The same company responsible for renovating downtown Elliot Lake residential and commercial buildings on Newfoundland Walk and 22 Mary Walk wants to buy the city-owned Stone Ridge Golf Course.
Elliot Lake City Council will consider a $1.5 M purchase offer for the course from that numbered company at its virtual meeting next Monday night.
The recommendation to sell the course from Economic Development Manager Steve Antunes follows an unsolicited offer that came before council in closed session on Jan. 10.
In his report to council Antunes wrote, "This purchase included the parcels of land on which the course sat as well as all equipment and supplies, marketing rights and commitments to full-time staff and ongoing procurement contracts tied to golf operations."
"The municipal land sale policy usually requires an appraisal. In this case, an appraisal is cumbersome and impractical," he continued. "The course has a unique history with heavy capital and operating investments from both public sector partners, Elliot Lake Retirement Living (ELRL) and the city."
He also stated the course has consistently had a net negative impact on municipal and ELRL coffers.
Of the $1.5M purchase price, $1M is to be repaid to retirement living to satisfy existing contractual commitments for a non-interest-bearing loan.
The loan dates back to ELRL’s investment in the golf course construction. Other than the $500K net proceeds from the sale, it will signal an end of Elliot Lake's share of annual operating and capital maintenance costs, averaging $120,000 per year.
Antunes said the city will begin to charge property taxes on the golf course, estimated at about $27K a year.
Monday's council meeting will be live-streamed at 7 p.m. on the City of Elliot Lake website.