The group also has the option to sell the property to the town of Blacksburg.
David Hagan has notified Montgomery County that he and his partners plan to move forward with the purchase of the old Blacksburg High School.
Hagan, co-owner of HS Development, sent a letter to the county Thursday stating that the company will sign the deal, that was amended at Monday night’s Board of Supervisors meeting, Nov. 22. Along with the signing will be the first of three $1 million payments to the county, with the next two due not later than April 24, 2019 and again on that date in 2020.
The two amendments were approved 7-0 by the supervisors and give the development company the $70,169 in insurance money that the county received from a fire intentionally set in the auditorium in July, as well as the option to sell the 36-acre property to the Town of Blacksburg under the same conditions as the current contract.
Hagan told the News Messenger Tuesday that there have been no talks with the town, but that it is nice to have as many options as possible.
“We don’t have a clue what direction we are going in,” he said. “We are interested in anything we can, as developers, to make a profit.”
Blacksburg Developer Jeanne Stosser has previously said that there is interest in using some of the old building to create some sort of senior living facility.
Supervisor April Demotts (District G) told the News Messenger that she is still holding out hope that the town acquires the property and keeps it as recreational land.
“I refuse to give up hope until something else is developed on the land,” she said. “The vote from the supervisors is a step in the right direction.”
Blacksburg Town Manager Marc Verniel said that the town was not involved in the modifications to the contract.
“At this point, nothing has been proposed to the town and no offer has been made. If an offer were to be made, it would have to be approved by the Town Council,” he said.
Town Council Member Krisha Chachra, who is also running for mayor, said that she would still like to see the town acquire the land.
“If there is an opportunity to pursue that, I am greatly interested,” she said.
Supervisors Chairman Chris Tuck said in a news release that he is happy that the county was able to accomplish its original goal of getting as much money for the school system as possible. He also expressed an interest in a joint effort on developing the site.
“We welcome collaboration moving forward between Montgomery County, the Blacksburg Town Council, and HS Development, LLC, as we continue to invest in our communities, and especially in our children,” said Tuck.
The county put the property on the open market late in 2016 after previous negotiations with Blacksburg stalled due to the two sides having vastly different opinions of what the property was worth. The following is a timeline of how the sale with HS Development came to be:
• Jan. 5, HS Development, L.L.C., submitted an offer to purchase the old Blacksburg High School site for $2.175 million;
• March 3, 2017, the Board of Supervisors submitted a counter offer to HS Development, L.L.C., which included several stipulations and an as is sales price of $3,000,000;
• March 7, 2017, HS Development, L.L.C., accepted the terms of the Board’s counter offer and provided a $25,000 non-refundable deposit to the County;
• March 13, a public hearing was held;
• April 24, an amended sales agreement was signed by HS Development, L.L.C., and Montgomery County;
• Sept. 25, The Montgomery County Board of Supervisors approved an amendment to the Agreement to Purchase the old Blacksburg High School site and the Sale of Property between Montgomery County and HS Development, L.L.C.; and
• No later than November 22, 2017, HS Development, L.L.C., will officially purchase the property from Montgomery County. Due at closing is $1,000,000. In April 2019, an additional $1,000,000 is due. The final payment of $1,000,000 is due in April 2020.
The school closed in 2010 after the roof of the gymnasium collapsed following a snowstorm.