LA CROSSE (AP) – A development company has agreed to pay $2.75 million in damages for falling short of a promise to create 2,000 jobs with a three-building complex in La Crosse.
The La Cross Tribune reported that after agreeing to pay the damages, Weber Holdings was awarded purchase rights to a city-owned parking lot that may become the site of a fourth building.
As part of its agreement with the city, the company headed by Logistics Health Inc. chief executive Don Weber was supposed to create the new jobs at the Riverside Center complex by Jan. 1, 2013. But the city says that to date, 1,400 to 1,800 jobs have been created.
Mayor Tim Kabat said a new agreement will extend the deadline to Jan. 1, 2016.
“As far as I’m concerned, he’s a man of integrity,” Kabat said of Weber. “He stepped up and said, ‘Yes, I’ll pay a penalty.’ . He took it very seriously and was being true to his word.”
Weber’s company will pay $750,000 for the parking lot for a possible fourth building.
A separate development agreement will have to be negotiated before any construction would start.