Marshfield, WI (OnFocus) The deal to sell the former City Hall building at 630 S. Central Ave. is set to close on May 1.
“The nice thing about it is it’s a good clean sale,” said Mayor Bob McManus. “It’s a cash offer.”
Common Council voted on March 26 to accept a counteroffer from David Steinle for $900,000. The building’s use will largely remain unchanged.
“This particular buyer actually just wants to use it as an office/retail commercial type building, renting out space. His intent is to keep all the current tenants, to build on that,” said City Administrator Steve Barg.
The deal carves out Strohman Park from the sale, keeping it with the City. Additionally, the City had considered retaining the north end of the parking lot but observed that the available parking at the new location at 207 W. 6th Street was sufficient.
“Aside from once in a great while, maybe a Common Council meeting that’s heavily attended by citizens, the parking we have between the front and back part of the Forward Bank building really does meet our needs,” said Steve Barg, City Administrator.
The City earned $340,000 in rental income per year from leases, including rooftop cell towers. Operating expenses for the building were roughly half that.
“Every month that goes by, we’ve been not losing money. We’ve actually been having profit per se. But, even as we lose that, we also lose the fact that in three years or five years or seven years we would have to deal with HVAC issues, boiler, maybe roofing, maybe electrical and plumbing,” Barg said.
The City will retain a presence at its former location through the lease of over 1,000 square feet of space at a cost of roughly $12 per square foot, for its new communications department.