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Missoula moves closer to approving Southgate property purchase
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Missoula moves closer to approving Southgate property purchase

MISSOULA – A 13-acre parcel near Southgate Mall moved closer to public ownership this week as City Council members voted to accept the property if the Missoula Redevelopment Agency completes the purchase.

The 6-2 vote issued by the city’s Housing, Redevelopment and Community Committee sends the issue to the full City Council in the coming weeks. It is currently supported by the mayor, the Missoula Economic Partnership, the Midtown Partnership and other stakeholders.

“If the city buys it and installs the infrastructure, we are in a position to collaborate with a developer to go in the direction we want,” said Councilwoman Gwen Jones.

The property has been vacant for at least 24 years, although it is more likely that it has not seen any activity since the 1970s. The property previously served as a sawmill, but now sits vacant in the heart of the Midtown district and hopes of redevelopment are high.

Several plans have focused on the needs of the property and those of the surrounding area, including the lack of connectivity and the absence of parks and public spaces. They also identified housing potential, including senior housing, and commercial and retail opportunities.

The latest Midtown Master Plan, adopted last year, was even more specific about the property’s potential to serve as a vibrant cornerstone for the area.

“The master plan envisions this transition area to have the broadest mix of uses, including residential, office, retail, manufacturing and restaurants,” said Annette Marchesseault of the Missoula Redevelopment Agency. “It also emphasizes the lack of open space and parks in Midtown, just as previous plans did.”

Currently, the property is divided into several parcels owned by the Beach family and Southgate Mall Associates. An appraisal by the city identified an “as-is” value of $6.5 million, while a second appraisal that included proposed improvements put the value at $8.3 million.

But the Missoula Economic Partnership negotiated a below-market purchase price of $5.8 million. The Missoula Redevelopment Agency Board of Commissioners last week approved the purchase of the property at that price using available Urban Renewal District III funds.

The board also recommended that the city accept the property once the purchase is made. This week’s committee vote brings the city closer to achieving it.

“We want to make sure that the money we are investing has the opportunity to be catalyzed by private development,” said Mayor Andrea Davis. “The goal of this is that we have the opportunity to negotiate with someone who has the development experience to do the type of project that the community has envisioned.”

Several area residents expressed support for a “more vibrant” use of the property and the inclusion of parks and open spaces. The property is currently not fenced and has served as a de facto open thread of land in an area that lacks it.

But they also expressed concern about what they see as the current vagaries of the project.

“It would be nice to know, first of all, what we would look for when we went in there,” said resident Katie Thompson. “I would like the opportunity to see the details of what is being considered.”

If the city acquires the property, it would follow a master plan that would include public input. The recent Midtown Master Plan also included strong public input before proposing potential uses for the property.

But the planning process can’t move forward if the city doesn’t own the property, City Council members said. As it currently stands, there is no guarantee that a private owner will not fence it or build a warehouse, which is contrary to the community’s goals for the site.

“These two plots are privately owned. The city has no control over what happens there,” said Councilman Mike Nugent. “We can’t plan it without owning it. We can’t tell anyone else what to do with their private land. We have to take this step before we do all those other things.”