DATE: Sunday, April 6, 1997                 TAG: 9704070400

SECTION: LOCAL                   PAGE: B3   EDITION: FINAL 

SOURCE: BY TONI GUAGENTI, STAFF WRITER 

DATELINE: VIRGINIA BEACH                    LENGTH:   87 lines

COUNCIL TO DECIDE FATE OF OCEANFRONT ACRE

For one acre that's been on the market almost a decade, it's sure causing an uproar of late.

That's because of its location: prime Oceanfront property.

The parcel, one of the last open spaces left along the 6-mile resort stretch, is the 31st Street lot.

It's owned by the city Economic Development Authority and coveted as a park by a group of citizens, spearheaded by local activist Maury Jackson and supported by the Resort Area Advisory Commission.

Despite that effort, those who keep an eye on economic development for the city have other ideas.

``I think you need to keep the option open on that property for a unique development,'' said Robin Ray, the development authority's chairwoman. ``Our responsibility as a development authority is to market that property to create jobs and taxes.''

``If you turn that (lot) into a park at this point, you're forever taking it off the tax rolls,'' she said. ``I think it needs to be studied for a little longer time.''

Most City Council members would like to wait to make a decision until other scenarios are looked at. City Council members have the final say on what happens to the site, which, until this week, was being used for a temporary ice skating rink.

Council members also have the final say on whether the land will be used as a temporary parking lot. The Virginia Beach Planning and Zoning Commission will decide that issue on Wednesday, and if it agrees, would send the recommendation to council.

``It's very simple to say park or parking lot,'' said Councilman Harold Heischober. ``That's not the issue. Before you take taxpayers' investment (and transform it into a park), you have to look at all options.''

That investment is about $4 million, according to Mark Wawner, the city's project development manager. The development authority, an arm of the City Council, purchased the acre for $3.5 million in 1988, and has paid an additional $500,000 in interest.

Most council members agreed the parking lot - up to 130 spaces - would be temporary.

Vice Mayor William D. Sessoms thinks a compromise could be reached. Most of the land could be sold for commercial use, while maintaining the remainder as open space, he said.

``I think there are ways that we can make this happen,'' Sessoms said. ``There's a lot of money invested in that piece of property. Let's use it as a parking lot while we get our act together so whatever we do will be quality.''

The land was initially purchased for a 500-room conference hotel and a retail center, which would have been similar to Norfolk's Waterside. But the city abandoned those plans when it couldn't acquire the land across the street for the hotel, Wawner said. At the same time, the hotel industry went into a major recession.

Since then, it's been used for parking, carnivals and most recently as the home of Starship Ice, a portable skating rink, which had a lease that expired this week.

Wawner said the economy has improved and the city is entertaining several ideas for the property.

One idea, which the resort advisory commission also supports, would be to eventually build a pier containing upscale shops and restaurants.

C. Cheyney Cole Jr., the commission's chairman, said Friday that the advisory group understands the city's need to market the property for commercial use. But, he said: ``There's a huge amount of public support for open space there.''< If economic development officials don't have a ``home run'' for the property soon, they should step away from the plate and allow the site to be used for open space, Cole said.

At that spot, where Laskin Road meets 31st Street, an open area would provide a nice gateway to the Oceanfront, Cole said.

``The lot would be better used as an open vista to the sea, rather than another eight- or nine-story building,'' he said.

Despite concerns by some Beach officials that the city opt for a tax- producing alternative for the site, Councilman Louis R. Jones said he doesn't think the city will be able to recoup the money its put into it.

``The property, in my opinion, is not worth that much money,'' said Jones. ``The bottom line is the city paid too much money for the property anyway. To try to get all that money back is going to be a fruitless cause. The real issue is how can it best be used for the benefit of the city and the citizens.'' ILLUSTRATION: Photo

CHARLIE MEADS/The Virginian-Pilot

Maury Jackson, Virginia Beach civic activist, wants to convert the

acre of Oceanfront land at 31st Street into a public park. Others

want to make money off the lot. The city purchased the land in 1988

for $3.5 million, and has paid $500,000 in interest since.

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