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Law Pits Small Businesses Against Giant Developers

Protesters Say Eminent Domain Law Too Broad

POSTED: 6:23 pm PST March 25, 2004
UPDATED: 6:29 pm PST March 25, 2004

A battle is brewing over a hot piece of real estate in the Gaslamp District, 10News reported.

Supporters of a cigar shop and restaurant rallied Thursday against the city's eminent domain law. Many of the protesters said the law's powers are too broad.

The owner of Gran Havana Cigar and Coffee Lounge, Ahmed Mesdaq, said that with the help of his neighbors he hopes to beat hotel development.

Mesdaq, who immigrated to the United States in 1982 to escape the Russian army attacks in Afghanistan, said he worked from poverty to become a business owner in the Gaslamp. Now, Mesdaq said the Centre City Development Corp. is using eminent domain to take his livelihood for the construction of the 334-room Marriott Renaissance Hotel.

"The same institution that approved my plan wants to condemn me. I don't know what to say to that," Mesdaq said.

CCDC President and Chief Operating Officer Peter Hall said the development is in the best interest of the city. He said San Diego needs more hotel rooms to support its growing tourism industry.

"We do believe it's consistent with our redevelopment goals and plans and the public's benefit overall for the city," Hall said.

Hotel developer Ramin Samimi, another 1982 immigrant, said he, too, has been the victim of eminent domain. He originally planned to build a hotel at the site where PETCO Park stands but lost the land to the ballpark project.

Through his attorney, Samimi said partners in the development agreed to find a new site for Mesdaq's shop, including a parking lot on 6th and Island streets, or a buyout of $3 million. But, Mesdaq turned them down.

Cynthia Eldred, Samimi's attorney, said, "If we would come up with a suggested swap of property and present it to us, we would look at it. But to go out again and look again just to have him tell us he doesn't want it, it doesn't seem, at this point in time we really need something from him."

The fight for the corner of 5th and J has become political, but Eldred said recent campaign donations to council members Toni Atkins and Jim Madaffer and Mayor Dick Murphy are not attempts to buy votes on the project.

Eldred said, "I think it's offensive to suggest that we're trying to buy someone off. I don't think there's anyone in this town that's buyable."

Mesdaq said although he believes San Diego leaders cannot be bought, he said he won't be forced out of his store by an abusive law or a giant developer.

"They're hurting families. They're crushing business and we're part of San Diego. We want to be part of the redevelopment," Mesdaq said.

But CCDC said the development would also be good financially for the city, because it would get more than $3.5 million annually in taxes after the project is completed. Protesters said it is not fair to balance the city's books on the backs of small businesses and families.


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