DDA offers to help with Wayne Street property

>> MILLEDGEVILLE

A community business organization is prepared to intervene, if necessary, to help resolve the festering issue of blighted property in downtown Milledgeville, but even a financial guarantee may not be enough.

In a letter dated Oct. 12, Downtown Development Authority (DDA) Board Chairman Adam Heagy informed Milledgeville Mayor Mary Parham-Copelan and city council that the DDA is prepared, if necessary, to offer a ‘forgivable’ loan to a local business to facilitate the sale and rehab of the property at 107-115 South Wayne Street.

Local businessman David Sinclair with Baldwin Investment Group (BIG) reached an agreement with the current owner just over a month ago to purchase the property, which has remained vacant for more than six years after the roof collapsed in May of 2017.

Heagy noted in the letter that the mission of the DDA is to promote the downtown Milledgeville business district to strengthen the economic base of the city and county.

“In line with that mission,” he wrote, “we are prepared to extend a forgivable loan to Mr. Sinclair and BIG that will satisfy the city’s lien on the property, so that redevelopment may begin posthaste.”

The letter is a result of the city’s refusal to release a lien of approximately $13,500 on the property that was recorded to recoup expenses the city incurred since the roof collapse. Fencing was erected to block off the sidewalk, and legal fees were expended to file a Petition to Abate the Nuisance when property owner Larry Simmons of All-Star Properties would not repair the building or reach an agreement with the city to resolve the problem.

Following an uncontested hearing on that petition, an order was issued giving the owner 60 days to make the necessary repairs. Failure to do so would authorize the city to do the work or have it done and place a lien on the property. That order was signed in June.

When no cleanup work was done in that two-month period, the city issued a request for bids, and three contractors responded. Before any action was taken on the proposals, the city was notified of the pending sale and delayed awarding a bid.

Heagy emphasized in his letter that Sinclair has previously upgraded property in the city significantly, specifically the building at 110/112 N. Wayne St.

“Mr. Sinclair has previously demonstrated his ability to successfully redevelop downtown property,” he wrote. “An investment of private capital totaling nearly $600,000 to rehabilitate a building, helping to revitalize an entire block downtown should not be disregarded.”

Heagy wrote that Sinclair met with the DDA board recently to discuss his plans.

“He is clearly ready and willing to put a significant amount of his own hard-earned money into a building that is currently an eyesore, and, quite frankly, an embarrassment to our community.”

Meanwhile, Sinclair wrote a letter to Milledgeville City Manager Hank Griffeth Oct. 13. He said his intent is to stabilize the façade, remove the debris and rubble, and begin the renovation and restoration “that will result in two new unique and innovative retail business(es) that do not currently exist in the downtown area.”

Sinclair estimates that the ad valorem taxes for the city and county will be approximately $9,600 annually upon completion and that the new businesses will create at least 20 new jobs.

However, Sinclair’s attorney, Matt Roessing, said his client’s due diligence period for the purchase of the property ends Monday. City council’s next regularly scheduled meeting is Tuesday, and, as of this past Wednesday morning, no called meeting had been scheduled to consider Sinclair’s request for lien dismissal and agreement not to place any additional liens on the property for 60 days after closing.

Griffeth said Tuesday the city council had tentatively been prepared to award a bid for the cleanup next week, but he indicated one adjustment has been made.

“The agenda for the Oct. 24 meeting, at this time, has no resolution to approve a city-selected contractor for the cleanup of the property,” he said. “This, in essence, provides for no city-selected contractor approval until it becomes apparent the closing of the sale will not take place on Nov. 2, as communicated by the intended buyer.”

Heagy, on Monday, questioned the city’s stance and unwillingness to waive the lien. He explained that if city council awards a bid for the work, a lien for that expense and related costs will be placed on the property as well. The city will then be forced to foreclose on that lien and attempt to recoup its money.

“We’re working on our end as the Downtown Development Authority to promote the investment of private capital into restoring that property. With the city’s current proposal, you end up with a whole lot of city money tied up in it. If Mr. Sinclair is able to move forward and close on the property that absolves the city of any further financial burden,” said Heagy.