UPDATED: This is why things need to come out, so we can clear up any confusion. Jim’s brother DOES NOT own the property, but does lease the West Sioux building that is on the property. From a commenter on BID Facebook page;
Just as a point of clarification, the owners of this property, that I am the listing broker for, are not Entenmans. They are a couple from Canistota who bought the property from J&L Storage, Inc., back in April of 2001. The current owners have made a number of improvements to the property since buying it in 2001. West Sioux Exhaust is a tenant in one of the buildings on this site, and not the owner of the building. There are also several other tenants who are leasing space in this building from my clients. My clients are certainly hoping that the events center may create additional interest in the property, but they have nothing to do with the events center or the vote on it (since they live in Canistota, they could not even vote on the issue), and the asking price was arrived at based on the capitalization rate for the rental income currently being generated from the property.
Hildebrand has proven (even if the ethics commission could not) that Entenman truly does have a conflict of interest with property adjacent to the new Events Center;
And who can forget this heartwarming story on Stormland-TV News;
Section 12.5-30 of Sioux Falls City Ordinance say that city officials shall not:
“Participate or vote in any other matters in which they may have a direct or indirect financial interest, or in which an immediate family member has a direct or indirect financial interest.”
I really do love this stuff comes out on blogs before comes out on traditional media.
I do wonder though if KELO did have the whole story but the editors got involved? I guess we will never know.
What conflict of interest? Merely an exercise in “Entenman” Domain, or so I would guess…
I say we need to stand up against people like this and try to stop what we know is going on here. Seriously, there is proof but they still think they have the wool pulled over our eyes. I will not stand for this at all.
Was just thinking about this last night after KELO chatted about the “hot properties” going up for sale in Burnside.
How many people in this city knew Diamond Jim had the old HD shop in the Burnside area, then built one across the street? No one looked into if he still owned the properties before believing he would not have any conflict of interest? How easy is it to put a property into someone elses name, say….a family member? I had dealing with Diamond Jim back in those days, and I did not trust him then and still do not.
Oh you know KELO was aware of this, but they LOVVVVVVE Diamond Jim!
Here is the question…. what was this property / business worth a year ago or two years ago?
If this property / business was worth $1.5M a year ago and is being listed for $1.5M then where is the conflict? If someone REALLY wants to profit from land near the new EC, they aren’t going to sell the land before construction or development has even begun. It is far too early to see any true benefits.
If land values in that area do rise (and that is a big IF), it won’t happen until people actually see the first steel beams hoisted in place. Besides if this was just about land values, why not relocate the business elsewhere and just sell off the land? Sorry guys, but the smoke in this case doesn’t lead to fire…. it just leads to steam venting from Hilde’s ears.
I have no reason to defend Entenman here – but unless you have more than a coincidence this is just silly. I’ll agree he should have stepped away from any vote on the issue if for no other reason than the appearance of a conflict, but his brother selling a business is nowhere near “proof” that this was in fact a conflict that will benefit Entenman or his family in any way.
Also, when Hilde says “… which he just listed for sale because the events center is being build near his business” he is reaching. Steve has no idea why this business is being sold. He is making a huge assumption and one which honestly doesn’t pass the smell test. Again, if this was just about taking advantage of rising property values, it (1) wouldn’t involve a sale of a business but rather just the land, and (2) wouldn’t happen for quite some time until the EC is either built… or at the very least under construction.
I just see some sour grapes here. Show me how Entenman actually profitted and then you might have something, but if the books show the business is worth that much with or without the EC this is a non-starter.
Just a clarification, they are selling the building as a leased investment…not the business or businesses in it.
Also, there are some other properties for sale around the EC. Some are asking more now, some like the big tire distributor building to the Southeast have reduced their prices.
Thanks Sy – duly noted. So the question remains what the property is actually worth today and what it might have been worth a year ago.
As you indicated some properties are asking more and some have dropped… but of course asking price and selling price are two different things.
I still believe it is far too early to truly benefit from rising property values (if they rise at all). I think many/most people agree there will be minimal development around the Arena site even after the EC is built, so it stands to reason the land won’t instantly be worth more money. Maybe one day it will be, but considering it hasn’t even broken ground yet I’d chalk this up to a conspiracy.
