[Johnny Ryall]

Front Street garage in line for upgrade
The Commercial Appeal | By Wayne Risher

The Downtown Parking Authority is negotiating with hotel developer Greg Averbuch about possibly upgrading a time-worn Front Street parking garage to jointly serve hotel guests and the public. Averbuch and a partner, MEM Valet Services LLC, formed Main Street Parking to submit one of six proposals received by the DPA for an operator of the Shoppers Garage on Front between Adams and Jefferson.

Officials at the DPA and its parent organization, the Center City Commission, liked Averbuch's proposal because they think the hotel operator would take a keener interest in making sure the facility is well-kept and secure. "They would be so self-interested in the operation of the garage that the public would benefit," Center City president Jeff Sanford said. However, Averbuch estimated that the facility would need nearly $900,000 in capital improvements, paid for by DPA, to be brought up to Marriott hotel parking standards. Jerome Rubin, vice president of operations for Center City, said the second- and third-ranked proposals were from Republic Parking and Premier Parking, respectively.

The DPA asked companies submitting proposals to assess the garage's condition and recommend capital improvements. Republic, at $269,415, and Premier, at $250,212, were well below Main Street Parking's $887,499 estimate for improvements. Main Street Parking proposed guaranteed payments of $180,000, while Republic projected CCC revenues at $223,637, and Premier projected revenues of $72,320. The authority voted Monday to authorize Rubin and his staff to continue negotiations. The vote came with the caveat that Main Street Parking hasn't run a public garage and didn't meet certain other criteria.

Central Parking operates the Shoppers Garage and the aging Riverfront Garage at Front and Monroe. Central's management contract for the Riverfront Garage runs through October, at which time the DPA would presumably entertain proposals for it as well. The Shoppers Garage recently came off a long-term lease dating back to a land swap related to construction of the Mud Island parking garage, said Jim Street, senior vice president of finance and administration. The Shoppers Parking Network, a New Jersey company, received most of the garage's revenues under a city lease that predated the DPA. Street said the DPA received fixed payments of $458.31 a month from the garage before the lease ended Dec. 31. The monthly check after Jan. 1 was about $11,000, Street said.

Averbuch's Summit Management Corp. developed and operates the Court Square Sleep Inn, SpringHill Suites and the newly opened Courtyard by Marriott. He has plans to build an Embassy Suites on vacant land, currently surface parking, next to the Morgan Keegan Tower.