Thursday, July 9, 2009

Newark developer Tony Gomes

I interviewed Tony Gomes yesterday, after the developer agreed to drop three lawsuits he filed against the Newark Housing Authority (http://www.nj.com/news/index.ssf/2009/07/newark_developer_drops_lawsuit.html). Tony sued about three years ago after the authority refused to take possession of a 56-unit development he built, because of alleged deficiencies. He said he wasn't happy with the settlement, which paid him what he was promised, $8.7 million, because it had cost him much more money to build the complex and fight the authority. He said he originally wanted more than $18 million in damages, but agreed to settle because he couldn't afford the legal fight any more. Gomes said he's broke, and that he'll use the settlement to pay off his loans. The authority, meanwhile, will likely sink another $3 million to address its concerns, including design flaws in the construction, and get the units occupied by next year.
Gomes was very open to discussing the situation. He's Angolan, in his 50s, and has kept his office in Newark for three decades. He said his name meant, "quality," before the authority balked at accepting the development. "Now I just want my reputation back," he told me.
The Star-Ledger did do an investigation that found Gomes, the authority and city had issues going into the project. Gomes also had then, and still has a friend in state Sen. Ron Rice (D-Essex), who used to work for the developer, and continued working for him after he became deputy mayor under Sharpe James. Rice said he didn't see a conflict, but quit his job as a vice president in Gomes's company because people had expressed concerns. Rice also said his relationship with Gomes was used as a political weapon against him when he ran for mayor in 2006, and for re-election to the senate in the following year. Rice said the Gomes project ran into difficulties because of his relationship to the developer. "Tony was hurt because he's my friend," Rice said.
Unfortunately, with this story on my plate yesterday, and a Sunday story in the works, I couldn't attend the youth tribute to Michael Jackson at Military Park last night (http://www.nj.com/newark/index.ssf/2009/07/newark_idol_returns_with_tribu.html).

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