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Bank One Deal Smells

Printed From: MiddletownUSA.com
Category: Middletown City Government
Forum Name: City Council
Forum Description: Discuss individual members and council as a legislative body.
URL: http://www.middletownusa.com/forum/forum_posts.asp?TID=5672
Printed Date: Nov 22 2024 at 3:31am


Topic: Bank One Deal Smells
Posted By: Middletown29
Subject: Bank One Deal Smells
Date Posted: Apr 03 2014 at 2:57pm
At lunch today I heard from a very reliable source the city received a much higher offer for bank one building and turned it down.

Miss Judy wants the building to go to her close friend with the Glaser family, Mica Glaser.

Miss Judy has not disclosed her friendship with the real buyer to Council.

Mr Waldon is a front man buyer. He has no money and had issues with a recent real estate failure.



Replies:
Posted By: over the hill
Date Posted: Apr 03 2014 at 3:09pm
I hope someone can get to the bottom of this. Get the truth out.


Posted By: acclaro
Date Posted: Apr 03 2014 at 3:17pm
Micah Glaser owns Toast of the Town.

Strange city selling to an LLC established a month ago?

 
Corporation Details
   
Corporation Details
Entity Number2269303
Business NameTOAST OF THE TOWN EVENTS LLC
Filing TypeDOMESTIC LIMITED LIABILITY COMPANY
StatusActive
Original Filing Date02/18/2014
Expiry Date 
Location: County: State:
Agent / Registrant Information
MICA GLASER
6160 EDNA OAKS CT.
DAYTON,OH 45459
Effective Date: 02/18/2014
Contact Status: Active
Incorporator Information
THERON J JONES
Filings
Filing TypeDate of FilingDocument Number/Image
ARTICLES OF ORGNZTN/DOM. PROFIT LIM.LIAB. CO.02/18/2014 http://www2.sos.state.oh.us/reports/rwservlet?imgc&Din=201404501517" rel="nofollow - 201404501517


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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: over the hill
Date Posted: Apr 03 2014 at 3:38pm
Thanks again Acclaro: but how much need council know about this "favoritism" deal and when did they know it. Did Judy come clean about the "freindship" to council or did she white wash it?


Posted By: Vivian Moon
Date Posted: Apr 03 2014 at 3:56pm
Yep this deal has a really bad smells
Where is Mr. Chis Walden going to come up with all the money to bring this building up to code or will that be overlooked also?
City Hall sold an income property with a five year lease of about $72,000 per year for $135,000....now that's what I call one sweet deal.


Posted By: Middletown29
Date Posted: Apr 03 2014 at 4:01pm
Was told today City turned down an offer of $200,000.


Posted By: acclaro
Date Posted: Apr 03 2014 at 4:47pm
Emergency session on selling a building to a one month old building?

Well no wonder! Micah has a birthday in April for gosh sakes.

Wow, that's a relief. Some thought there was some questionable transaction occurring. Come on, this is a great deal. Sell bld for 135 Kk  generating > 300 Kk. That's only a loss of 175,000. Beats the Manchester loss of 350,000.      


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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: Middletown29
Date Posted: Apr 03 2014 at 5:41pm
Just read legislation Council is considering on sale of Bank One building.
Gilliland is requesting Council wave their own law regarding sale of real estate so she can sell building to friends. Legislation is an emergency even though her friends have 60 days to cancel the deal.


Posted By: over the hill
Date Posted: Apr 06 2014 at 10:04am
Midd29: May be some council members need to be clued in on the relationship back ground of Judy and the Glaser family.Hopefully they will see something wrong with trying to rush this through before it gets challenged by anyone. Shouldn't this be brought up for bid?


Posted By: over the hill
Date Posted: Apr 06 2014 at 11:20am
It appears Ms. Glaser is in marketing for Cobblestone Cafe in Waynesville,Ohio


Posted By: VietVet
Date Posted: Apr 06 2014 at 1:15pm
Originally posted by over the hill over the hill wrote:

Midd29: May be some council members need to be clued in on the relationship back ground of Judy and the Glaser family.Hopefully they will see something wrong with trying to rush this through before it gets challenged by anyone. Shouldn't this be brought up for bid?


I'm wondering if it would matter whether any councilmember were clued in or this was brought up for discussion. There is a long track record of every council member going along with the program, no matter what the subject. Only puppets and yes vote people qualify for council. They should be ashamed of constantly selling out and cowering down to the city building deceit, but I would imagine one has to be strong enough in personality to offer a combative role against the city gameplan. Haven't seen one council member, who has been that strong, in decades. Closest.....perhaps Laubach, but after time, he either gave up or was "talked to by the Mulligan clique". Sad to see.

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I'm so proud of my hometown and what it has become. Recall 'em all. Let's start over.


Posted By: over the hill
Date Posted: Apr 06 2014 at 2:03pm
I don't see any investment back ground in this Glaser person. How about a financial report on her or on Walden. The other party just summited another bid for over $200,000.They have a track record and money backing. Balls in your court council are you going to do the right thing or let Judy lead you down the Primrose Path again? We're still watching!!


