|
Published: April 24, 2008 11:13 pm
CITY OF LOCKPORT: Kendig to sell Canal St. stake to GLDC
By Joyce Miles E-mail Joyce
Lockport Union-Sun & Journal
Greater Lockport Development Corp. will buy out its partner in Canal Street redevelopment.
The agency’s board of directors voted Thursday to approve an agreement in which the agency pays principal Ben Kendig’s company, Rich Lock LLC, to abandon his 40-year contract to manage four GLDC-held properties on Canal Street.Kendig already has signed off on the deal, which will require GLDC to pay him $300,000 over three years. That covers Kendig’s $269,000 cash investment in historically accurate exterior rehabilitation and compensates him for lost potential revenue.
The buyout means GLDC will have sole control over the fate of the buildings.
Kendig, who did not attend the board meeting, described his split with GLDC as amicable.
“I’ve done what I came for. They can handle the local economy better than I can,” he said. “I feel like I’ve given a tremendous amount of effort to Lockport and with a good feeling in my heart.”
Mayor Michael Tucker, GLDC’s president, pressed for the buyout because of differences of opinion on whether the Canal Street buildings should be leased or sold and for how much. GLDC has been anxious to get a tenant or buyer onto the block to show progress and help lure other businesses.
But GLDC’s contract with Kendig had him securing tenants and managing the properties for two-thirds of whatever rents were received. Buildings could be sold, as long as Kendig agreed with the price.
The Rich Lock buyout proposal surfaced after a would-be local pub operator resisted leasing and wanted to buy a building, but not at the price Kendig sought.
Kendig, who was sought out by GLDC seven years ago because of his expertise in rehabbing old structures, said he remains convinced of the block’s business potential but he’s not unhappy to stop managing it. His “hands are full” rehabbing two buildings, an 1810 stagecoach inn in Chili and an 1840s-built structure in Rochester, he said.
The Canal Street buyout “is very good progression of the project. I’m touched and pleased to see people love their community so much,” Kendig said. “Construction is the hard part that nobody else can do. A lot of people can do the rest.”
With the buyout, GLDC is now the sole owner/manager of two large commercial properties in the city. The other is Harrison Place, which remains inert pending major repairs.
Taking on Canal Street is a risk GLDC had to take, Tucker said.
“We can be a lot more flexible with no middleman, no partner,” he said. “It’s challenging, no doubt, but sometimes you’ve got to do the right thing. ... The last 30 years we’ve done things that just haven’t been working, so we’ll try something new.”
Once the deal is closed, GLDC will have to figure out whether it wants to hire a real estate broker or property manager to recruit tenants or buyers. Tucker and GLDC attorney John Ottaviano both think it would be better to sell, not lease, them. Parcels could be sold individually or the whole block sold to a developer, Ottaviano said.
“We don’t plan to be in the real estate business,” he said.
The terms of the deal require GLDC to pay Rich Lock $100,000 at closing, which should take place within 30 days, then pay $100,000 a year for the next two years, at 4 percent interest. The money is to come from GLDC’s revolving loan fund, which currently contains about $500,000, according to GLDC Executive Director William Evert.
The deal also will list the project’s worth as $929,000, the value of cash contributed by Kendig and GLDC up to this point. The list price, put into the deal at Kendig’s request, allows Kendig to “write off” a $600,000 loss as a donation to charity, Ottaviano said.
In other business, the board agreed GLDC will borrow $1.5 million, as a Revenue Anticipation Note, to cover the upfront cost of roof repairs at Harrison Place. The city previously was awarded a $1.5 million Restore New York grant for Harrison Place improvements, but the money is paid out as reimbursement of expenses. Roof work should be done this summer, Evert said.
Also, board members voiced support for a proposal by Becky Burns, a member of the city’s Flight of Five Restoration committee, to decorate part of Canal Street as a lead-in to the historic locks area.
According to Tucker, the committee wants to use the front of 79 Canal St., near the Pine Street bridge, to display vintage photos and would erect life-size cutout figures of old-time canal workers, barrels and crates on the street. “It’s a pretty cool idea,” Tucker said. “It really adds some character to the street.”
The plan has to be approved by the city planning board.
Contact reporter Joyce Miles at 439-9222, ext. 6245.
|
|
|
|
 |
Application Developer
APPLICATION DEVELOPER, Niagara Falls, NY. At Cardinal Health, we're developing the innovative products and services that...>MORE
Technicians
CIVIL SERVICE EXAMS Exam Date: 9/12/09 Filing Period: 7/6/09 -7/22/09 EXAM FEE: $20.00 N.F. WA...>MORE
Customer Service
Niagara Orleans Country Club is looking for part time help through October in club house. Some weekends required. Apply ...>MORE
COTA
SCHOELLKOPF HEALTH CENTER
C.O.T.A.- Short Term Rehab Clinic
Opportunity to work in dynamic ...>MORE
Housekeeping Aide
Housekeeping Aide. Day shift. Must be able to work a flexible schedule to include some week-ends and holidays. Dependabl...>MORE
RNs
SCHOELLKOPF HEALTH CENTER
C.O.T.A.- Short Term Rehab Clinic
Opportunity to work in dynamic ...>MORE
Service Greeter
Service greeter wanted, PT. Looking for someone with strong customer service skills to work in our fast growing service ...>MORE
Cleaners
Housekeeping, Summer/ permanent help, p/t-4 day work wk, no w/e, bonuses, car nec. 694-2810 ...>MORE
Sales Support
20 yr old industry leader, is expanding thru-out USA. Sales support position in our N. Falls, NY office. Salary, 8:30-5...>MORE
Accounts Payable
Accounts Payable Must be experienced. Must have excel/keypunch knowledge. Must be a team player. High volume enviro...>MORE
See all ads |
Cashiers
CASHIERS - Looking for cashiers for convenience store in Wrights Corners. Call 689-0600 ext. 31. ...>MORE
Mercury Cougar 1994
Mercury Cougar 1994 $2000 or best offer. Good condition, 60K original miles. 552-2844...>MORE
1997 Ford Taurus GL
FORD 1997 Taurus GL, good condition, cold A/C, cruise, 1 owner, white. $1995 or BO. 990-6187....>MORE
Dodge 1996 Grand Caravan
Niagara Falls 2753 NIAGARA ST. FRI. SAT. 9AM-4PM oriental rug, old tools, antique car parts, toys, ...>MORE
Pontiac 2004 Grand prix GT
PONTIAC 2004 Grand Prix GT 4 door, good cond, $8000, 998-5596...>MORE
Ford 1999 150
FORD 1999 150 pickup, good cond., tool box, bedliner, standard, $2500 or BO. 523-3653...>MORE
1994 Pontiac Sunbird
PONTIAC 1994 Sunbird conv. V6, EC in & out, red w/blk top, wht int., CD, real sharp. $2850. 523-7102...>MORE
2000 Chevy S-10
CHEVY 2000 S-10 pick up, 2.2L, 5 spd, ext cab, EC in & out, CD, cold AC, great gas mi. $2750. 523-7102...>MORE
1950 Plymouth Custom
PLYMOUTH 1950 Custom, 4 dr, good shape, $1,500/BO. 795-0074...>MORE
1990 Chevy 2500
1990 CHEVY 2500 pick up, fresh paint, 160k mi, good runner, 4WD, ext cab, $2500, 716-572-9153...>MORE
See all ads |
|
See all ads |
|
 |
|