City chooses developer for Powder House School site

[lizforalderman.livejournal.com]

Looks like a bid has been chosen for the Powder House School site.  Details in the city's press release:
http://www.somervillema.gov/news/powder-house-school-site-redevelopment-recommendation-accepted-mayor

I've read the proposal, and while there are some good design ideas that will open up, expand, and enhance the public outdoor spaces in the site, the building use will be focused on housing and commercial space, with only token concessions to SomerVision's priorities of arts and community oriented space. It's a far cry from the most exciting of the proposals, like the possible new home for Artisan's Asylum (I really hope they have other options they're considering and that this wasn't their only shot at staying in Somerville!).  But here's my big question: why is the city accepting a bid of only $2.7 million for a property that is valued at $7 million (and post-development will be potentially valued at more than $20 mil)?

Additionally, of the 40 housing units 7 will be designated affordable (a better proportion than at Assembly), and 12 units will be designed for aging-in-place, though I note that the degree of overlap of the affordable and senior housing is not stated.  Has anyone heard what the plan is in this regard?

That said, I'm glad the city is moving forward, as the most important thing is to get our vacant spaces into development before they become a public safety hazard, like certain Social Security buildings we all know.

(some more of my own thoughts on Facebook)

Comments

[secretlyironic.livejournal.com]

That purchase price makes no sense. $2.7M cash is a nice chunk of change but clearly that building is worth more unless there is some SERIOUS environmental remediation to be done before it can be habitable.

[francescadavis.livejournal.com]

If I remember correctly from the Tufts round, there is an asbestos issue in the building.

[lizforalderman.livejournal.com]

Oh interesting. I don't think I've seen that mentioned in the news coverage or the developer bids that I've read, but I believe it! Would that really bring the value down so much, though?

[secretlyironic.livejournal.com]

So, it's worth $7M as long as you don't move any walls or ceilings. But if you want to renovate, you've got to spend a few mill just on cleanup. Fair enough.

[francescadavis.livejournal.com]

I realized I should back up my recollection with fact and a quick Google search turned up this: http://www.somervillema.gov/sites/default/files/documents/powderhouse-hazmat-report-axiom-12-22-2014.pdf

And this article where some bidders specifically mention demolition and remediation costs for the low sale price:
http://somerville.wickedlocal.com/article/20150430/NEWS/150439844

[secretlyironic.livejournal.com]

Ah, thank you. That is useful.

[lizforalderman.livejournal.com]

Thanks! That clears up a lot of things.

[somergirl80.livejournal.com]

We don't need anymore for "artists" or more weird business with overpriced items.
Glad to hear affordable housing and housing for seniors will be here, wish that would take up the entire space though.
Sad to see a great school go down like this.

[nomacmac.livejournal.com]

I am curious about the source of the value of the property being 7 million. Wasn't the prior offer from Tufts that was accepted during the last round of bids also 2.7 million?. I am excited that Parts & Crafts and Sprout are involved in this. They have been a great addition to our community.

[lizforalderman.livejournal.com]

I got that $7 M number from a Somerville Journal article, which didn't specify where they got it from.

[ron_newman]

This isn't bad, but I had really been hoping for either Artisan's Asylum or Smart-Space.

[lizforalderman.livejournal.com]

Me, too. That said, a little while back I spoke to someone closely involved who expressed a concern that the Artisan's Asylum bid was not good for Artisan's Asylum; they didn't trust the developer putting together that bid and thought they were giving Asylum a bad deal. The Artisan's Asylum folks I spoke to didn't seem to think it was a bad deal, though. Hope things work out for them...

[courtney (from livejournal.com)]

Me too

[emcicle.livejournal.com]

I agree, I was really hoping for Artisan's Asylum. But glad that Parts & Crafts and Sprout will find homes.