Posted By: VietVet
Date Posted: Apr 07 2014 at 6:18am
Journal story....

City may sell Bank One building for $135,000

MIDDLETOWN —
The city may soon be out of the landlord business.


City Council will decide whether to sell the Bank One building, 2 S. Main St. — the last of the properties the city purchased from the Perry Thatcher estate more than three years ago — to Toast of the Town Events, LLC, for $135,000. The group is owned by Chris Walden who plans to convert the building into an art gallery and event center

Doug Adkins, the city’s director of community revitalization, told council last week the city received an unsolicited offer from Walden. Council member Dora Bronston questioned Adkins why the city wanted to sell the property to Walden when it had received offers before, and Adkins told her it was the first offer the city had received

DUNNO, BUT THIS SOUNDS LIKE A LIE ACCORDING TO OTHER POSTS ABOUT RECEIVING OTHER BIDS. DID DOUGGIE LIE AGAIN TO BRONSTON? IS BRONSTON GONNA BELIEVE IT?

DOUGGIE SPEAKS:


"He said it made “good sense” for several reasons: Gets the city out of owning properties, a long-term goal, provides another arts and entertainment business downtown and generates revenue for the city."

NOPE....WRONG. THE CITY WILL NEVER GET OUT OF OWNING PROPERTIES. THEY WILL CONTINUE TO BUY WHAT IS NEEDED TO ADDRESS THEIR PLANS FOR DOWNTOWN. THEY WILL BUY PROPERTIES OF DEMOLISHED BUILDINGS/HOUSES AND ATTEMPT TO SELL THE LAND....USUALLY WITH NO SUCCESS.

"provides another arts and entertainment business downtown"

YEP, ALL THE OTHER ARTZY PLACES HAVE ALLOWED THE DOWNTOWN TO EXPLODE DOUGGIE. JUST WHAT WE NEED.....MORE OF WHAT ISN'T WORKING.

"generates revenue for the city"

NOT ENOUGH TO BE MENTIONED. IT CAN'T. IT WILL ONLY CATER TO A SMALL FRACTION OF THE POPULATION AND WILL HAVE VERY LIMITED INTEREST.

"If the Bank One building is sold, the city would make $62,000 off its investment."

BUT HOW MUCH HAS THE CITY LOST WITH OTHER INVESTMENTS IN THE PAST? TELL US WHAT THAT NUMBER IS MCCRABB.

TOWNE BLVD.:

"The project will be funded by OKI-allocated Federal Surface Transportation funds ($585,000), a grant from the Ohio Public Works Commission ($665,000) and the balance of ($299,00) will come from the Storm Water Capital funds, said Scott Tadych, public works and utilities director"

IS THE STORM WATER CAPITAL FUND THE PROPER USE FOR STREET REPAIR?

"The project is expected to include minor widening, reconstruction of traffic signals, replacement of signage and construction of sidewalks. The city is hoping to reduce the number of accidents in that area and improve traffic flow, Tadych said"

I DON'T SEE HOW THESE ITEMS ARE CONNECTED TO STORM WATER. SOUNDS MORE LIKE THE STREET REPAIR FUND TO ME.

Error made (WHAT ELSE IS NEW) in Sebald Park property

When the city sent out its request for proposals for the purchase of Weatherwax Golf Course, it was discovered that a portion of the land also was included in the sale to Butler MetroParks.

So instead of receiving the full $20,000 purchase price for the sale of Sebald Park, $5,000 of that, or 25 percent, will be given to the Ohio Horsemen’s Council to compensate it for about one mile of trails lost in property leased to MetroParks that is being sold as part of Weatherwax Golf Course

GUESS THAT MEANS SOME TYPE OF INCREASED COSTS IN CITY SERVICES TO RECOUP THE MISTAKE AND LOSS OF THE $5000 FROM A CITY WHO IS PINCHING EVERY PENNY (EXCEPT FOR THE "HIDDEN AGENDA/WE JUST FOUND SOME MONEY" FUND FOR THE NEXT DOWNTOWN PROJECT THAT IS)






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I'm so proud of my hometown and what it has become. Recall 'em all. Let's start over.


Posted By: Vivian Moon
Date Posted: Apr 07 2014 at 8:36am

 “The group is owned by Chris Walden who plans to convert the building into an art gallery and event center

Event Center?
It is my understanding that the event and meeting area at PAC is the only thing that is keeping them in business.
Now we have Murphy’s Landing, with a new meeting area.
Art Central needs an elevator for their third floor meeting and event area.
Manchester Inn is also planning a large event and meeting area.
Sorg Opera will also have a meeting area on the upper floors
Hmmmm…..Seems like a lot of meetings will be going on.
How many meeting areas do you believe
Middletown can support?



Posted By: Vivian Moon
Date Posted: Apr 07 2014 at 9:03am

"If the Bank One building is sold, the city would make $62,000 off its investment."

Hmmm….Didn’t City Hall just upgrade the Miami Research side of this building several months ago before they signed the new contract?



