Purchase of Hood Building approved

Portland Redevelopment Commission hopes to spur housing development in one downtown building.

It will continue to look at options for another that is facing demolition.

The redevelopment commission on Friday authorized president Rusty Inman to execute documents related to the purchase and subsequent lease of The Hood Building and approved getting formal reports from a structural engineer and architect on the former Hunt’s Building.

It also passed a declaratory resolution, the first step toward approving Portland’s Downtown Economic Development Plan.

The current draft of the purchase agreement calls for Portland Redevelopment Commission to buy the Hood Building from The Graphic Printing Company for $300,000. (The building is home to The Commercial Review and headquarters of The Graphic Printing Company, which also publishes The News-Gazette of Winchester, The News Times of Hartford City, The News and Sun of Dunkirk and the regional advertising publication Red Ball, and offers commercial printing services.) A companion lease agreement calls for the company to continue as a tenant, leasing the first floor and basement of the building at a rate of $2,000 per month.

Inman explained after the meeting that the redevelopment commission plans to seek proposals to develop the second, third and fourth floors for housing.

“There’s been multiple housing studies that say there’s housing of all kinds that are needed,” said Inman. “I think that there’s room for not only this, but there’s room for more housing … This won’t be the first and last. I think this is the first …”

“Since Stellar, there has been interest in developing that building as mixed-use development for commercial on the first floor and housing on the upper floors,” added redevelopment commission consultant Ed Curtin of CWC Latitudes, referencing the Jay! Region’s status as a finalist for the 2019 Stellar Communities designation.

Inman and Curtin both noted the building is being targeted because of its location in the downtown area and within the city’s tax increment financing (TIF) district. Inman also referenced a structural engineering study the commission had done on the building, saying “it is built very soundly.”

“I think we’ve had significant discussion over a long period of time,” said commission member Joe Johnston. “I think it’s been well-researched.”

Commission members Dave Teeter, Reda Theurer-Miller, Mike Simons and Joe Johnston unanimously approved authorizing Inman to execute documents to complete the purchase of the building.

The sales agreement between The Graphic Printing Company and the redevelopment commission includes a clause that allows the company to buy the building back if plans for housing development do not come to fruition.

The board also discussed the former Hunt’s Building, 208 and 210 N. Meridian St., which Portland Board of Works has approved for demolition. (The board subsequently agreed to give the redevelopment commission time to study the building and consider whether it is interested in getting financially involved to save it.)

Curtin said Friday that upon inspection he expected the building to be in worse shape. He acknowledged the need for repairs to second-floor joists, parts of the roof and the rear wall, but added that overall the roof structure seems to be in good shape.

He said the architect hired by the commission to look at the building gave an informal estimate of $120,000 to $150,000 to fix the roof and rear wall. He said he would feel more comfortable with numbers if a structural engineer and architect took more time to put together formal written reports.

“I feel like we need that to move forward,” said Inman. “I don’t think we have all the information yet.”

“Again I think it’s just exercising due diligence,” added Theurer-Miller, “not just on behalf of the redevelopment commission but on behalf of the city.”

Portland clerk-treasurer Lori Phillips pointed out that the city has had Wessler Engineering provide a report on the building. Curtin responded that it is his understanding that the assessment was done from the exterior only and did not include an interior inspection.

The commission unanimously approved utilizing Silver Creek Engineering (Indianapolis) and SEBREE Architects (Carmel) to provide a formal assessment of the structure.

City attorney Wes Schemenaur encouraged the commission to keep in mind that the building has already been approved for demolition so any effort to change course would need to happen quickly.

Curtin said he expects the reports can be completed in the next week or two.

Also approved Friday was the declaratory resolution, which moves forward with the process of approving Portland’s Downtown Economic Development Plan. It has been developed over the course of the last six months and was presented publicly late last month.

The plan addresses issues including vacant/dilapidated buildings, need for more walkability/bikeability, barriers to entry for small business and a lack of housing options and sets out goals such as beautifying the city, creating an environment that encourages small business and increasing housing options. It is available at portlanddowntownplan.com.

The approval process now moves to Portland Plan Commission. If approved there, it would go to Portland City Council. The final steps would then be to hold a public hearing prior to returning to the redevelopment commission for a confirmatory resolution.