The Columbus Convention and Visitors Bureau voted in executive session Monday to seek a second opinion about the value of its new downtown office building.
The decision follows an unexpectedly low appraisal by Stewart Stafford, of Rhett Real Estate, that put the 4,000-square-foot building”s worth at $600,000.
The CVB has contracted with Columbus Castle V, a partnership between West Brothers Construction and another developer, to pay $734,881 for the property, and has already paid $224,000 of that, but city and county governing bodies cannot legally pay more than the appraised value for real estate.
But according to CVB board attorney David Dunn, of the Dunn and Hemphill law firm, Stafford”s appraisal “does not reflect the fair market value of the property from the owners” perspective.”
The CVB went to costly lengths — $183 per square foot — to tailor the office to the city and county”s needs. City Attorney Jeff Turnage said that figure was in line with other projects.
Among other features, the building has a 2,000-square-foot main reception area and is just south of the newly renovated Tennessee Williams Home and Welcome Center, which would allow the CVB to play host to large tours and make presentations.
The CVB also agreed to pay $240,977 to Penny Bowen Designs for interior design work, which included custom furnishings, furniture and audio-visual equipment.
The worth of the property to the CVB should be taken into consideration in the appraisal, board members said Monday. In hopes of getting a higher appraisal, the CVB board authorized Dunn, Interim Director Nancy Carpenter and the executive committee to scout out a new appraiser. No deadline was set on the search.
The executive session was called because of potential litigation by Castle V should the appraisal come back lower than the agreed-upon cost.
Mark Castleberry, former developer of the property, had divested himself of his share in the company before becoming a CVB member and did vote.
The meeting Monday was the first for Castleberry and the other newly appointed members Secretary and Treasurer Bart Wise and Nadia Dale; Board President Whirllie Byrd, Vice President George Swales and DeWitt Hicks were reappointed to the board.
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