Posted By: acclaro
Date Posted: Apr 07 2014 at 9:23am
Events. The whole effort of the city and council for greater than 5 years, has been to buy and give buildings they want to control their neighbors. The sale of the Bank One building is not about money, it never has been, its about controlling the neighborhood. Micah Glaser is the named contact for Toast of the Town. She isn't a registered agent, she is a member, probably the second of two,

This is a deal where the city feels they need a marketing event planner to arrange the special events at PAC, Murphy's, The Manchester, which probably is a front for local partners....LP, Chicago, not incorporated, no transparency. and all this effort under the cloaked heading of "revitalization."

Akin to you or I buying a 100 acre farm using tax payer money because you don't want a neighbor around your house.

How the city gets away with these actions, and council, are staggering.   

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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: FmrMide81
Date Posted: Apr 07 2014 at 9:50am
Well of course it's their first "offer"-as they said during the meeting, they received several "inquiries: but always told the inquiree the building wasn't for sale. Meaning, of course, it wasn't for sale to them-only to someone they deemed worthy. And the reason they keep getting away with this larcenousa behavior is because people can't or won't actually take legal action where they have to defend their actions  someplace other than their home turf.


Posted By: over the hill
Date Posted: Apr 07 2014 at 9:58am
Was it Robinette who had the other bid? May be some one should ask him, he probably wouldn't mind answering a few questions to clear this up.


Posted By: acclaro
Date Posted: Apr 07 2014 at 10:19am
These LLC's, LP's, popping up, in most cases, are a month old before the city takes action.

Coincidental?

Or....some serious coaching taking place in Donham Abbey.

No coincidence. 

Years spent picking the neighbors before getting out of the real estate business. All while eyes taken off the true issue: economic development and attracting new residents and businesses. ED will be writing grant proposals, not closing business deals with tax producing entities.

This ship is heading in wrong direction and has been for too long.


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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: Vivian Moon
Date Posted: Apr 07 2014 at 10:23am

It is my understanding that Mr. Robinette sent a copy of his offer to all the council members.
But again I ask the question..when was this property placed on the open market? 
Did anyone see a FOR SALE sign on this building?



Posted By: acclaro
Date Posted: Apr 07 2014 at 10:53am
How do you know Robinette is not a member of Toast of Town and Manchester LP?

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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: over the hill
Date Posted: Apr 07 2014 at 11:37am
According to the "articles of organation" you posted earlier,there is no other member listed.If memory serves me I believe Judy is related to some Glasers in Dayton. With this just being liecensed in Feb could this be a way to get around someone else buying it and it going to a hand picked person of Judy's choice? Again I don't think Dougie is telling us the truth about another offer.I heard there was another offer for $200,000. I don't know where Walden fits in to this but it's getting more interesting.


Posted By: acclaro
Date Posted: Apr 07 2014 at 11:57am
Only one member or registered agent has to sign the Articles, up to 100 members possible in an LLC.   

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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: over the hill
Date Posted: Apr 07 2014 at 12:56pm
Yes I suppose members can be added anytime so more investigation is needed to know if Walden is a member. Still doesn't answer the question of "favoritism" by Judy.


Posted By: acclaro
Date Posted: Apr 07 2014 at 2:21pm
There is no requirement to divulge members names in an LLC nor partnership.

Typically, the name listed as contact for LLC at state level regardless of registration, is the Managing Director and the contact for any legal matters. For banking purposes, either a Managing Director and all members have to be listed.

Proper due diligence by council would provide this. If shielding others by one front, any number of members in community could be associated with Toast, others.       


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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: 409
Date Posted: Apr 07 2014 at 6:06pm
From MJ:

EXCLUSIVE: City received 2 higher offers for building

By Rick McCrabb

Staff Writer
MIDDLETOWN —
The city received two higher offers — one for $67,500 more — for a building it owns than the price City Council is considering accepting, the Journal-News has learned.

At last week’s council meeting, members were told Toast of the Town Events LLC, offered $135,000 for the Bank One building, 2 S. Main St., and artist and owner Chris Walden planned to convert the building into an art gallery and event center. They heard a presentation from Doug Adkins, director of community revitalization, and will vote on the emergency legislation at their next meeting, April 15.

Adkins told council the offer was unsolicited and said it made “good sense” because it generated revenue, fit the downtown business plan and got the city out of the landlord business.

Council member Dora Bronston questioned Adkins why the city decided to sell the building now when it had received offers before. Adkins told council the city hadn’t received any offers, only inquiries about the city-owned property.

Bronston again asked Adkins if the city had only received inquires, but no offers.

“That is correct,” he told Bronston.

But the Journal-News learned Monday that Mike Robinette, a Middletown developer and the city’s former economic development manager, made two offers to purchase the Bank One building. The first offer, dated March 24, 2014, was for $185,000 and it was signed by Steve Coon, one of Robinette’s business partners. The second offer, with the same date, was for $202,500, $67,500 more than the city is considering accepting. That one was signed by Robinette.

