset, as it was built in the 1940s or 1950s, it is part of a formal process due to its location within the Great Falls Historic District.”
The State Historic Preservation Office “will need to review any plans submitted by the new owner, as this is a land transfer of a city-owned property and within the perimeter of the historic district,” Sayegh added. “The new owner is on a one-year performance period, during which they must demonstrate the necessary approvals and funding to move the project forward.”
Paterson has not yet received the $850,000 for the property, the mayor said. Officials did not disclose when they expect the city to get that payment.
Paterson Department of Public Works employees were dispatched to the Libby’s building on Monday after activist David Soo alerted city officials that it was “not secure” with its front door “unlocked and open.”
The city’s economic development director, Tiffany Harris-Delaney, said municipal employees boarded up the building that same day.
Soo, who alerted state historic commission officials about Sayegh’s plans to sell Libby’s Lunch, said his previous messages to city officials about the unsecured structure went without response.
“Paterson has a long history of leaving historic buildings unsecured to allow them to burn,” Soo said in his email to municipal officials. “Since Mayor Sayegh has publicly stated that his interest is to see the demolition of the building, I cannot dispel the notion that leaving Libby’s wide open is not without intent.”
Sayegh in his statement on Thursday scoffed at Soo’s comments.
“Libby’s sold for $850,000, and it is certainly not in the city’s interest to see it damaged or destroyed, as such damage could jeopardize the sale” and historic commission review, said the mayor. “Any suggestion that the city deliberately left the building unsecured is entirely unfounded and untrue.”