Developers Charge City Reneged on Loan

ORLANDO-Church Street Station developers Robert L. Kling and Louis J. Pearlman charge city officials have breached a $1.5-million loan contract by not paying them the first $750,000 due on a construction loan at the seven-acre former entertainment hub Downtown.

“We have placed the city in default and if push comes to shove, you may say we are ready to push,” Kling tells GlobeSt.com. The city, likewise, has placed Kling and Pearlman in default and maintains the developers breached their contract by not having the renovations completed by Dec. 31.

Kling, president of FF South & Co., tells GlobeSt.com the 28-year-old, 280,000-sf property is 90% leased; Church Street Station itself is 100% leased; the renovations are about 70% completed; and that the entire redevelopment is expected to be completed by April 1. He says the contract gives the developers 45 additional days to finish the job.