When questioned about it Monday, Adkins told the Journal-News the city was “already in negotiations” with Walden when Robinette’s offers were received, and the city typically only actively negotiates with one party at a time.

He said he expects council to approve the deal on the table, reject the deal, or give staff direction to complete some other action regarding this property.

“Some people were unhappy when the city purchased these buildings,” Adkins said. “Some people complained that the city shouldn’t be landlords or own property. Now that we are considering getting out of owning and leasing the buildings and are doing so at a small profit, some people are upset that we didn’t make enough profit. There are always going to be critics of any action taken.”

On Monday, when asked why she was persistent at the last council meeting, Bronston said she had received several phone calls from “concerned citizens” about the potential sale of the Bank One building. Bronston refused to answer additional questions, saying some of the discussions with City Council and city officials occurred in executive session.

Robinette told the Journal-News his first offer was rejected by city leaders, so his company increased its offer by $17,500, or just under 9 percent. When he had asked about the building and if the city was interested in selling it, he was told the building was not on the market, he said. Robinette received an e-mail from Gilleland that said the city appreciated his offer and what his company had done to stimulate the downtown economy, he said.

So, he said, his company “dropped the matter,” but after he learned the property was for sale, he submitted proposals.

He said his company had hoped to renovate the former bank building and convert it for commercial use and possibly highlight Middletown’s rich history in the steel, paper and banking business.

He said the city has “a certain amount of liberty” who buys buildings, but he wished bids would have been accepted, following the procedures outlined in Section 200.09 of the Codified Ordinance of the city of Middletown that states any city-owned property valued at more than $5,000 must be advertised in the newspaper or general circulation in the city, and the city should receive bids for at least 15 calendar days.

“The city should get the highest and best price they can get,” Robinette said. “There should have been a public competitive process so they could test the market.”

The building is valued at $137,980, according to the Butler County Auditor’s Office.

The city paid $275,000 in December 2010 to the Perry Thatcher estate for several downtown properties: CG&E Building, First National building, Masonic Temple and the Bank One building, Adkins said. He said the city received $202,000 from Higher Education Partners for the purchase of the former CG&E Building that is being used by Cincinnati State Middletown. If the Bank One building is sold, the city would make $62,000 off its investment.

City Council has donated the First National building to Cincinnati State Middletown and the Masonic Temple building to the Art Central Foundation.


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Every morning is the dawn of a new error...


Posted By: over the hill
Date Posted: Apr 07 2014 at 6:45pm
Well there's Dougie caught in another lie and to think there are people that actually want to see him as city manager. Haven't we had enough lies and half truths from this man. Sounds like council is determined to go with the Walden proposal. I think we need to make phone calls to council members,that's tax payer money they are losing.That sure makes good sense to turn down a higher bid.That's the business sense we have running our city, no wonder the city is going broke.


Posted By: Vivian Moon
Date Posted: Apr 07 2014 at 7:54pm

So, he said, his company “dropped the matter,” but after he learned the property was for sale, he submitted proposals.

He said his company had hoped to renovate the former bank building and convert it for commercial use and possibly highlight Middletown’s rich history in the steel, paper and banking business.

Hmmm..when Mr Oglesby talked with Steve Coon last fall about restoring the Bank One Building he told Mr Coon that he was considering using the building as an Industrial Museum.

He said the city has “a certain amount of liberty” who buys buildings, but he wished bids would have been accepted, following the procedures outlined in Section 200.09 of the Codified Ordinance of the city of Middletown that states any city-owned property valued at more than $5,000 must be advertised in the newspaper or general circulation in the city, and the city should receive bids for at least 15 calendar days.


“The city should get the highest and best price they can get,” Robinette said. “There should have been a public competitive process so they could test the market.”
I agree.

The building is valued at $137,980, according to the Butler County Auditor’s Office.
When Mr. Thatcher owned this property it had a value of $225,000. Did the Auditor’s Office know that this was now income property? Did they know that this property was just recently declared historic and historic funding would be available?…I think not.

This is nothing more than an inside deal.




Posted By: bumper
Date Posted: Apr 07 2014 at 8:13pm
yep sure sounds like he just got caught with his pants down! everyone involved should not have a job in the morning!!this kind of crooked lying crap this city staff is involved in should not be tolerated!! time to fire them all!! I guess there's a chance it won't happen if you have a crooked lying council...


Posted By: acclaro
Date Posted: Apr 07 2014 at 8:39pm
The SEC hammers folks for insider trading.

I liked Doug Adkins when he was prosecutor. But to have multiple offers considered for Weatherwax and extend the response time flies in the face of negotiating with one party at a time. It is also ethical to convey to another party a negotiation is in progress. Why the hurry to unload a building to an LLC established within a month?

I see as much of a conflict with Robinette associated with his insider information as well. What's the reference to the city ordinance; teeing up legal action?

Is it true Vivian, the city had lease agreements making $300,000. +?

I think Mr. Adkins committed a fatal sin; you never lie in a public hearing.    




