SOUTH BEND — New questions surrounding the developer who wants to buy
Chase Tower have given city officials second thoughts about spending
tax dollars on a deal to renovate the building.
The South Bend Common Council convened a special meeting Monday to
decide whether to appropriate $5.7 million to help Chicago-area
hotelier Satish “Sunny” Gabhawala rehabilitate the 25-story building.
But, at the beginning of the meeting, Mayor Stephen Luecke asked the
council to table the matter until January.
Council President Derek Dieter, D-1st, had distributed a packet of
information about Gabhawala to council members earlier Monday,
revealing that one of his companies has a hotel in foreclosure in
Harvey, Ill., and owes nearly $135,000 in taxes on the property.
Luecke said city officials have had good discussions with Gabhawala
about the Chase Tower project, but there are more questions he needs
to answer. The council’s next meeting, Jan. 9, is in three weeks,
which will provide Gabhawala time to answer those questions.
“We don’t want to jump to any conclusions,” the mayor said, “so we
felt it made sense to allow some additional time for further