"He never showed us the ability to finance," says Philbin. While the developer has a roster of international boutique hotels that initially offset fears that his $16 million bid was not financially prudent, DND ultimately tired of waiting for the deal to crystalize. The final straw came when Tatlici said he wanted his permits in place before pursuing the financing, says Philbin. "I think his money is all tied up in other hotel deals," says Philbin, adding that Tatlici never mentioned the permitting until the 11th hour of negotiations. Rather than giving him more time, DND has decided to reopen the process to four other developers who initially submitted bids for the seven-story, 76-year-old building. Efforts to contact Tatlici through his attorney were unsuccessful.

Although DND official Charlotte Golar-Ritchie said earlier this year that Tatlici's plan was "head-and-shoulders above the rest," Philbin says the agency decided against reissuing another request for proposals. Not only are the other ideas viable concepts, he says, starting from scratch could create further delays in the process. "We want to see who can get started right away," says Philbin, although the amount each developer is willing to pay will be another factor weighed in selecting a winner.

With proceeds from the sale targeted for badly needed affordable housing in the city, the DND is only giving the four remaining finalists until Tuesday to resubmit their proposals. The committee overseeing the sale will then meet on Wednesday, with a final decision anticipated within the next 30 days.