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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: Iron Man
Date Posted: Apr 07 2014 at 9:29pm
Exclusive photo from inside executive session:





















Posted By: Vivian Moon
Date Posted: Apr 08 2014 at 7:40am
Acclaro

The old lease agreement between City Hall and Miami Univ Research was $4,833.33 per month as per the Downtown Funds account.
However at this moment I can’t seem to find my notes for the new lease, the upgrades and the amount. I will need to post it later today.

Mr. Robinette sits on the board of Downtown Middletown Inc. and therefore has inside knowledge of any buildings going to be sold in the downtown area.

This is not the first time Mr. Adkins has stood before council members and told his little white lies.





Posted By: acclaro
Date Posted: Apr 08 2014 at 8:01am
If the situation is understood correctly, the city is selling a building for 135,000. that has a cash-flow for 5 years of  about $300,000, Right? Who would not want a deal like this if this correct.

Appears Robinette identified the ordinance violated, as well as Ohio law associated with public notification using public funds.  Maybe something is missing, but this is pretty blatant.

Can't square Weatherwax sell with extension of time to respond with keeping any sell under the radar.

Why? 


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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: Middletown29
Date Posted: Apr 08 2014 at 8:09am
220.09  SALE OF CITY-OWNED PROPERTY.
   (a)   The following procedure is hereby established for the sale of City-owned real property:
      (1)   The City Manager, or his or her designee, shall estimate the value of any City-owned real property, which is proposed to be sold, or for which an offer has been made, as being less than five thousand dollars ($5,000.00) or five thousand dollars ($5,000.00) or more.
      (2)   Any City-owned property, which is estimated to be worth less than five thousand dollars ($5,000.00), may be sold without advertisement, upon the consent of City Council.  By approving such sale by either motion or as part of a consent agenda, City Council is authorizing the City Manager to sell the property, confirming that the property is not needed for a Municipal purpose, and confirming the property is valued at less than five thousand dollars ($5,000.00).
      (3)   Any City-owned real property which is estimated to be worth five thousand dollars ($5,000.00) or more shall be sold in accordance with the procedure set forth in this division (a)(3).
         A.   If the City determines that real property should be sold, the City Manager, or his or her designee, shall cause the real property to be appraised.  If the appraised value of the real property is less than five thousand dollars ($5,000.00), the real property may be sold in accordance with division (a)(2) of this section.  If the appraised value of the real property equals or exceeds five thousand dollars ($5,000.00), the City Manager, or his or her designee, shall cause the sale of the property to be advertised one time in a newspaper of general circulation in the City.  The real property shall be sold in an “as is” condition unless otherwise indicated by the advertisement.  The City shall receive bids on the real property for a minimum of 15 calendar days from the date of the advertisement.
            1.   Upon the opening of the bids, each bid shall be evaluated to determine whether,  (1) it is the highest bid, (2) it equals or exceeds the appraised value of the real estate, and (3) it conforms to the advertisement, and more specifically, contains no contingencies not specified in the advertisement.  If a bid is the highest bid, equals or exceeds the appraised value of the property, and is free of contingencies not specified in the advertisement, the bid may be accepted, upon the consent of City Council.  By approving such sale by motion or as part of a consent agenda, City Council is authorizing the City Manager to sell the property, confirming that the property is not needed for a Municipal purpose, and confirming the bid as the highest and best bid.
            2.   If no bid is found to be the highest, above the appraised value of the property and contains no contingencies not specified in the advertisement, all of the bids shall be submitted to City Council for their review.  City Council may reject all bids, or it may approve, by legislative action, the sale of the real property to the bid it determines, in its sole discretion, to be the “highest and/or best” bid.
         B.   If an offer is made to the City to purchase a parcel of City-owned real property, which has not been advertised for sale in accordance with division (a)(3)A. of this section, the City Manager, or his or her designee, shall cause the real property to be appraised.  If the appraisal value is less than five thousand dollars ($5,000.00), the real property may be sold in accordance with division (a)(2) of this section.  In all other cases, the offer shall be compared to the appraised value of the real property.
         C.   If the offer is more than 10% below the appraised value, the offer may be rejected by the City Manager or his or her designee.
         D.   If the offer equals or exceeds the appraised value, or is less than 10% below the appraised value; or if the City Manager determines, in his or her sole discretion, that an offer not meeting these criteria should be considered, the real property will be advertised one time in a newspaper of general circulation in the City.  Offers to purchase the real property will be received by the City for a minimum of 15 days from the date of the advertisement.
            1.   If, after advertisement, the City receives no other offers for the real property, and the original offer is equal to or greater than the appraised value of the property, the offer may be accepted and real property sold upon the consent of City Council.  By approving such sale, either by motion or as part of a consent agenda, City Council is authorizing the City Manager to sell the real property, confirming that the real property is not needed for a Municipal purpose, and confirming that the offer is the highest and best offer.  If the offer is below the appraised value of the real property, it shall be submitted to City Council, which may reject the offer, or it may, by legislative action, approve the sale.
            2.   If additional offers are received upon advertisement, the offers (including the original offer) shall be evaluated and acted upon in accordance with the procedures set forth in division (a)(3)A. of this section.
   (b)   The City Council hereby determines that the procedure to be followed in the sale of City-owned real property shall be as set forth in division (a) of this section, and that the provisions of Ohio R.C. Chapter 721 are hereby waived and shall not be applicable.
(Ord. 2002-87, passed 7-16-2002)


Posted By: swohio75
Date Posted: Apr 08 2014 at 8:34am
Originally posted by acclaro acclaro wrote:

If the situation is understood correctly, the city is selling a building for 135,000. that has a cash-flow for 5 years of  about $300,000, Right? Who would not want a deal like this if this correct.

