Let the negotiations begin!
Holmes Beach city commissioners voted 4-1 May 27 to authorize Mayor Judy Titsworth to make a $3 million offer to purchase Gloria Dei Lutheran Church, 6608 Marina Drive.
Commission Chair Dan Diggins voted “no,” having recommended a $2.7 million offer instead.
The Gloria Dei congregation formed in 1959 and the building and its roof, an island landmark, was built in 1964.
The church sustained damages last year from hurricanes Helene and Milton and permanently closed its doors following a final service Jan. 18.
Now, the Florida-Bahamas Synod of the Evangelical Lutheran Church of America — the titleholder — is selling the property and the city wants in.
The property consists of three parcels over 3 acres and is currently zoned for public/semi-public use.
It has a total net interior area of 6,437 square feet and features a reception area, fellowship hall, multiple classrooms and office rooms, restrooms, a lounge with a kitchenette, storage rooms and an electrical room.
The municipality hired two companies to appraise the property based on its current zoning ahead of the meeting.
West Palm Beach-based WestRock Appraisal Services found it to have an as-is market value of $2,100,000.
St. Petersburg-based Bluemark Valuation Advisors appraised the property to have a $2,770,000 as-is market value.
On the other hand, the Florida-Bahamas Synod’s property appraisal found it worth $9.9 million based on highest best use if it were redeveloped.
Bluemark noted in its report that its inspection of the property found it is in fair condition despite visible signs of storm damage and deferred maintenance, largely due to the initiation of an interior demolition after Helene.
Conditions inside include missing drywall, damaged doors, deteriorated bathrooms, damaged roof covers, missing kitchen cabinets and more.
The city appraisers did not provide cost estimates for any potential repairs.
Properties within the city’s public/semi-public land use category require city commission approval for zoning changes that would allow for private development, and officials have expressed a desire to preserve it for public use.
By purchasing the property, the city could ensure the preservation of its public use, as well as its unique architecture.
There seems to be some support from the public for the city’s potential purchase of the property.
During public comment, Kelly Stewart, owner and operator of the School for Constructive Play, and resident Gale Tedhams supported the potential acquisition.
The SFCP is a preschool that opened in 1989 in a schoolhouse on Pine Avenue in Anna Maria but relocated to the Gloria Dei building in 2018.
The preschool was forced to relocate again following last year’s storms — this time to the Center of Anna Maria Island, 407 Magnolia Ave., Anna Maria.
“We were devastated to leave what had become our home,” Stewart said. “And although the (center) has been a huge blessing during this time after the storms, our littlest island citizens need a secure place that is their own.”
She said she hoped the city of Holmes Beach could purchase the church and create a public-private partnership to get SFCP back in the building.
Tedhams called the building “historic” and “iconic” and suggested it could be used to host community and cultural events, like art shows.
Chad Minor, the city’s director of development services, said city officials should not waste time if they want to pursue the property.
“We gotta strike while the iron is hot,” he said.
Commissioner Terry Schaefer said he had spoken with representatives from Mississippi-based Hancock-Whitney Bank and they were willing to work with the city on a loan to acquire the property, but nothing had been set in stone.
He said a potential $3 million loan with a 4.5% interest rate would result in a roughly $245,000 annual cost to the city over a 20-year amortization plan.
Diggins recommended basing an offer on the high end of the city’s two appraisals, at $2.7 million.
Schaefer moved to authorize a $3 million offer as a show of “good will” by going beyond their highest appraisal.
Commissioner Carol Soustek seconded the motion, which passed.
“It shows that we’re serious,” she said.
City attorney Erica Augello said that, following Titsworth’s negotiations with the titleholder, any final offer must go before the commission for approval.
The commission will meet next at 2 p.m. Tuesday, June 10, at city hall, 5801 Marina Drive.
A livestream of the meeting can be viewed on the city’s website, holmesbeachfl.org.
A livestream of the meeting can be viewed on the city’s website, holmesbeachfl.org.
From the archives: Property prospects dim
Holmes Beach commissioners in 2017 began debating the prospect of purchasing Gloria Dei, which at the time was still an operating church.
A 10-year loan to buy the land for $105,000 per year was included in the city budget for 2017-18.
But The Islander reported in February 2018 that “at this time, the Holmes Beach City Commission is not prepared to buy 1.06 acres from Gloria Dei Lutheran Church.”
Mayor Bob Johnson said church officials would prefer to seek a residential zoning previously denied by the commission for three lots on the north side of the church.
A sale price remained an obstacle to doing a deal, church board president Tom Herman said.
Florida Real Estate Advisors of Bradenton pegged the property value at $850,000 if the land is converted to a residential use.
Judy Titsworth, then the commission’s chair and now the mayor, said the issue could be revisited.
— Lisa Neff