Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: MONDAY, May 2, 1994 TAG: 9405020105
SECTION: VIRGINIA PAGE: A-1 EDITION: METRO
SOURCE: MICHAEL STOWE STAFF WRITER
DATELINE: LENGTH: Long
\ Roanoke officials - including Mayor David Bowers and City Manager Bob Herbert - heralded plans for a proposed Wal-Mart supercenter near Valley View at a February news conference.
The project was praised as an economic development victory that would create 450 jobs, generate $600,000 in tax revenue and help build a case for a new exit off Interstate 581.
The positive reaction was no surprise to Wal-Mart developer John Knibb.
He worked with city officials nearly a year to develop a site plan that would allow the largest Wal-Mart in Virginia and still leave room for a new interstate interchange that would open 130 acres of farmland for development.
To complete the project, Wal-Mart needed the city to rezone 1.4 acres for commercial use. Knibb figured that was no problem as the plan had been revised several times and had been recommended for approval by the city planning staff.
"We thought it was a no-brainer," the developer said.
He was dumbstruck when the Roanoke Planning Commission voted to recommend denial of the rezoning at its March meeting.
"If we looked shocked or surprised, that's because we were," Knibb said in a phone interview last week. "We were just somewhat frustrated because we worked to do the right thing."
Most planning commission members voting against the project said it did not matter if the city staff had been working on it for a year; they had only two weeks to review the project. Commission member Barbara Duerk, who is running for City Council, said the project was a bad idea because it would hurt existing businesses.
A city council public hearing on the rezoning in April was delayed at Wal-Mart's request as company officials scrambled to develop an alternative plan in case the rezoning was denied.
That hearing will be continued at 2 p.m. today, but the rezoning request is not nearly as important to Wal-Mart officials as it was two months ago.
The Arkansas-based company has since developed a site plan that even without the rezoning will allow it to build the supercenter and leave room for the interstate interchange.
"At first, we didn't think we could do that, but after studying it, we decided that we can," Knibb said.
Factors other than the rezoning request have played into the company's decision to develop a second proposal.
Wal-Mart has been unable to close a deal to acquire the surrounding land and still is negotiating with Faison Associates, one of the mall's primary partners.
Knibb said Wal-Mart, Faison, the surrounding landowners and the city are working out financial details about the cost to each of building a road to the proposed 581 interchange.
"There's no question that everyone wants to do it," the developer said. "Wal-Mart's time line is just a little faster than the adjacent neighbors.' "
If an agreement is not reached tonight, Knibb said Wal-Mart probably will withdraw the rezoning request and brief council on its alternative request.
The 200,000-square-foot store could include an eyeglass center, one-hour photo center, auto center, grocery store and hair salon. The supercenter would be 1.75 times the size of the new Lowe's superstore near Crossroads Mall.
None of the council members contacted last week indicated opposition to Wal-Mart's project, but they were unanimous in concern about traffic congestion it could create.
"I'm going to be very disappointed if they put that store there without a new interchange [off I-581], said Councilman James Harvey.
Wal-Mart has little say about whether an interchange could be built. It would need state and federal approval, which could take years.
Councilman Delvis "Mac" McCadden said there already is too much congestion around the mall. "That area is just hell to get out of simply because there is just one exit."
Harvey said opening the 130 acres to development, as the proposed interchange and extension of Valley View Boulevard would do, would be a blessing for a land-locked city such as Roanoke.
"I'm tired of seeing the prime industrial land in the city of Roanoke be used to grow hay to sell to farmers in Franklin County," he said.
Neighbors of the property, however, have started a petition drive against the project because they fear their quality of life will be destroyed if the interchange is built.
Councilman William White said that will not happen: "We will protect the integrity of the neighborhoods."
The store could open early next year, Knibb said. It would employ about 450 people, who would be paid starting salaries of $5 to $10 an hour. About 60 percent of those jobs would be full-time.
Council members agreed that while those are not the ideal type of jobs Roanoke would like to attract, they would help the area.
"If you need a job, any job is useful," McCadden said.
Wal-Mart has been criticized by communities who say its giant stores take business from existing businesses. Duerk has leveled the same charges during her campaign and Councilman John Edwards, one of Duerk's election opponents, said he too is worried about Wal-Mart's impact on small retail stores.
"Yes, to be honest, I'm concerned about Wal-Mart's business practices," he said.
Edwards cited a court case in Conway, Ark., where a judge ruled Wal-Mart illegally tried to force competitors out of business by selling certain drugs and health and beauty aids below cost. The judge ordered an end to the practice and awarded the plaintiffs, three independent Arkansas pharmacies, nearly $300,000 in damages.
Despite his concerns, Edwards said Wal-Mart has a right to build a store in Roanoke.
"And there's not a whole lot we can do to stop them," he said.
by CNB