Federal building to be hotel?

The long-vacant L. Mendel Rivers Federal Building overlooking Marion Square in downtown Charleston could be one step closer to a makeover.

Dewberry Capital Corp., run by Atlanta developer and part-time Charleston resident John Dewberry, is seeking approval from the city's planning board to include the property in what's called the accommodations overlay district, which would allow a hotel to operate there.

Planning division director Christopher Morgan said the property is zoned for commercial, office and residential uses but not for a lodging.

City staffers will recommend that the board approve the request when it takes it up Wednesday, he added.

Euan McGlashan, president of Dewberry's recently formed hospitality group, plans to meet with residents who live in the Mazyck-Wraggborough neighborhood tonight. But despite the company's zoning request and Mayor Joe Riley's stated preference for mixed uses, including a hotel, McGlashan insists that the development group is still weighing its options.

'I'm just going down to do some due diligence,' he said. 'To be honest, we're still in the planning phase. We don't even have any architectural drawings yet.'

The seven-story building, which is on Meeting Street between Henrietta and Charlotte streets, was vacated by the federal government in 1999 after its interior was damaged by

Hurricane Floyd. Dewberry bought the 2.2-acre site in early 2008 for $15 million.

State of affairs

The latest U.S. Treasury report on the Making Home Affordable program shows that the effort is finally making headway after a slow start. And for the first time, the monthly data included a state-by-state breakdown of participating homeowners.

So far, 7,194 South Carolina homeowners have gotten lower monthly mortgage payments through the $75 billion rescue program.

California, Florida and Arizona have the largest amount of homeowners participating.

More than 650,000 home- owners nationally have gotten lower payments since the program began in February. Federal officials say the program could help up to 4 million homeowners during the next three years.

Saxon Mortgage Services Inc., CitiMortgage Inc. and GMAC Mortgage Inc. have granted the largest proportion of trial loan modifications for their homeowners, the report shows.

Bank of America and Wachovia Mortgage have lagged, it went on to say.

Reach Katy Stech at 937-5549 or kstech@postandcourier.com.