By Scott Sullivan
Editor
Douglas City Council, newly ensconced its 415 Wiley Road municipal complex, voted Monday to sell its old city hall at 86 W. Center St. to David Isljamovski and Joseph Wise for $515,000 cash.
“Joseph will be a silent partner,” said Islamjovski, a Century 21 Realtor who lives in Saugatuck with husband Chad Dupont, head of the Sans Soucie Hospitality property management firm.
“Chad and I will be the face of what we plan to call ‘The Dutcher,’ hosting a six-room Dutcher Hotel, the Village Hall martini and wine bar, and event space in the old city hall meeting room,” he said.
“Bear in mind none of this is final yet. We still have inspections, deed, title and more work to attend to. What council did Monday is approve selling it. If all goes to plan as is our intent, we hope to close on Dec. 31,” Isljamovski said.
The sale includes a deed restriction prohibiting demolition of the now-abandoned 150-year-old former Dutcher Lodge, a registered Michigan Historic Site, and requiring the exterior be kept in a manner consistent with its historic appearance.
It is subject to recording of an ingress/egress easement benefiting the adjacent 98 W. Center St. commercial/residential building. The mayor, city clerk or their designee are authorized to execute necessary documents.
The buyers’ agent has chosen not to accept a commission, resulting in a savings of approximately $15,450 to the city.
Douglas council, which Monday held a ribbon-cutting for its newly-renovated municipal building, had for years looked to consolidate city hall, police and public works offices in one space that could host them.
City engineers in 2023 estimated the old city hall needed $1.4 million in renovations to meet modern standards. The one-story brick police station across the street at 47 W. Center had become overcrowded and lacked garage space for its vehicles.
Douglas Aug. 1, 2023 bought the 7.8-acre Wiley Road at Blue Star Highway commercial parcel, which rings the 18,000-square-foot one-story brick former hospital/Douglas Professional Building, for $1.5 million with plans to pay off its purchase and refurbishing via sale of now-surplus properties.
Recouping costs has gone apace, with the old hall (listed with Realtor Bernie Merkle for $599,000) one of the final pieces.
Last December, the city accepted a $225,000 bid to sell 9.59 acres, once eyed for a new public works site, at 291 66th St. Council agreed April 24 to sell its 1870s-built former church, most recently used by the Saugatuck-Douglas District Library, at 130 Center St. to Ox-Bow Art School for $430,000.
The city June 2 signed a nonbinding letter of intent with the Saugatuck Township Fire District to allow the latter to occupy the southern 5,200-square-foot portion of the Wiley building for an undisclosed sum as a second fire station.
In July Douglas sold the old police station building to Ufuk Turan for $452,000. Council also that month saw a deal to sell its old city hall for $650,000 wash out after would-be buyer Worth Strategies, LLC, voiced late concerns and sought to take a deeper dive into looking at the building.
The buyers have agreed to pay for all environmental assessments, with 10 days to review any reports following receipt. They will also pay for all physical inspections, with 20 days to report objections or defects.
The buyer will also receive 20 days to review title work provided by the seller and to review the boundary survey after receipt.
Douglas will pay for the boundary/stake survey and all special assessments on the property. Within seven days the city will provide copies of all documents relating to the operation of the property, after which buyers have 10 days to review them.
