The Problem

​Here are the nitty gritty details...

  • 1986 - Iconic Memphis developer, Henry Turley, purchases the entire building that stands on the corner of Madison and Main streets in downtown Memphis.

  • 1993 - Christopher Reyes and his mother purchase the second floor of the property at 1 South Main Street from Henry Turley.

    • The property is purchased with the understanding it would be improved utilizing the Downtown Memphis Commission's PILOT (Payment in Lieu of Taxes) program​.

      • The State of Tennessee mandates that all property is subject to taxation, unless owned by cities. ​

      • As such, titles on PILOT properties are surrendered and held by the Downtown Memphis Commission, making the occupants "lease" the property - paying "rent" to the DMC rather than taxes.

      • PILOT leases, upon expiration, give the "beneficial owner" the option to purchase their deed back from the DMC for $1, and have the property re-assessed for fair market value tax application.

    • The property is also created as a condominium, for the purpose of eventually conveying it, separate from the first floor spaces, to a buyer - whether Reyes, or others.

  • 2001 - the initial PILOT "lease" program expires, but is extended another 15 years in an effort to continue to promote downtown development. No aspects of the original agreement are changed - just extended.​

  • 2007 - Henry Turley sells his interest in the first floor of the building to hotel developer Muhommoud Hakimian, who purchases the Madison Hotel next door.

    • Hakimian is made clear that he/the Madison Hotel, only have beneficial ownership of the first floor at 1 South Main and Reyes has the option to purchase the second floor for $1 upon expiration of the PILOT.

  • May 3, 2016 - Aparium Hotel Group writes a letter to the DMC indicating that the only property they ​wished to acquire did NOT include the second floor of 1 South Main.

  • June 2016 - Aparium Group, a hotel development company that prides itself on "community involvement," purchases the Madison Hotel and the first floor of 1 South Main.

  • December 2016 - Christopher Reyes's PILOT extension expires, triggering (without warning to the residents) Aparium's option to purchase the title from the DMC.

    • The purchaser of the property is obligated to notify the residents of the property.​

  • June 14, 2017 - Aparium exercises their option on Reyes's title.​

  • July 25, 2017 - Aparium files in a lawsuit in General Sessions court seeking to forcibly remove Reyes from the second floor property.

  • December 19, 2017 - Aparium files an application for a $100,000 grant from the DMC for exterior/facade improvements to the first floor of 1 South Main.

    • (It is important to note: the grant application specifically asks whether the applicant is involved in any litigation - Aparium responds "no.")

  • March 27, 2018 - General Sessions Judge Lonnie Thompson hears the case Aparium vs Reyes​

    • Aparium argues that their grant only applies to the first floor of the property​

    • ALL defense evidence and witnesses are either suppressed or thrown out.

    • Aparium argues that when the original PILOT expired in 2001, Reyes should have exercised his right to the title at that time.

    • Judge Lonnie Thompson finds in favor of Aparium - giving the second floor property to them, a judgement in the amount of $102,000, and 10 days to vacate to Reyes, his partner, and his two young daughters.

  • April 9, 2018 - Christopher Reyes, and his long time partner, Sarah Fleming, file an appeal. 

  • April 10, 2018  - Aparium recognizes their errors, and via a number of out-of-court meetings (both with and without legal representation) attempts to create a settlement agreement. None are acceptable/favorable to the homeowners, and the status of the appeal is still in flux.

  • June 22, 2018 - Although the appeal has remains open and unscheduled, Aparium opts to settle with Reyes and Fleming. Long battles in court, mediation meetings, meetings with the DMC, settlement discussions - it has been too much for this couple and their two little girls to bear. Violating their own NDA (Non-Disclosure Agreement) with Reyes and Fleming, Aparium releases a statement to The Commercial Appeal, which can be viewed on the Media page.

  • July 19, 2018 - Despite news reports indicating that Aparium has settled with the Reyes family, the company has yet to furnish Reyes and Fleming with a check, drop their $100K+ lawsuit, or take any other positive action. As of this date, the appeal is still not scheduled.

  • August 1, 2018 - Reyes and Fleming are called into court regarding the "settlement." Aparium's lawyer claims that they did not know that Fleming was not represented by Reyes's lawyer, and attempts to walk back a communication to Reyes's lawyer indicating that the matter has been settled. Aparium also shares their belief that Fleming has been on a "social media tirade" against the company - including creation of this site and 80+ pages of evidence of public outrage. The judge expects to rule in about three weeks.

**Please note: the site creator has no background in property law, and is only condensing the available, credible media coverage.

**If there are any errors in the details, please use the contact page to let the site creator know.

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