Evening star. [volume] (Washington, D.C.) 1854-1972, 1959-03-18

feet IN the center would De
covered by revenue-producing
facilities because Of require
ments for 100000 square feet
of parking. "peripheral road
ways" around the center for
traffic and utility easements
which further limited use Of
the land.
On the basis Of the review,
Mr.. Searles said. the appraisers
came up with a revised value
of $2.50 a foot in October,
1857. This value was approved
by the Federal Urban Renewal
Administration in December,
1857. and subsequently by Mr..
Zeckendorf.
Final Endorsement
For almost a year after that.
until october. 1858. details Of
the hefty 55-page contract were
kicked back and forth between
Webb & Knapp and RIA. Last
october. they finally agreed.
AL THAT remains now is for the
Housing and Home Finance
Agency 20 approve the con.
tract.
In the meantime, Webb g.
Knapp had prepared its de-
tailed design drawings for the
first half Of the Town Center.
and submitted them to FLA
for a commitment on mort
gage insurance.
william l.. Slayton, vice pres
ident Of Webb g. Knapp Ma
tional-the Washington SUBJ
sidiary formed to handle the
Southwest project - says the
firm has spent $1.4 million thus
far on the Southwest-without
taking a dime out.
OF this, he says, $685.. 900
has been paid directly by the
Washington office since it was
set up in June. 1855. The staff
has included Mr.. Slayton as
chief planner. a public relations
man (since departed. an ar
chitect, two assistant planners
and two secretaries. In addi-
ton, the law firm Of Gardaer,
Morrison and Roberts has been
paid a continuous retainer fee,
and the firm has hired nunler-
Gus conSultants to work on the
various traffic, landscaping,
planning and design studies
and restudies which were made
over the years.
The remainder Of the STA
million. Mr.. Slayton says, was
paid by the New York office,
and went mainly for architect
fees.
Only Expense Shows
There's nothing to show,
Webb d. Knapp feels. for a good
bit of the expense. Three years
ago. for example. the firm sue.
ceeded in getting legislation
which would permit the Fed
eral Government to negotiate
with Webb 81 Knapp for the
construction of new Federal
Office buildings in the South
west under the Federal lease
purchase program. The legis-
lation cleared. But lease-pur-
chase since has been killed.
In defense of the $3.50 figure.
Webb & Knapp officials say
they had figured a return OF
only ia per cent II the land
were valued at IS foot. The
Stevens-Scheuer group. officials
said. will pay annual rental on
the basis of S per cent Of the
total Area B land value, also
figured at $3.50 a foot. The
Webb & Knapp contract for
the Town Center called for
rental on a basis of 6 per cent
of the total land value at $3.50.
The first challenge to the
agreement was made in De-
cember. 1857. when Washing
ton lawyer William Hannah,
representing a new group called
Town Center. Inc" told RIA
he would pay rental for the
center on a basis Of 81 a foot
the original amount listed by
the RIA appraisers.
Names UndiscIOsed
Mr.. Hannah told reporters
at the time that he could not
disclose names of the principals
/ in his group. RIA rejected
the Hannah letter. contendinq
At was not a substantial pro-
posal and that. in any event. it
was committed to an attempt
to reach an agreement with
Webb & Knapp.
/ Nothing further was heared
from Town Center. Inc, until
the RIA hearing last week.
when Mr.. Cafritz was disclosed
as its financial hacker and
submitted his SO offer.
/ Asked about the original "a
offer by Town Center. Inc. Mr..
Cafritz said he had not been
associated with the corporation
when the "a offer was made
and that he considered So a
fair offer" He said his reason
for entering the scene was the
Importance of the Southwest
project to WaShington's future.
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