A developer says the city of Jackson has reneged on a promise to pay $500,000 to assist in the redevelopment of the Plaza Building in downtown Jackson.
The about $7 million project was unveiled in 2006, but the developer says Jackson never provided the $500,000.
Developer Mike Peters said in a breach of contract lawsuit that a city official told him funds would be paid in two equal installments, one in fiscal 2006 and the remaining $250,000 in fiscal 2007.
Peters said city officials indicated the money was to come from federal Community Development Block Grant funds.
But, apparently, the city never received the federal money.
Despite the city not receiving the federal money, “representatives of the city, including Mayor Frank Melton, continued to assure Mr. Peters that a solution would be found whereby Downtown Plaza would be provided with the promised funding,” according to the complaint in Hinds County Circuit Court.
Magnolia Tribune
