Tunnel access issue leads to lawsuit
Property owner asks for a halt to the demolition of the Chronicle’s old building
A downtown property owner is taking a neighbor to court over demolition plans it says will impede its ability to connect into the downtown tunnel system.
Theater Square LP, an entity affiliated with the Linbeck construction family, filed a lawsuit against an entity controlled by the Hines development firm, owner of the former Houston Chronicle building at 801 Texas, and Hearst Newspapers, the Chronicle’s parent company.
Hearst sold its downtown building to Hines last year, and the Houston developer is planning to tear it down. The Linbeck entity is asking a judge to stop the demolition, which it says will affect its ability to connect a future building to a portion of the tunnel system that currently ends beneath 801 Texas. Linbeck’s property is directly north of the former Chronicle site. It is bounded by Preston, Prairie, Milam and Travis.
Hines declined to comment. Hearst officials were unavailable for comment.
In the lawsuit, the Linbeck entity said it has an agreement stating that it owns easements through the basement of the former Chronicle building for purposes of constructing a tunnel. The agreement, it said, was put in place in late 2007 with Hearst, and it remains binding with subsequent owners.
Since the sale, Hines has “disregarded” the easement rights and “induced Hearst to breach its obligations” by denying access and failing to help Linbeck obtain permits and related rights to build the tunnel as part of the agreement, according to the suit filed last week in state district court.
It also said the companies intentionally interfered with its rights by “unreasonably denying, delaying and conditioning” access to its easement area.
The Linbeck entity said it is in the initial phase of developing its site, which will include a retail and parking structure on the southern half of the block. The city has approved its foundation permit.
The Linbeck entity wants a court to keep Hines from demolishing or damaging the passageways or basement areas of the Chronicle building. The company is also seeking damages and attorney fees.