CAROLINA BEACH, NC (WECT) – Weeks of discussion, meetings and negotiation proved to be too much for Carolina Beach Town Council's top choice to manage a couple of hotels on town-owned property.
David Pierce of Surfside Management told council members at Tuesday night's meeting that the hotels were no longer the same ones he offered to manage weeks ago.
"The slow process has hurt the property and the town," said Pierce.
The hotels' current management contract expires Wednesday. Pierce said the lapse in time would hurt business and any interested companies.
At the request of some council members, Pierce worked through the weekend to put the finishing touches to the management contract. But something changed by Tuesday, when Pierce thanked the town for the opportunity and retracted Surfside Management's offer.
Council approved reimbursing Pierce up to $1000 for his weekend effort to finish the deal with Surfside Management.
The company was included in two of six options for the council to consider Tuesday night. After Pierce's withdrawal and some discussion, council members decided on two options. One is to search for a new management company, and the other sets a flat management contract with a person, company or entity, which would operate at a loss once debt, taxes and insurance is included.
The options now move to the town's non-profit CBP3. As that board considers new management, council members and town staff will set a meeting with BB&T in hopes of renegotiating the town's loan for the initial $4.3 million purchase of the property and hotels.