One day after Squirrels owner’s lawsuit, the city announces agreements with VCU, but uncertainties remain
Richmond Mayor Danny Avula announced Friday afternoon that the city’s Economic Development Authority has executed key agreements with VCU that were holding up the development of the Diamond District project.
Those three agreements are the purchase of Sports Backers Stadium from VCU, an “access agreement” to begin work before the Sports Backers Stadium deed is officially conveyed, and a lease giving VCU’s baseball team the city’s permission to play at CarMax Park.
However, at least one of those deals is contingent on the Flying Squirrels coming to a separate agreement with VCU, which has not happened.
City officials said they could not immediately provide the agreements, and VCU officials were unable to immediately say whether those deals were contingent on the Squirrels’ lease agreement.
Thursday night, Squirrels’ owner Lou DiBella filed a lawsuit against Thalhimer Realty Partners, the site’s lead developer, alleging a number of delays and obstructions from the group and the city throughout the process of building a new stadium for Richmond’s minor-league baseball team.
The city did not respond to that lawsuit but issued a press release on Friday with the VCU announcements.
“It’s another exciting day in Richmond!” Mayor Danny Avula wrote. “The Diamond District is all about creating a thriving new neighborhood with housing, parks, recreation, and economic opportunity for generations to come.
“The best things take time and hard work, but in the end, they’re worth it. I’m so proud we’ve hit this milestone.”
The $2.4 billion Diamond District development consists of both the CarMax Park baseball stadium and a mixed-use neighborhood with housing, retail and office space.
While the stadium began to operate this April, further development of the site is contingent on VCU vacating the sports facility it has on the site, known as Sports Backers Stadium. (The facility once held Sports Backers’ offices but is not owned by Sports Backers.)
VCU had previously held up that transaction because it had not reached a deal for its baseball team to play at the new stadium. Last October, all three parties held a press conference to announce they had agreed on terms, but those contracts were never executed.
Michael Phillips
The agreement between VCU and the Squirrels appears no closer after DiBella’s lawsuit on Thursday, in which he stated that he is not currently interested in a deal.
“DiBella and the Squirrels have no obligation to maintain the field and stadium and share MLB-used spaces with VCU, and DiBella has been clear that he currently does not intend to do so,” the suit says.
Contact Michael Phillips at mphillips@richmonder.org.
