The Residences at The Ritz-Carlton (Philadelphia) - History - Feud

Feud

Looking for a new headquarters Comcast asked Arden Group and Mariner Commercial Properties to work together and combine the properties into one building. The two developers briefly held discussions about combining the two sites, but by 2001 no agreement was reached and both developers had decided to move on with their own towers. As they sought to build competing condominium towers, the relationship between the two developers soon turned into a feud between the firm's lead partners, Craig Spencer of Arden Group and Tim Mahoney of Mariner Commercial Properties. In 2003 Mahoney received permission from the City Zoning Board of Adjustment to build a 50-story residential tower at the 1441 Chestnut Street site. At the zoning hearing Spencer attempted to block approval by saying the building was too tall and that it would damage his site by blocking views and casting shadows. He also said the tower was "snubbing his nose at the traditional zone of respect around City Hall." Spencer filed a lawsuit to block construction of the building and a Court of Common Pleas ruled that the Zoning Board erred in approving 1441 Chestnut Street. Mariner appealed the ruling.

In 2004 Spencer and Mahoney announced that the feud was over and that plans for their towers would move forward. Spencer announced that Arden would build a 740 feet (230 m), 57-story luxury condominium tower called The Residences at The Ritz-Carlton. The Residences at The Ritz-Carlton would be more than 100 feet (30 m) taller than the skyscraper Spencer criticized as too tall in 2003. Spencer said "To develop a world-class building, you need to get people high up in the air."

However the feud quickly restarted as Mahoney criticized the design of The Residences at The Ritz-Carlton's lower floors. The bulky floors were designed to contain a grand ballroom, health club, and 540-car parking garage. Mahoney says the design would unnecessarily lower the values of the condominiums on 21 of the lower floors of his building. Further redesigns to both buildings prevented any condominiums from facing a garage. However the feud continued with lively arguments to block each other plans in courtrooms and Philadelphia city agencies. Chairman of the zoning board, David L. Auspitz, called the feud the "Super Bowl of zoning battles".

In July 2005, Spencer announced a redesign of The Residences at The Ritz-Carlton shrinking the building from 57 floors to 44 floors. Among the facilities removed in the redesign were the ballroom and some of the parking. Afraid the high-rise would miss the city's hot condominium market, the redesign sidestepped the legal challenges because it would not need special approval by the Zoning Board to exceed a certain height. Mahoney vowed to continue fighting the building saying "If needs so much as a curb-cut permit, we're going to block it." In March 2009, Mahoney and Spencer reached an agreement that ended all legal challenges between the buildings. Now at 48 stories, The Residences at The Ritz-Carlton was far enough from Mahoney's 1441 Chestnut Street that 1441 Chestnut Street had views of Philadelphia City Hall, while the 58-story 1441 Chestnut Street upper portion was redesigned in a way that allowed views on the south side of The Residences at The Ritz-Carlton.