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City officials say developers may propose demolishing hospital site for a data center; council weighing public process
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Summary
City administration reported a change in developers for the proposed hospital redevelopment and said a financial backer called a near $44 million note; the new management team may propose demolishing the hospital and building a data center, prompting staff to recommend a transparent public process and possible special meeting for the community to weigh in.
A city official (voice 13) told the council that several prior development principals are no longer involved with the hospital redevelopment and that a group described in the transcript as the "Builders Group" (reported to be based in New York) has called its loan note of about $44,000,000.
The official said the Builders Group brought in a new manager, identified in the transcript as Raleigh Dawson, who is preparing a proposal that could include demolishing the hospital and redeveloping the site as a data center. "They called in their note to the tune of $44,000,000," the official said in the public update.
City staff recommended a transparent public process, including either a special meeting or a committee-of-the-whole session, and warned that any development would require a special‑use permit, zoning review and involvement of the Plan Commission/PCBA. Staff emphasized it is private property and the city does not own it, but said the council has a role in reviewing any land-use requests and making the public process visible.
Council members discussed the need to avoid spending legal and engineering money if the project is not feasible for the community, but several members said they expect intense public interest and likely opposition. Staff said engineers from the developer presented technical claims that prompted further questions; the council said it would consider a special public meeting to allow the developer to present and to gather community feedback.
Ending: Staff indicated next steps would include planning a public forum or special meeting; no zoning decisions or permits were granted at the April 14 meeting.
