BREC Land Deal Stirs Controversy In Senate Election

Partner Reports Rep. White Paid Nothing for 1/3rd Interest in Land

CENTRAL — Rep. Bodi White paid nothing for a 1/3rd interest in a 52-acre tract of land fronting on Hooper and Lovett roads that is now being developed as a Sports Park for BREC, according to E. Gordon Rogillio, Jr., one of White’s partners in the deal.

The BREC land deal became an issue when Senate candidate Mike Mannino charged White has used his legislative position to enrich his business partners.  White and Mannino are running for the new Senate District 6 seat in the Oct. 22 primary.  Both are Republicans.

Parcel 52, LLC, was formed in January 2007.  Three days later, the firm acquired the 52-acre tract for $300,000, but White made no contribution to the deal, Rogillio said in answer to written questions from the Central City News.

The state has strict prohibitions on legislators receiving even small  items such as meals and gifts without reporting them.  In addition, campaign contributions above a few thousand dollars are prohibited.

In this case, the value of a 1/3rd interest in the land would have been worth at least $100,000.

However, a few months later, it was sold to BREC for $709,000.

Parcel 52, LLC, was founded by Bodi White, Brandon Rogillio, and Gordon Rogillio.  Each had a 1/3rd interest in the property.

Gordon Rogillio said in his statement that White paid nothing for his interest and received nothing when he gave up his interest in September 2008.

Last Monday night, Rep. White told an audience of more than 150 attendees at the Republican Women of Central Candidates Forum that “My wife and I lost more than $100,000 on that deal, so the people of Central could have a park.”

However, Rogillio said,  “I don’t speak for Bodi, but I viewed the $100,000 to be an arbitrary figure. His exact earning potential would have depended on the success of a project that never happened.”

Rogillio said that BREC had identified the 52-acre site in July 2007 as a potential park site and began to evaluate it.

In the spring of 2008, White introduced a bill to create the Central Recreation and Park District and take Central out of BREC.

Rogillio said that White revealed his ownership interest to BREC on May 6, 2008.

Then on May 14, 2008, White and BREC director Bill Palmer announced a “compromise” under which White would withdraw this legislation to take Central out of BREC and BREC would in turn spend $6.25 million for parks in Central, including $2.92 million for the Sports Park.

At the time Rep. White announced the “compromise,” he would have known that the new Central recreation district would not be purchasing park land for some time but that BREC was actively considering purchasing the land he owned 1/3rd of.

The land deal has proven to be lucrative for White’s partners, whom he works with at 444 Wooddale Blvd.

Parcel 52, LLC, purchased the 52-acre tract for $300,000 in January 2007, added another 6-acre tract for $95,000 shortly thereafter, and then sold 50 acres to BREC for $709,000.   This would have paid off the initial $300,000 and $95,000 and made a $300,000 profit.

However, Parcel 52, LLC, also retained ownership of about 8 acres of prime commercial property on Hooper and the mineral rights to the entire property.

In addition, BREC agreed to pay Parcel 52, LLC, $130,000 to help build a 750-foot-long road with curbs and sidewalks from Hooper to the BREC site.

The road goes through the center of the 8-acre commercial property owned by Parcel 52, LLC, and adds significant value to the commercial property, which could be developed for 10-20 commercial sites or offices.

Rogillio said that Rep. Bodi White did not end up profiting from the deal and received no compensation or promises for the future for bowing out of the deal.

White is an agent for a real estate firm owned by Brandon Rogillio at 444 Wooddale and owns two other businesses that are located at that site.

by Woody Jenkins, Editor, Central City News