Annapolis settles with Market House tenant for $82,500

Annapolis settled a tenant dispute Thursday agreeing to pay $82,500 to a pastry shop formerly housed in the Market House.

A joint statement from the city and the pastry shop said the deal is the last step in closing "a disappointing" chapter in the history of the city-owned landmark at City Dock.

Mayor Joshua Cohen said the settlement will have no effect on the planned spring reopening date.

The settlement was reached the same week the civil case filed by Vaccaro's Italian Pastry Shop, Inc. was to set to go to trial. Among other allegations, the company alleged breach of contract by the city. The city filed a counter complaint alleging Vaccaro's failed to pay rent.

The settlement awards Vaccaro's Italian Pastry Shop, Inc. $50,000 to be paid by the end of the year and $32,500 for attorneys fees.

Vaccaro's filed the lawsuit in June 2011, six months after city officials announced plans to tentatively reopen the iconic waterfront market with new tenants. The 18th century market once called the "cafeteria of Annapolis" has been beset by management and renovation problems since Hurricane Isabel in 2003.

The latest round of renovations cost $300,000 and were not completed in time for the Oct. 1 reopening date announced by Cohen.

Cohen said Thursday he plans to keep his promise to walk off a plank into City Dock now that Annapolis missed the reopening deadline.

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