North Adams Planning to Purchase Modern Liquors

By Tammy Daniels
iBerkshires Staff
11:12PM / Tuesday, June 23, 2009

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NORTH ADAMS, Mass. — The city is planning to purchase the Modern Liquors property on State Street and demolish the building for parking space for the Noel Field Athletic Complex.

The City Council on Tuesday night authorized Mayor John Barrett III to borrow $315,000 for the purchase and demolition of the building, pending matching federal funds through the state Executive Office of Energy and Environmental Affairs that will cover more than 60 percent of the cost.

Barrett told the councilors that the city has been interested in the property for some time as part of a project to expand access to Noel Field and beautify the city entrance that began under former Mayor Richard Lamb. 

Only in the past few weeks has the city and owner Dennis Steele, principal in Modern Dairy & Liquor Inc., come to an equitable agreement, he said. That made the timing tight to submit a grant application for the Parkland Acquisition and Renovations Community Program by July 15.

"This came together very, very quickly," he said. "It all took place in the last few weeks."

The city will buy the 298 State St. property for $265,000, about $20,000 over its valuation, and spend about $50,000 to demolish the existing structure. Several councilors questioned the pricing: "That's a lot of money," said Councilor Marie Harpin.

The mayor said the price was far less than originally asked and that city was required to pay fair-market value. He stressed that it was not a taking of land but a straightforward purchase and that, in the end, the city will pay about $94,500 from the Noel Field and other accounts (mostly privately raised funds for the field) with the grant picking up the balance. The property would be assessed as well before a final agreement.

He assured the councilors that the purchase would not be concluded unless the federal funding comes through, probably in August or September. The city is required to borrow the full amount and then be reimbursed.

Over the years, the city has purchased and demolished several properties in the area, including the former Altiere's bar next to Modern Liquors. It also owns a storage building behind the liquor store purchased from Steele some years ago.

"That corridor has been cleaned up immensely over the last few years," said Barrett, adding that "something will be worked out" for leased parking for the nearby Hot Dog Ranch.

Modern Liquors was once a large dairy facility operated by the late Robert Steele that pasteurized and packaged milk from area farms, supplied milk to local schools and had a counter for ice cream and other dairy products. The liquor store opened after the dairy was shut down more than 30 years ago.

Barrett said Steele was planning to retire and that the package store license did not come with the property.

The building will be leveled for additional parking, probably next year. Barrett hoped another grant could be used in the coming years to install "an artificial surface down there so football can return there as well as the soccer program."

Tear Down Time

The council also approved a transfer of $350,000 from the sale of lands account to the Capital Items account for demolition of a number of blighted properties. Those funds will be supplemented by about $170,000 in community development funds and $250,000 expected through a Small Cities Grant.

"We've been getting some really great prices for demolition right now," said Barrett. "We'd like to move full steam ahead in the next 60 to 90 days."

Three properties in good condition owned by the city will likely be auctioned off to get a head start on the demolition of condemned ones; the mayor estimated about 180 blighted buildings have been taken down and about another 180 should be.

The average cost for demolition is estimated at $35,000 because of asbestos abatement and the need to pay prevailing wage.

"Before the summer's out, we'll be in here with a list," he said, of private structures that have been condemned or abandoned. "I wish we could do more. I think this will bring a lot more investment into the city."

The city has struggled with blight, which the mayor has described as an "equity thief." Last year, it took months for the City Council to pressure owners of a handful of properties to clean up or tear down; all were eventually torn down.

About 10 condemned structures are now owned by the city.

"I think before the city can go after anybody else to clean up, I think the city has to take care of what we have," said Councilor Ronald Boucher, who also questioned the situation at the North Adams Plaza, which was supposed to be taken down by owner Starwood Ceruzzi weeks ago.

Barrett said the company had until July 14 — if it doesn't come down, the building inspector will be before the council asking for enforcement.

While demolition has sparked heated debates on local message boards, some city residents think it's a good thing.

"The property that was on Houghton Street, those three duplexes you took down and made a grassy area which is very beautiful, I'm very happy about that," said Henry Jaeschke of Chase Avenue, who spoke to the council on how much better the neighborhood looked. "I'd rather keep it that way."

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