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'The bid was unresponsive' : Beaumont City Council rejects only bid for downtown AT&T building

Assistant Beaumont City Manager Chris Boone says they are planning to make a decision in the next three to four months about the future of the AT&T building.

BEAUMONT, Texas — The overall battle for the downtown AT&T building started more than a year ago, and now, the fate of the site could be sealed.

The city rejected the only bid it received for the building calling it a "way lowball offer."

The city lost the building in a 2019 online auction when Tom Flanagan bought it for more than $2 million. The auction for the building started February 11, 2019, and ended February 13, 2019.

Related: Beaumont City Council votes 6-1 to buy AT&T building

In 2021, the city voted 6 - 1 to purchase the building located at 555 Main Street.

Officials bought the building from Flanagan for $2.8 million. The recently rejected bid offered to buy it for $827,000.

"We felt like the bid was unresponsive in terms of what we asked for in terms of the RPF, in terms of background budget timeline, things like that," Assistant Beaumont City Manager Chris Boone said. 

On July 16, 2021, the city released images from their plans for possible uses of the space where the AT&T building sits. In early April of 2022, Beaumont City Council members agreed to demolish the building and move forward with their riverfront development plans.

RELATED: City of Beaumont expected to approve contract for asbestos abatement of former AT&T building

A last-minute interest from an outside investor in early May of 2022 made the council reevaluate its original plans to demolish the building. Beaumont City Councilman Mike Getz previously told 12News that a private investor had expressed interest in buying the building.

A north Texas investor's last-minute pitch for the downtown building in June 2022 officially put demolition plans on hold. Surveyor Selim Kiralp submitted a written offer to the City of Beaumont to purchase the AT&T building for $3 million.

In July 2022, Beaumont City Council Members voted to adjust a clause that could have saved the building from demolition and pave the way for new developers to step in. The vote gave the city the green light to solicit bids from potential developers.

The city officially issued a proposals request for the purchase and redevelopment of the former AT&T building in October 2022.

Kiralp proposed buying the building and turning it into luxury apartments, with a public gym and rooftop bar. 

12News previously spoke with Beaumont Mayor Robin Mouton about the future of the building and she says they still plan to use it to bring life to downtown. 

"From day one, that AT&T has been a priority of the city. Right now, we're positively totally looking at a conference hotel," Mouton said 

To make that conference hotel happen, the city will have to look for some outside help. 

"We are working with the legislature to try to get a bill passed in Austin this session to try to help perhaps finance some improvements to the civic center, convention center or perhaps a hotel," Boone said. "So, we're in the midst of all that right now."

Boone says they are planning to make a decision in the next three to four months about downtown development and the future of the AT&T building.

Also on 12NewsNow.com .... 

   



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