PALACIOS òòò½ÊÓƵ” Demolition may no longer be in the cards for a historic hotel.
The sales contract between the estate of hotel owner Jack Harold Findley and the Corpus Christi-based Ed Rachal Foundation, which included a demolition clause, expired Aug. 31, a lawyer confirmed Tuesday.
òòò½ÊÓƵœAll offers should now be considered,òòò½ÊÓƵ said attorney John Griffin, who represents a group of hotel employees who believe Findleyòòò½ÊÓƵ™s estate failed to properly maintain the hotel following his death.
The Rachal Foundation declined to comment. The foundation had offered $1.4 million to purchase the hotel, according to court documents.
Findley died without signing a will that would have instructed his estate to preserve the hotel. Most of Findleyòòò½ÊÓƵ™s descendants, including estate administrator Annie Findley Jones, live in Alabama.
Griffin said the contactòòò½ÊÓƵ™s expiration was a òòò½ÊÓƵœbig positive stepòòò½ÊÓƵ for the hotelòòò½ÊÓƵ™s future.
òòò½ÊÓƵœWhoever offers to buy the hotel next can preserve its integrity, not put it under the threat of demolition,òòò½ÊÓƵ Griffin said. òòò½ÊÓƵœIt belongs on the bayfront.òòò½ÊÓƵ
At least one other offer is on the table. Houston-based investor Nick Herman, representing Yaalx Realty Group, plans to submit a $1.65 million bid. Herman said Tuesday that he wants to renovate the hotel, rather than demolish it.
òòò½ÊÓƵœIòòò½ÊÓƵ™m optimistic that we can work out something,òòò½ÊÓƵ said Herman, who was not sure if the estate will receive other offers.
If Yaalx purchases the hotel, Herman said he would partner with other organizations to rehabilitate the structure, then hire a hotel operator.
Herman estimated the renovations could cost around $5 million. He said he went inside the hotel after it closed in 2022 and found it to be a òòò½ÊÓƵœmess.òòò½ÊÓƵ
The time spent dormant in the sun is a problem for the Luther, Herman said.
òòò½ÊÓƵœThe heat is killing the hotel,òòò½ÊÓƵ he said. òòò½ÊÓƵœWe would have to install new fans.òòò½ÊÓƵ
Edith Gower, co-chair of the Palacios Preservation Association, which also sued the Findley estate, said she hopes the new development means that the Lutheròòò½ÊÓƵ™s future will be determined sooner than previously expected. A hearing over the fate of the hotelòòò½ÊÓƵ™s restraining order was set for Feb. 12.
òòò½ÊÓƵœWe would lobby for any potential buyer who promises not to tear down the Luther,òòò½ÊÓƵ Gower said.
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