The bottling plant sits smack in the middle of town, and the City Council voted to try to make the former agricultural hub a centerpiece of the town's revitalized future.
"There are opportunities there," Councilman Tony Pippel told his colleagues. "Something will happen to that property in six to eight months and I'd just as soon see the city own the property."
While the vote to begin negotiations was unanimous, Councilman Michael Chmielewski said he would like to see a list of possible uses for the property "that is consistent with our planning down the road. Let's make sure we're not speculating too much. What are the likely scenarios there."
Pippel noted, though, that the land is in the city's comprehensive plan.
The city manager and the council may be slightly ahead of themselves since the property isn't exactly for sale yet.
CITY SHOULD BUY PROPERTY
Ray Nix, who is overseeing the sale or lease of the properties, said there has been "more than five letters of interest to buy or lease all or part" of the dairy facilities. Still, there has been no offering, he said, that would split the Anchorage manufacturing plant and Palmer bottling plant.
Allen said a meeting set for Monday with the state Creamery Board and the ag board may reveal how those two groups intend to stop Mat Maid's financial bleeding, which is reported to be about $40,000 per month for heating, insurance and other costs at the Anchorage facility as it sits idle.
But Nix isn't so sure the boards will even consider selling the properties at that meeting, either in whole or as two pieces.
"They will be given all correspondence regarding interests in the property," Nix said, "but whether they take it up that day, I don't know."
"They (the dairy) have some cash flow problems, and I'd like to see them use our cash" by buying the Palmer property, said Allen. "If I get to speak to them (the boards) I will ask them to please accelerate the sale of the Palmer part so we can start making plans."
Allen said the appraised value is about $400,000, but indicated market value could be as high as $600,000. When asked how the city might swing that kind of deal, Allen said he hoped Palmer could make a down payment and then the state or some other entity would carry a long-term note for the remaining debt.
The council's eye on the dairy property doesn't stop there.
EYING THE WHOLE BLOCK
Oddly, Palmer's iconic water tower doesn't belong to the city and that's something the council, mayor and manager would like to see happen. The privately owned water tower property is in the same block as the dairy, so as they look down the road, as Chmielewski wants, they see the city owning the entire block. Ideas for the site that emerged Tuesday night included municipal buildings, a courthouse -- anything but a big-box store, said Mayor John Combs.
"I'd like to see it restored to its original appearance," Combs said, saying how important agriculture has been to the community. That sentiment was echoed by Councilwoman Kathrine Vanover who noted that a University of Washington study done in 2005 to give the city a guide to the future also mentioned that the city needs to preserve its past.
Allen conceded he didn't have an immediate plan for the property, but said he wanted "protection" by buying the land because "you can use your imagination" about what might go on the block if left to private buyers.
"Whatever the property is used for," Allen said, "it should be attractive for the community."
In a word of caution, Allen noted there are costs attached to the dairy property, and the water tower site, mainly a likely environmental clean-up that could run into thousands of dollars.
Even with the financial challenges and possible clean-up requirements, buying the property, Allen said, "Is something I think the people in this community would want us to do."
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