FOR IMMEDIATE RELEASE November 2, 2009 PROJECT COMMITTEE ANTICIPATES TIMING IS RIGHT FOR ACQUISITION OF IGA PROPERTY The Building Bancroft Project Committee is expecting that the timing and real estate market conditions will be positive factors in efforts to purchase the old, vacant IGA property. Negotiations to purchase the property from Sobey’s were authorized for the third time in recent years by Town Council on October 27th, and Town staff have re-ignited discussions to acquire the land. Council will have final approval to purchase the property based on the recommendation by Town staff. Town CAO Barry Wannamaker reviewed some of the historical developments in relation to the property at the Project Committee on October 28th, noting that the list price on the property a couple of years ago was $2.3 million. “The Town had a conditional deal to buy the property at that time for $1.75 million, for use as the site for a new Town hall and library,” said Wannamaker. “But once we examined the condition of the building itself, we decided not to close the deal.” Since that time, real estate values in Bancroft and across the province have declined, and today the IGA property list price has dropped to $1.65 million. “We have been having informal discussions with Sobeys since early summer, and we kicked the tires with an offer back in June,” said Larry McTaggart, the Chair of the Building Bancroft Project Committee. “That offer, which included a sponsorship deal for Sobeys, was rejected, which didn’t really surprise us, but now that we are making headway with the overall Project, it is time for serious negotiations to take place. “This property is located in the heart of our community and will be a key component in the future development of the Town,” he said. “The cost of borrowing has never been lower than it is right now, and real estate values are deflated, so we are hopeful that the Town staff will find some common ground in their negotiations. “Acquiring this asset will be another important step in building a stronger economic future for the community, and the timing is right to get a deal done and continue to move forward.” -30- Contact: Larry McTaggart – 613-332-3331 |
