ST. LOUIS — City officials are moving to launch eminent domain proceedings against the absentee owner of downtown’s Railway Exchange Building.
Alderwoman Cara Spencer filed legislation on Wednesday that would enable City Hall to take possession of the historic, 21-story structure that St. Louis officials have condemned as a threat to public safety.
The bill comes two weeks after the Post-Dispatch reported that Hudson Holdings, the Florida-based owner of the Railway building, had stopped paying for security that enabled more trespassers to break into the property.
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“The issue is very clear and has become progressively worse,†said Spencer, who represents Downtown St. Louis. “We’re serious about this, and we are willing to move forward.â€
The 1.2 million-square-foot building — once Famous-Barr’s flagship store — is in the heart of St. Louis’ central business district. It’s one of four major vacant buildings, including the former AT&T tower, the Chemical Building and the Millennium Hotel, that officials say are crucial to revitalizing downtown.
But the Railway building has been mired in litigation with its lien holders, which has clouded the real estate title of the property and thwarted new efforts to renovate or sell it.
The building and Hudson have long been a thorn for City Hall, which has sent countless first responders and Building Division employees to secure the property, at 615 Olive Street. The building has also been a focus for the city’s Problem Properties Unit, whose small team is tasked with addressing public safety hazards. Reports of troubling break-ins and the death of a St. Louis Fire Department search and rescue dog this spring raised the building’s profile.
Spencer said she worked on the bill with the city’s economic development agency, St. Louis Development Corp., and deferred further questions to its leaders. Its CEO, Neal Richardson, said in an email that this legislation is part of a more proactive effort his agency is taking across the city in order to preserve historically significant buildings.
“We prefer a negotiated resolution, but timing is increasingly critical due to security concerns and deteriorating conditions of Railway Exchange,†Richardson said.
Richardson’s agency began considering eminent domain against Hudson last year, the first movement in years to spur action at the site and clear the issues clouding the property.
Eminent domain — which gives governments the right to take private property for public use or to serve public good — is not a popular choice for officials and often seen as last-ditch effort. Eminent domain proceedings can also take months to go through the courts.
But issues were mounting at the Railway building. In January, the Building Division condemned the property as a public safety hazard after a local property manager quit.
Then a security firm hired by Hudson told city officials how dire the situation had become, according to emails obtained by the Post-Dispatch: People were living between floors. Thieves were getting into the building through underground tunnels. Security officers never patrolled the building alone.
The emails also showed the frustrations of city and security firm leaders with their inability to reach Hudson or its principals, Andrew “Avi†Greenbaum and Stephen Michael.
But soon the security firm was replaced with another company. The city moved forward with demolition of a pedestrian bridge between the building and its parking garage to help stem the flow of trespassers. Then in July, Hudson stopped paying for the other security firm it had hired.
And with no security on site, more found their way into the building. By late September, the building’s Olive Street doors were wide open.
Spencer’s bill, , allows the city to use eminent domain for the Railway building and the garage just south of it.
It is the second board bill Spencer has sponsored this session related to securing the Railway Exchange.
would allow the Building Division to board up vacant buildings larger than 500,000 square feet that pose “significant†public safety concerns with steel plates, hire security and bill the owner.
Robert Cohen has been a staff photographer at the Post-Dispatch for 23 years. His work following unrest in Ferguson after the killing of Michael Brown was part of the 2015 Pulitzer Prize in Breaking News Photography awarded to the photo staff. He was a finalist for a Pulitzer in 2010 for work documenting the plight of homeless families living in suburban motels during the recession. Most recently in 2021 he was a finalist for 'Photographer of the Year' in the Pictures of the Year International competition.Â