County readying wrecking ball for Grand Palace

The Grand Palace may be standing just two weeks longer.

County officials decided last month to invoke eminent domain to take over the long-closed nightclub property at 617 Brooks St. to make room for ambulance facilities.

At its meeting on Friday, the Kanawha County Emergency Ambulance Authority board voted to go to court for permission to start the demolition.

The building's owner, Charleston businessman Hershel Layne, has not responded to county offers to negotiate a sale price, said Ambulance Authority Director Joe Lynch.

"We've been trying since last month to come up with some kind of agreement, but he always delays," Lynch said. "He never showed any interest -- he never even met with us."

Last week, the authority's lawyer sent a letter to Layne warning him that he must contact the ambulance authority by the end of business on Monday or the authority would file a condemnation suit in Kanawha County Circuit Court, Lynch said.

The suit would give the county immediate ownership of the property, and the demolition would follow in about 10 days, after state and federal environmental regulators have time to inspect the premises, Lynch said.

A check for $140,000 -- the price for which the county had the property independently appraised -- would be deposited in an escrow account to be claimed by Layne.

Layne's lawyer, former Kanawha County prosecutor Mike Clifford, said he will fight for more money.

"That's certainly something they can attempt to do, but we will defend the case vigorously," Clifford said.

"The appraised value of $140,000... is ridiculous," he added, in light of the fact that Layne paid $200,000 for the property 20 years ago and it sits just across Brooks Street from the recently built Appalachian Power Park.

The property is taxed at an assessed value of $164,300.

For years, the Palace was Charleston's biggest gay bar. It has been closed, but it's not clear how long. Layne has said he closed it about one and a half years ago. But Charleston Mayor Danny Jones, who supports the property's demolition, said it has been closed in the three years since he has been mayor.

Layne, who announced last month that he is running for Charleston mayor next year, has not been able to have his own appraisal done because he has been "extremely ill," Clifford said.

Clifford said he intended to meet with the authority's lawyers on Monday to start negotiating a fair price.

Layne could not be reached for comment.

Lynch said the county's contractor has already done site work at the Palace. But the authority may hire the city's contractor if it could do the job for less, he said.

Once the Palace building is torn down, the land will be used for a parking lot for authority offices, which are to either side, Lynch said. Eventually, the authority intends to build on the land, he said.