Activity center

West Chester Activity Center $2.25m sale deal not yet done

He could not be reached for comment on the new negotiations.

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“I think a lot of times what these companies will do, they’ll bid on things to get them off the market,” Welch said. “Then they go into their inspections to see if it’s a gem. Then if they find something about it that they don’t like, they’ll just write it down. Basically, they throw mud against the wall and they go and see what sticks.

The sales agreement provided for $25,000 in deposits and a 60-day due diligence period – which expired last week – to carry out a detailed inspection of the property. An additional 60 days is allowed while Quattro applies for permit and any other requirements, and a 30 day extension if requested. If Quattro misses the deadline to notify the township that he plans to withdraw, he loses $10,000 of the deposit money.

This renegotiation is very similar to the agreement that failed with Dr. Mohamed Aziz who wanted to create medical offices in space. He said he would buy the property for $1.9million earlier this year, but rescinded the offer when administrators refused to lower the price by $300,000 after finding out how much he would have to spend on stakes level required.

The activity center came into play after Community First Solutions stopped providing senior programs in 2019. Shortly after, the township agreed to sell the building to Kroger owner Regency Centers, but it fell apart. turned out to be a two-year debacle.

The deal was dependent on Regency Centers being able to acquire the Activity Center, Providence Bible Fellowship Church, a piece of Chesterwood Village and easements and agreements with about 10 other landlords to complete the complicated deal.

The administrators granted Regency extensions to the deadline set out in the purchase agreement until March 2020. The company had 90 days to acquire the church and Chesterwood properties and six months to carry out due diligence. However, three 90-day extensions could be requested at a cost of $50,000 each. The administrators agreed to amend the contract by giving Regency an additional six months with $100,000 due in September 2020. Regency canceled the agreement just before payment was due.

Another deal fell through in July, directors had to approve a deal with a local family to set up an event center, but the bid was canceled as funding fell through for the $2.3 million bid.

Welch said if the Quattro deal also fails, it won’t be a disaster.

“Township stays in the driver’s seat on this thing,” Welch said. “Because as a government entity, we don’t owe taxes on it, which is a cost of ownership for anyone in a private business. It’s paid for so there’s no interest on it or any payment we make. We have pretty cheap insurance, our holding costs are almost zero.