Real estate group interested in business
Saying no less than seven tenants want to locate in his firm’s proposed facility in the Fayette County Business Park, Synergy Real Estate Corp. Vice President Mark H. Smith said Tuesday his company is still interested in purchasing property at the park. Speaking to the Fayette County Redevelopment Authority, Smith said he is aware that some procedural issues still need resolved, but he wanted the authority to know the company is still interested. “We have seven potential new businesses and jobs that go with them,” Smith said.
Solicitor Herb Margolis said he is working to get a contract with Synergy’s attorney. “There are a number of issues still boiling for that tract,” he said.
Authority Executive Director Andrew French said some surrounding development hinges on the lot. Last year the authority took action to consider the sale of 3.5 acres at the business park, located along Route 40 in South Union Township, to Synergy or its assignees at a price of $329,000, but the sale was never finalized.
Plans were for the company to build a “flex building” containing approximately 40,000 square feet of space that would potentially include insurance companies, distributions centers, light manufacturing business, retail sites and food service businesses.
While Synergy agreed to share up to $100,000 in the cost of a traffic signal on Route 40, since that time several development have occurred at the park, such as the sale of a 37-acre parcel to Armstrong Development and a 25-acre parcel for Cedarwood Development Inc., both for large scale commercial projects, including a Wal-Mart Super Center and other major retailers.
Margolis said the unresolved issues including figuring out where the road will be built and determining boundary lines. He said the authority can make a decision on approving a contract after those issues are resolved.
During his director’s report, French said the H&P Properties LLC medical office building is fully operational at the business park. The authority approved a certificate of completion for the site. French said three additional medical buildings are under construction at the park and work continues to iron out major issues with potential developers. French also said that recently the park’s Fayette County Mental Health/Mental Retardation building held a grand opening.
French said he anticipates a closing with Cedarwood in the first quarter of 2006, with construction to begin early next year. In response to a question from board member Paul Bortz Jr. regarding how many lots are being held up because of Cedarwood, French said the big part is announcements of tenants, which could increase the value of the land. He said a lot relies on construction of Matthew Drive extension and improvements to New Salem Road and Route 40.
French also reported that the authority’s 2004 single audit report for the year ending December 2004 found no material weaknesses. “Everything is clean,” French said. He added that there was one prior audit finding involving a change to a cost allocation plan that has been resolved. Maher Duessel conducted the audit.