Points taken Craig – but you have to admit with the way this was handled and the comments that were made by Entenman, and now the sudden “for sale” sign, it seems a bit too convenient.
Direct quote – “an immediate family member has a direct or indirect financial interest.”
It doesn’t say financial GAIN or LOSS. It’s a financial interest. If the property is more marketable than it was before then that’s a financial interest. Even if it isn’t breaking the letter of the law (which it might be) it is most certainly breaking the spirit of the law.
There seems to be some clarification necessary on who owns this property still. That needs to be clarified for sure.
What did it appraise for? What is tax assessed value? What is market value? Both before and after the vote. If there is an increase in any of em, I think Boss Hog had a conflict.
You should be able to type the address in to the city website to see the taxable value, correct?
AT: ” Direct quote – “an immediate family member has a direct or indirect financial interest.†”
I’m sure you realize the reason Entenman was found to not have a conflict of interest by the ethics board correct? This was due in part because there were no firm plans on what might happen at McCart fields, and based upon that the distance between the EC and his land was great enough that there is no way to know what might happen as far as development right?
I again will concede he should have stepped away, but the bottom line is there is no financial interest merely because you say there is nor is there a financial interest or conflict of interest merely because Hilde says there is.
Do anyone have information which shows the property has increased in value? Doesn’t appear so.
Does anyone else know what this property was worth five years, three years, or one year ago? If so they haven’t spoken up.
Does anyone have any real estate friends who would be able to provide data on what property in that area has sold for over the past few years for comparison sake?
There is just far too many unknowns for people to leap to the unsupportable statement that Entenman is reaping rewards from his vote. Also, the argument can be made that any large scale project within city limits will help to increase property values everywhere, so how far away does property need to be from a project before you will concede it isn’t a conflict? Five blocks? Ten? Is a half mile of distance sufficient?
The bottom line is before someone makes a bold statement claiming there is “proof” that Entenman has a conflict of interest they need to do their homework. Clearly that has not happened and the burden of proof would be upon those who make such claims. I know some here don’t want to hear it, but Hilde needs to do his homework before making such accusations.
craig,
here is what the real estate listing says about the property.
” This property is currently generating good income and has tremendous development potential as it is located within visual and walking distance from the new Sioux Falls Events Center, Arena and Howard Wood Field.”
Property details for: 2110 W BURNSIDE
Property Information:
Street Address:2110 W BURNSIDE ST
Legal Description:W1/2 VAC HOLLY AVE ADJ & LOT 6 (EX E83′) & LOT 7(EX N25′ E83′) & ALL
Parcel Number:24624
School District Code:495
Date Structure was Built:1961
Billing Number:22374
Total Property Size:26267.00
Township:SIOUX FALLS CITY
Valuations: Assessment Year 2011
Agricultural Land Value:$0.00
Non-Agricultural Land Value:$52,534.00
Agricultural Building Value:$0.00
Non-Agricultural Building Value:$354,952.00
Total value $407,486.
Any clue why the property owners are listed as “John and Nina Lambertz”?
They are the owners (as I originally thought) and David leases space from them (See the update above).
Is West Sioux Furniture connected with these businesses, too? Just wondering. A few years ago somebody told me that there was consignment craft store in part of a building owned by the husband of the lady starting the store. I never checked into the exact location because at the time I was working and didn’t have time to mess around trying to sell crafts. Does anybody know if there is something like that in that area?
I think this is all kind of silly for a number of reasons;
1) I do want to say that Hildy’s initial complaint was justified, Diamond Jim owning property by the EC (for parking space) is a conflict of interest.
2) When I was told about this morning, I did a quick search and found that NO Entenman owned the property, but that they did own a leased biz on the property.
3) Even more weird is the the relationship between said relatives (I will stay out of that one).
4) Joan, let it go.
I would just like to find craft consignment store. That is all I was getting at.
Oh, yeah, they moved for awhile to the same strip mall as Laibela and Black Sheep Coffee, but I don’t think they are there anymore. Not sure where they disappeared to. Funny story about the place, an ex-girlfriend gave one of my paintings to the place (it was in a 2nd-Hand antique frame) and one of my friends picked it up). I still laugh about that.