Business & Tech
Contract on Hi-G Building Closer to Completion
Monday night, town council members briefly discussed components of a potential Purchase & Sale agreement between the property owner and a potential developer.
It appears a deal to sell the former Hi-G building and property is closer than previously anticipated.
Monday night, the town council heard a report from the Town Manager Matthew Galligan and Town Attorney Kari Olson that a Purchase and Sale agreement between the agency that owns the rights to the 4-acre parcel and a developer is being reviewed.
Few details were released about the agreement, aside from that property owner Jan Exman and developer Constantinos Constantinou are in discussions about the property and that the town has identified four areas of concern related to the purchase and sale document to their respective attorneys.
Those areas include:
- That the two lots that currently make up the property be merged and that such action be noted on any deed.
- The town is not willing to provide for any further abatement once sale takes place.
- The town understands that the value of the property, to date, is around $420,000.
- The town must receive a general release from any previous agreement with Exman in respect to a former contract.
During the meeting Monday, Constantinou made a brief statement saying that he has agreed to the terms. In January 2011, a deal was announced that Constantinou and his father-in-law were acquiring the Hi-G property for $415,000. Under the terms of the deal, Exman would receive $300,000, while the town would receive $115,000.
Further details on the proposed Purchase and Sales agreement were not available Monday evening.
After more than 20 years of laying dormant, action to eventually develop the site where a former military defense contractor once operated occurred on Feb. 27, when an entity called 85 Nutmeg Road LLC recorded a committee deed with the town stating that it acquired the property from Hi-G Company through a foreclosure proceeding for $700,000. The alleged transaction is dated Nov. 12, 2010. Exman is listed as the principal of 85 Nutmeg Road LLC, according to the Secretary of the State’s office.
In mid-March, Town Manager Matthew Galligan said that there was a relatively aggressive timeline associated with whatever is taking place at the Hi-G Building, within a 30- to 90-day window.
During that time, Galligan said there would be public meetings by the Redevelopment Commission and the Planning and Zoning Commission, among other town agencies.
Reporting by South Windsor Patch Editor Ted Glanzer contributed to this article.
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