By John Kiesewetter
The Cincinnati Enquirer

MIDDLETOWN - Mayor Bob Wells and the city law director say there's no conflict of interest in the city buying land from Councilmember Perry Thatcher for the new Middletown Regional Hospital east of Interstate 75.

The city is paying $5.5 million for 110 acres east of Union Road, and north of Ohio 122, from East Mark LLP, whose owners include Thatcher and home builder Adam Cristo, as part of its 2002 agreement to keep the hospital in the city.

Les Landen, city law director, said he consulted with Columbus attorneys specializing in ethical issues before proceeding with the purchase. Thatcher, the First Ward representative, has consistently abstained from council votes pertaining to the land, Landen and Wells said Thursday.

Thatcher could not be reached for comment.

Thatcher and Cristo bought the Warren County land for residential development more than 10 years ago, Wells said. "It just sat there and sat there," Wells said.

The hospital picked that location - and negotiated a price of $50,000 per acre - without the city's involvement, Landen said.

"The hospital made this deal. All we're doing is looking at it to make sure that it's not unreasonable," Landen said.

Warren County records show that two East Mark parcels totaling 110 acres are valued for agricultural use at a total of $993,990. But Landen said nearby land is being sold for development at $60,000 to $100,000 an acre.

"Knowing that, we were confident that the hospital had made a reasonable deal," Landen said.

As part of its 2002 deal, the city agreed to pay $5.5 million for land to relocate the hospital, the city's second-largest employer. The hospital soon will close on additional acreage in the area, said Larry James, hospital vice president and chief marketing officer.

An announcement about the size of the parcel and funding for it will be made after a hospital board review "in a month or so," James said.

Middletown officials also have asked Warren County commissioners to contribute $5 million over five years to improve nearby roads and bridges. Commissioners have balked at the request.

E-mail jkiesewetter@enquirer.com