(Publisher’s note: A correction has been made to the spelling of Mr. Van Reesema’s first name. I apologize for the error.)
The Chelsea City Council discussed a $50,000 offer made by Willem Van Reesema for the old police station building at 104 E. Middle Street on Tuesday, Aug. 27 and unanimously agreed to have the purchase agreement reviewed by an attorney and then to either accept or decline the offer at the Tuesday, Sept. 24 council meeting.
“This will give us time to do our due diligence and doesn’t preclude another purchaser from making an offer,” said City Manager John Hanifan, who reminded City Council that although city real estate purchases are done in closed session, city real estate sales must be done in open session.
Hanifan said that 8-12 groups had walked through the building during the last 14 months since the city has had the building for sale, and that this was the first offer the city had received.
The building was appraised at $108,000 about two years ago and Council Member Frank Hammer suggested that the building have a new appraisal because he thought that it might be worth more today than it was when the original appraisal was done.
“I hope we’re not going to quibble about a few thousand dollars,” said Council Member Ann Feeney.
Hammer said he’d had his home reappraised a few years ago and more recently and there was a significant difference in the numbers, and he said he hoped that Van Reesema would come back with a higher offer.
The city offered the building for sale “as is” and Van Reesema said his plans were to do a complete remodel of all floors, including new bathrooms and that he’d be an owner occupant.
He said he owns several small companies, including a film company, which he’d like to relocate inside the building and make a portion of the space a business incubator.
“The sound/video studio would be on one floor, but things can change,” he said.
His plans include a complete remodel of the first and third floors and a partial remodel of the second floor.
It sounds very exciting,” said Council Member Cheri Albertson.
He said the “highest and best use of the space” was as an office building and it would take about $1.1 million to refurbish it.
Take the $50K and turn this eye-sore into a tax-generator!
I don’t see it as a eye sore at all. I would not call $58,000 quibbling over a few thousand That is less then half of the appraised value. I think they should have it appraised and sold at a fair value not just give it away to a long standing community member.
I consider $50K dumping the building when it is valued at $108K, so my expectation is not to dump it but ask for a second offer. I would go for $70 as more reasonable and for $20K more, that is peanuts relative to $1 million to refurbish it. We owe the citizens better bargaining that to just let it go for the first bid.