6-2021 IDA Directors Report
Good Evening. Since our last meeting, we have been very busy at the IDA.
Our timber bid for 90 Acres of Timber at our 418 Acre St. Paul’s property. Because of Will Ford’s volunteered time and expertise, the sale went smoothly. The winning bid was 117,300.00. I feel it is important to note that due to the Boards wise investment we are seeing nice return on investment. The money utilized to purchase St. Paul’s back in 2019 was sitting in a CD earning less than ½ percent of interest. Managing the timber does not significantly reduce the overall value of the track as a future business site but it does return money back to the IDA and used on other projects. Tessie Bacon is preparing the contracts. We will receive the funds prior to the timber harvest. Purchaser will have approximately 1 year to remove the timber. We will plant new trees. Our net should be +/- 90,000.00 representing a 10% ROI.
We received a remittance on our Sledge and Barkley Grant for $12,665.62. We also received a $50,000.00 deposit for the Brownfield Grant to solve environmental issues with the Sledge and Barkley Building. We have begun the Phase I and Phase II Environmental Work. This Grant will help remediate the environmental issues with the Building. We will be utilizing the remainder of the initial S&B grant as matching funds for the new grant. This will reduce the expenditure of IDA funds. We are still waiting for the funding of the large Grant for building. I anticipate 60 more days for the Federal review Requirements. I am working with Virginia Housing on funds for market rate housing. Sledge and Barkley will be a very large project. We have new advertising signs and I am pushing hard for a corporate investor. I am beginning a round of one on one meetings with Commercial real Estate companies in an effort to find investors.
317 and 319 North Main Street closed last Friday. The sales price was $440,000.00. This is in line with our plan to refurbish buildings and then selling them to private investors. Dominion Power updated the electrical including a new pole at the street, regraded the alleyway and replaced the 100 year old septic pipes. Taking into account prior rental payments and future interest our return on investment was close to break even. We help create two new businesses Flowers on Main and James River Cardiology and four apartments that have almost completely rented. We overcame the Historic tax Credit learning curve and we increased Lawrenceville and Brunswick County’s tax base.
Pop’s Grand Opening was delayed. This turned out to be a good decision as the weather would have made the event uncomfortable. The Grand Opening is now scheduled for June 27. The restaurant is staffed and the new management team is doing a very good job. Business is booming. If you have not been, please go check them out.
IDA and Brunswick County are discussing Public Water Authority. Lawrenceville and IDA are discussing maintenance and the effects of increased water usage. Our relationships are stronger and are getting stronger.