Is this figure net minus expenses or gross revenue from rent?


Posted By: acclaro
Date Posted: Apr 08 2014 at 8:40am
My understanding is this is gross revenue amortized over 5 years. However, it is from a 3rd party source. It should make nonetheless, if accurate, a net positive income stream monthly after acquisition. 

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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: Vivian Moon
Date Posted: Apr 08 2014 at 10:57am

The other city owned properties were advertised for sale on the city web site and multi-listings. Why wasn’t the Bank One property handled the same way?

With two attorneys sitting on city council why didn’t they speak up about the sale of Bank One? 



Posted By: Vivian Moon
Date Posted: Apr 08 2014 at 4:26pm

September 26, 2013

Staff wishes to appropriate an additional $46,000 out of Downtown Fund 481 to make the required lease repairs. Repairs will be made as follows:

 Roof repair………………. $ 3,200

 Carpet Replacement…….. $18,000

 HVAC repairs…………… $22,000

 Parking Lot………………. $ 2,000

 Misc Interior……………….. $ 800

 Total………………………$46,000

 MUM rent was raised by $50,000 spread over the five year period to recoup the costs of repairs. As rent is paid by MUM, it will be returned to the Downtown Fund to be appropriated for other activities. 

So will this $46,000 debt of tax payer money be paid back by the new owner over the next five years or is this another gift from City Hall and part of the $135,000 deal? Yep..this deal just keeps getting sweeter and sweeter.

 


 

 



Posted By: Vivian Moon
Date Posted: Apr 08 2014 at 5:30pm

Then we also find another lease agreement between the City of Middletown and the Middletown Historical Society in the amount of $100.00 per month for storage room in the basement of Bank One.
Yes sir....this deal just keeps getting better and better



Posted By: Vivian Moon
Date Posted: Apr 08 2014 at 5:36pm
Lease between the City of Middletown and MUM

ARTICLE II

    The annual rent for the Leased Premises shall be sixty eight thousand and four dollars ($68,004) payable in monthly installments of five thousand, six hundred and sixty-seven dollars ($5,667.00) per month, and shall be payable on the first day of each month. Monthly installments are payable in advance on or before the first day of each calendar month of the Term.


Posted By: acclaro
Date Posted: Apr 08 2014 at 6:11pm
In theory:

Toast buys building at 135,000.

MUM DEAL YIELDS 340,020.

Net Gain for buyer- hurdle rate on capital outlay, less than 24 months.

+ benefit of space for Toast and incidental business of events.

All in on this deal.


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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: blue7
Date Posted: Apr 08 2014 at 6:40pm
Will TOT allow MUM to stay, whereas Robinette wouldn't? Either way it is stupid to risk that kind of exposure, even with good intentions.
Is MUM just using the space for the Applied Research dept?

And aren't they all in the same circles? What made Robinette turn on his group? Or am I off on that assumption? Or am I reading this all wrong?


Posted By: acclaro
Date Posted: Apr 08 2014 at 6:57pm
b7; I don't think Robinette & Co. would not keep a gift horse called MUM cash-flowing nearly 3x cost.

 

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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: blue7
Date Posted: Apr 08 2014 at 7:49pm
I just looked up DMI's board. I didn't realize MUM was represented there. The whole thing is odd, because if emails were exchanged then of course there would be a paper trail. Did they think DMI would just let it go? I realize I'm asking silly questions but I can't wrap my head around it. 


Posted By: Vivian Moon
Date Posted: Apr 08 2014 at 8:55pm
Blue7
Downtown Middletown Inc was not involved in this transaction.
Mr Robinette and Mr Coon are the investors that placed the highest bids on the
Bank One property.
We all need to ask the question why wasn’t this TOT transaction stopped during the executive session? Why on earth was this mess every allowed to go before City Council when they knew the rule of law had not been followed? Where was Mr. Landen when the sell of this property was discussed during executive session?



Posted By: Mike_Presta
Date Posted: Apr 08 2014 at 10:14pm
One of the problems is that Middletown's City Council has constantly mis-used the "executive session" provision of the Ohio sunshine law.

They use executive sessions for ANY discussions of real estate. However, executive sessions are only allowable:

"if premature disclosure of information would give an unfair competitive or bargaining advantage to a person whose personal, private interest is adverse to the general public interest"

Middletown's council often uses executive sessions primarily TO GIVE an unfair advantage to one party over other bidders (as in this case)!!!                  

