Sat, Aug 30, 2008

Opinion

County passed on land deal

Tucson, Arizona | Published: 04.13.2008
The debate over Rosemont wouldn't be taking place had Pima County accepted an invitation in January 2005 to purchase the mine property for $11.5 million.
That may seem like a bargain now that a copper mine is being proposed for the 2,760-acre site, but three years ago county officials balked at the price because the development company that owned the land had bought it six months earlier for $4.5 million.
The company, Triangle Ventures LLC, is co-owned by Yoram Levy, the son-in-law of prominent Tucson developer Donald Diamond.
Critics of the land offer expressed concern that Levy and his partners would nearly triple their investment on a piece of land they had held for such a short time.
A former Star columnist opined that the county and the developers should negotiate a more reasonable — and politically acceptable — price.
According to news reports, critics were also skeptical that a mine would ever be approved for the Rosemont property because previous mining companies failed to open a mine for various reasons, including public opposition.
The county passed on the land deal and Augusta Resource Corporation announced in June 2005 that it had bought the property for $20.8 million, giving Triangle Ventures a fivefold profit in just over a year.
It's probably safe to say the county and environmental activists wish they could go back to January 2005 and reconsider the original land offer.