Ken Smith/Turnagain Times
Whittier Manor is a 100 unit condominium building that is at the center of proposed construction projects by the Alaska Railroad. A rail spur is being built at the location of a monument on Depot Road. Many condo owners feel that when their lease with the railroad is up in 2019, the building will be demolished, but railroad officials say that is not in their plans.
By Ken Smith
Turnagain Times
The Alaska Railroad Corporation and Alaska West, a subsidiary of Lynden Inc., are planning extensive projects to upgrade and move facilities and build new rail spurs at the Whittier rail yard.
Railroad officials say the projects are necessary to expedite off-loading and on-loading of shipping containers and rail freight.
A multitude of projects are planned with much of Phase I taking place on the docks away from the public eye. However, Phase II will involve construction projects around Whittier Manor, a condo building with 100 units. Aside from Begich Towers, the Manor is the only other residential building in the city of 175 year-round residents.
A public work session was held in Whittier Sept. 9 with representatives from the railroad and Alaska West presenting an overview of the proposed projects.
The meeting was scheduled, in part, to quell concerns that there has been a lack of public information and discourse. For most in attendance, it was their first look at the railroad projects.
“I’ve been on the council for nine months, and I’ve never heard anything about this railroad/Lynden project until two months ago in the executive session,” said Whittier City Councilman Shannon Tolman.
The city council held an executive session at a special meeting June 29 to hear more details about the railroad’s proposed projects.
After the executive session, the council went back into regular session. They began with a vote on whether city Mayor Lester Lunceford had a conflict of interest representing the city in business matters related to the railroad. The Mayor was asked earlier in the meeting if he worked for the Alaska Railroad, and he answered that he works for the railroad as a dock manager.
The motion failed with a split vote of 3-3.
After the vote, councilman Juan Cardenas addressed Lunceford about Whittier Manor. The following interaction between the two men was documented in the meeting minutes.
“We’re in an ugly spot, Lester.” said Cardenas. “I’m not going to give up the Whittier Manor for this deal. I’m not going to sacrifice those people, and I’ll go on record and say it that way.”
“I’m not sacrificing anything either,” responded Lunceford.
“You’re sacrificing their quality of life by pushing this deal through with the Alaska Railroad and Lynden,” said Cardenas.
“Why don’t we tell the Alaska Railroad to dig up all of the railroad tracks just beyond the Whittier Manor,” said Lunceford.
Cardenas went on to state that he would like the railroad and Lynden to give the city an alternative to their plan or put it to the people to vote on, since it was impacting them.
The railroad operates on land it owns and does not need the approval of the city council for its construction projects. The railroad is the majority landowner in Whittier with a total of 291 acres of which it leases 160 acres to the city.
Whittier Manor was built in the mid-50’s. Since that time it has been leasing the land, and the lease expires in 2019.
For some in the community, the pervading feeling is that Whittier Manor is a deteriorating building that should be torn down.
“I think they’ll tear the manor down,” said Larry Gilman, who served on the city council in 1995. “I think it’s a very old building. The roofs sagging, the foundations sinking. I think it will be condemned.”
Gilman also believes the matter can be resolved with the Alaska Railroad buying out the condo owners.
“I think it will be a fair trade with them paying for the value of the condos. That’s my opinion,” he said.
Gilman is one of two landowners with property within the railroad’s proposed project areas. Gilman owns property near Smitty’s Cove along with former city councilman Phil Johnson.
Johnson sold his property a month ago for around $460,000, a source told the Times, and originally paid $140,000 for three lots totaling 1.5 acres.
Gilman said he closed on his property three months ago. He said it was a long wait after entering into a purchase and sale agreement with the city 12 years ago. He sold his 1.5-acre property last month for $800,000 after paying $97,000, but said he also had to return a portion of that money back to the city.
“When it was all said and done, the city of Whittier squeezed me for $200,000,” he said.
Gilman owns Custom Marine Services, a boat maintenance repair business that has been in Whittier for 25 years. He is now in the process of moving his offices next to the Anchor Inn, and the railroad expects use the property to build a container forklift maintenance facility (60-feet by 80-feet).
As for the Whittier condo owners, their sentiment is presently one of distrust and uncertainty; they don’t’ trust the railroad and they fear losing their homes and their investment.
“I bought my condo in Whittier Manor in 1994,” said Bill Rome during the work session. “Back then it was a mess. A lot of people put in a lot of sweat to turn that place around…We’ve had a lot of new people come in and buy condos, and a lot of time, sweat and money. I just want you to know what this is doing to their property value. We need to do everything possible to minimize the impact on this building. This is Whittier there’s not many places to live.”
But the most pressing question by the condo owners was whether or not Whittier Manor would be torn down when the lease expired.
“We don’t have any intention to demolish the condos,” said Michael Fretwell, Manager of Land Services for the Alaska Railroad, who spoke to the audience and answered questions at the work session. Fretwell said the city holds the master lease and the condo owners have to go to the city and arrange for a new lease.
A week after the work session, the railroad has already started working on Phase I of the project, which when fully completed will include installing one railroad spur at the high bay forklift shelter, moving railroad offices for Northland Services and Alaska West 125 feet closer to the water, and building one rail spur through the current location of the container forklift.
Phase II is tentatively scheduled to begin next spring and involves construction projects around the Whittier Manor condominiums. Fretwell stressed that the projects are still very tentative.
Plans call for drilling and blasting of a cliff beneath the condos, and blocking off Depot Road, which is located in front of the cliff. They will also build a security fence around Depot Road and repave Blackstone Road, extending it to Smitty’s Cove and eliminating Hill Street, which connects Blackstone and Depot Road. A second rail spur is also in the plans to be built along Depot Road, which will allow the railroad to be able to bring 20 cars at a time instead of five at a time.
“That second phase is what’s going to impact up here (the condos),” Fretwell told the audience as he pointed to a map of the proposed projects for Phase II. “A new yard track is going to be built and a future ramp track to Smitty’s. Cove.”
Phase II and the noise generated during construction is the greatest concern to the condo owners, something they reiterated at the work session.
“During all that ruckus (road work) how are we going to get in and out of Whittier Manor?” asked Suzanne Eusden. “It’s like trapping us in with all this industrial stuff.”
“When the freight came back, we got used to living with it,” said Joe Grey. “That’s not bad, but having one under my windows, come on guys. I’ve been here for a long time and there’s a lot of noise, but under my window! I’m really worried about access to the building and the safety factor, that’s what I’m really worried about. My problem is with Depot Road, and I think you guys have to go back to the plan. How long range for the Depot road project?”
“I’m not sure if that’s planned for next year, but I think they’d like to do it sooner than later.” responded Fretwell. “What’s happened is we’ve gone from a box car type rail car to a flat car and we have to off-load and reload, now we come down here we have three different crews. That’s what’s driving this, having to move cars around and back and forth.”
Fretwell assured the audience that nothing in the proposed projects is concrete at this time. “That’s why were’ getting your input here,” he told them.
But the comments seemed to fall on deaf ears, and one final sentiment seemed to reaffirm the division between the railroad and the residents of Whittier Manor.
“Ultimately we know you want us out when our lease is done,” said Suzanne Eusden. “It’s quite obvious.”
One of the last people to speak at the work session was city councilman Peter Denmark, who listened quietly throughout the meeting.
“There’s always been an uneasy relationship between Whittier and its heavy industrial neighbors” said Denmark. “There is not financial benefit, there is not taxes paid by the railroad. I’m hoping the result of this session is longer more forward thinking plans. There is a future of a municipality at stake here as well.”