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“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012


Posted By: acclaro
Date Posted: Apr 08 2014 at 11:05pm
Point well taken.

They also abuse the emergency sessions. Of course, it is obvious when ordinances are so freely violated, ergo election signs, bidding process, these practices are rising to the surface for all to see.

An Exception: Closed Meetings or Sessions

The general rule is that all meetings of public bodies must be open to the public. If a public body wants to hold a closed or "executive" session, it must identify a specific statutory exemption. Under the Ohio Open Meetings Act, a public body may hold a closed session when it is dealing with one of seven subject-area exemptions found in http://codes.ohio.gov/orc/121.22" rel="nofollow - Ohio Rev. Code § 121.22(G) . The seven exemptions are for meetings dealing with the following topics:

  • the appointment, employment, dismissal, discipline, promotion, demotion, or compensation of a public employee or official, or the investigation of charges or complaints against a public employee, official, licensee, or regulated individual, unless the public employee, official, licensee, or regulated individual requests a public hearing (this exemption does not apply to the discipline of an elected official for conduct related to the performance of his or her duties);
  • the purchase or sale of real estate for public purposes;
  • pending or imminent litigation;
  • negotiations or bargaining sessions with public employees concerning their compensation or other terms and conditions of their employment;
  • matters required to be kept confidential by federal law or regulations or state statutes;
  • details relative to the security arrangements and emergency response protocols for a public body or a public office;
  • matters involving trade secrets (but only in connection with local hospitals).

The exemptions make it permissible for a public body to close a portion of a meeting; they do not require it to do so. To close a session, a public body must identify the exemption justifying closure on the record during an open meeting, and a majority of members present must vote to hold a closed session. No formal action may be taken during a closed session.

A handful of public bodies may close their meetings to the public when dealing with additional topics, listed in http://codes.ohio.gov/orc/121.22" rel="nofollow - Ohio Rev. Code § 121.22(E) . To do so, however, the members must unanimously vote to close the meeting. See page 14 of the Attorney General's http://www.ag.state.oh.us/legal/pubs/Ohio_Sunshine_Laws_2008.pdf" rel="nofollow - guide for details.

For more information on the exceptions to the open-meetings requirements, see the http://www.ohioattorneygeneral.gov/files/Publications/Publications-for-Legal/Sunshine-Laws/Sunshine-Laws-Manual.aspx" rel="nofollow - 2012 Sunshine Laws Manual and the http://www.rcfp.org/ogg/index.php?op=browse&state=OH" rel="nofollow - Open Government Guide: Ohio .

What Are Your Remedies If You Are Denied Access?

If you believe that a public body has violated your rights, you can sue in state court. Under Ohio law, any person may file a lawsuit for violation of the Open Meetings Act in the court of common pleas for the county where the meeting in question took place. If you succeed in a lawsuit, you can obtain a court order requiring that a meeting or meetings be made open to the public in the future, that a public body satisfy its notice obligations, or that a public body provide access to minutes improperly withheld. In addition, if you go to court and win, the court must force the public body to pay you a $500 civil penalty, and it may order the public body to pay your attorneys' fees. However, if you go to court and lose, a court might order you to pay the winning public body's attorneys' fees, if it determines that your legal claim was frivolous. This would not happen unless your legal claim were utterly and obviously without any merit. If you want to file a lawsuit for violation of the Open Meetings Act, you must file your lawsuit within two years of the violation in question.

In the event that you are denied access to a meeting or class of meetings, you probably want to pursue an informal resolution before filing a lawsuit, which ordinarily is a costly and slow solution. You should contact the public body in question and inform it that you believe your rights have been violated and that you are willing to bring a legal action. You should submit your complaint in writing whenever possible. If the public body continues to deny your request for access, you should consider filing a lawsuit. There may be public interest organizations that would be willing to take on your case for free or for a reduced rate. Please see the http://www.dmlp.org/legal-guide/finding-legal-help" rel="nofollow - Finding Legal Help section for details on finding legal representation.

 




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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: Mike_Presta
Date Posted: Apr 09 2014 at 3:58am

ORC 1.22(G)(2) To consider the purchase of property for public purposes, or for the sale of property at competitive bidding, if premature disclosure of information would give an unfair competitive or bargaining advantage to a person whose personal, private interest is adverse to the general public interest. No member of a public body shall use division (G)(2) of this section as a subterfuge for providing covert information to prospective buyers or sellers. A purchase or sale of public property is void if the seller or buyer of the public property has received covert information from a member of a public body that has not been disclosed to the general public in sufficient time for other prospective buyers and sellers to prepare and submit offers.



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“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012


Posted By: Vivian Moon
Date Posted: Apr 09 2014 at 9:28am
Thanks you both for the above information.
  


Posted By: Perplexed
Date Posted: Apr 09 2014 at 9:55am
MEMORIES.................At a prior City Council meeting Dougie Atkins proclaimed to the members, "Give me the power and I'll make things happen. He certainly has!!


