City acquiring 207 W. Division St.

Published 7:58 am Tuesday, July 28, 2009

Dowagiac Daily News

Dowagiac City Council agreed Monday night to pay $55,000 in three installments for the former service station at 207 W. Division St. where Howard Hall’s family lives.

City Manager Kevin Anderson attributed the acquisition of the building that had been Kirk and Donna Proshwitz’s paintball business before Hall opened Candy Corner to the city’s “interest in the property. This property is consistent with long-term redevelopment opportunities for the downtown, and because the property is available now, the city began negotiations for this property and sought out an appraisal of the property, as well as a Phase I environmental study.”

“Over the past 20 years,” Anderson said, “the city has consistently worked on a number of redevelopment projects that have helped make for an economically viable downtown. The downtown streetscape project, building improvement grants, rehabilitating what is now the Wood Fire building and participating in the rental rehabilitation program are but a few of the projects initiated by the city.”

Anderson said Kirk Proshwitz approached the city about the availability of 207 W. Division St. last October.

The environmental study identified potential underground storage tanks.

The offer to purchase requires the owner to remediate these environmental items addressed in the report at the owner’s expense prior to closing and to the city’s satisfaction.

Terms of the purchase agreement are that the $55,000 purchase price will be paid a third at closing; a third in 12 months; and a third in 24 months.