C.P. commission buys property for $200,000 over appraised value
Officials say public benefit outweighs the cost
CROWN POINT | City officials have long considered Master Transmission a blight on Crown Point's downtown.
On Wednesday night, the Crown Point Redevelopment Commission unanimously approved the purchase of the property at 121 N. Main St. for nearly $200,000 more than its appraised value.
"Just looking at it you can see it's not the best use (of the property)," said Rob Gardner, president of the commission. "But you can't just force someone to turn over the key."
Two appraisals completed last year pegged the property at $128,000 and $130,000, Assistant City Attorney Pat Schuster said.
The Redevelopment Commission is buying it for $325,000 using taxpayers' money from the tax increment financing district. The district is a tool for Crown Point to capture increases in tax value from a certain area and reinvest it into emphasis on the revitalization of the square.
"This property has been an eyesore for a long time," Mayor Dan Klein said. "This (sale) will change the whole northern part of Main Street and enhance what we already have there."
The property will be owned by the Redevelopment Commission, not the city.
Gardner said the commission will put Master Transmission up for public bid as soon as possible after the deal is closed.
He said he does not expect to sell the property for as much as the commission paid for it.
"To get the property from its current condition to something the community can be proud of takes money," Gardner said. "It will increase the overall value of the community and neighbors."
New Town, LLC, which is developing a multimillion-dollar project on both sides of the Main Street corridor, is expected to bid on the property. Plans show the Master Transmission property as part of a business, office and condo development.
"We are really excited to be working with the Redevelopment Commission," said developer Tom Fleming, who is working on the project.
Schuster said the owner, Ron Uylaki, being in bankruptcy contributed to the high cost of the property. Schuster had to seek the approval of a bankruptcy trustee to ensure sale of the property would go through.
Gardner said Uylaki absolutely was not interested in selling the land at appraised value. He said the public benefit that will come from revitalization of the distressed Master Transmission property is what redevelopment is all about.
Date posted online: Thursday, May 24, 2007
BY MARISA KWIATKOWSKI
mkwiatkowski@nwitimes.com
219.662.5333