Posted By: over the hill
Date Posted: Apr 09 2014 at 10:16am
Well as I understand a copy of the ordances pertaining to executive meetings and the sale of city property has been layed on Mr Landen desk I guess to save him time from having to look it up. I suppose he'll get the message.


Posted By: VietVet
Date Posted: Apr 09 2014 at 10:47am
Originally posted by over the hill over the hill wrote:

Well as I understand a copy of the ordances pertaining to executive meetings and the sale of city property has been layed on Mr Landen desk I guess to save him time from having to look it up. I suppose he'll get the message.


Might not do any good.....

It has been found that, over time, one problem with involving Law Director Landen in any interpretations is that ole' Les, doesn't quite interpret the law (ordinances) verbatim. There has been evidence in older subjects and posts on this site, that when it comes time for law decisions, Leslie doesn't quite follow the "letter of the law", but rather throws a bit of, let's say, "imagination" into the final decision so that the final outcome will reflect the flavor of the day as to accomodating the wants and needs of a few. It is a convenience offered by the law department for the friends of the city at no extra cost. He is a good servant for Team Gilleland with the added benefit of being the official city crooner. Does it get any better?   



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I'm so proud of my hometown and what it has become. Recall 'em all. Let's start over.


Posted By: Middletown29
Date Posted: Apr 09 2014 at 12:18pm
Evidently the City Manager Gilliland received numerous offers to purchase the bank property. Her answer was always the same IT IS NOT FOR SALE.
Along same Chris Walden and Gilliland's tune changed.
Why?



Posted By: Miss Kitty
Date Posted: Apr 09 2014 at 4:11pm
WHY? Because she does what she wants and the people in this community don't have the balls to do anything about it. That's why. Does any one really think Mr Walden has the money to buy this building? I don't know who would be a worse owner- Walden, Robinette, Moormans, that Murphy girl, they're all in bed together.


Posted By: Iron Man
Date Posted: Apr 09 2014 at 5:46pm
Originally posted by Miss Kitty Miss Kitty wrote:

I don't know who would be a worse owner- Walden, Robinette, Moormans, that Murphy girl, they're all in bed together.


Thank you for saying what all of Middletown is thinking!



Posted By: over the hill
Date Posted: Apr 09 2014 at 9:00pm
Wake up council get your head out of the sand (or any other part of your anatomy) can't you see Doug,Judy, and Les are not telling you things you need to know.Mr. Mayor you're probably the worst. Your little "golden girl" is not being truthful with you. Or does she tell you and you turn a deaf ear to the truth? Maybe we need to have you relieved of your duties. The two attorneys sitting on council just blindly go along with out questioning. I'm not sure they would be very affective in court if that's how they approach a case. JMO


Posted By: Vivian Moon
Date Posted: Apr 10 2014 at 6:30pm
I believe the Bank One Building should be sold for $225,000 plus $46,000 in remodeling cost that were paid for by the city in October 2013 for the Miami Research part of the building for a total sale price of $271,000

The current annual revenues at Bank One Building are:
Miami Research…………….…….$68,004
Middletown Historical Society….......$1,200
AAUW Lease…………………...…...$700
Total Annual Revenues..……..…...$ 69,904

The city also recently declared this building historic so federal tax credits will be made available for the restoration of the
Bank One Building.

I believe the above information reflects the true value of this property.



Posted By: Middletown29
Date Posted: Apr 14 2014 at 7:01pm
Waldon defaulted on purchase of downtown real estate last month.
I understand thousands in bounced checks were involved.

Did City know about bad checks when they struck deal with Waldon?


Posted By: acclaro
Date Posted: Apr 14 2014 at 8:32pm
Well.....the city prosecutor should, as it would have been investigated. Passing checks above 500.00 is a felony, and usually relying on lack of knowledge about an account balance is not sufficient.

City should expect any buyer to have $100,000 set aside for renovation or upkeep, and an escrow fund set aside as apart of deal associated with the deal if it is based upon other criteria than best bid.



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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill


Posted By: swohio75
Date Posted: Apr 14 2014 at 9:54pm
Originally posted by Middletown29 Middletown29 wrote:

Waldon defaulted on purchase of downtown real estate last month.
I understand thousands in bounced checks were involved.

Did City know about bad checks when they struck deal with Waldon?


Just curious which property.  Commercial/Residential?


Posted By: Middletown29
Date Posted: Apr 15 2014 at 7:31am
Commercial


Posted By: swohio75
Date Posted: Apr 15 2014 at 8:38am
Is he part of MPH, LLC? 


Posted By: Middletown29
Date Posted: Apr 15 2014 at 9:14am
I do not know.


Posted By: spiderjohn
Date Posted: Apr 15 2014 at 9:19am
this could be too cool...
none of my friends or me have ever owned a bank vault!


Posted By: acclaro
Date Posted: Apr 15 2014 at 9:28am
A built in 'panic room', count my business partners in. Fast-tracking online LLC registration, and having corporate attorney call LL and request 30 days wait period, to submit a $200 + bid. 

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'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill



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