Traverse City Area Public Schools (TCAPS) trustees voted unanimously Monday to authorize staff to negotiate deals to sell the former Bertha Vos Elementary School to Acme Township and the TCAPS Administration Building to a development group for community housing. Both purchase agreements will still need to come back to the board for final approval and – in the case of the Administration Building – require a complex series of steps to relocate staff and operations to other district properties.

Trustees previously voted in June to authorize staff to sign an agreement to sell Bertha Vos to Acme Township for $600,000. Terms called for Acme to pay $400,000 for the building upfront, followed by five years of $40,000 annual payments to cover the remaining $200,000. That price was lower than an original offer from Acme Township for $800,000, in part because of an updated appraisal valuing the property at $500,000 and also because of likely repairs needed in the building, including a new boiler and new roof.

TCAPS trustees agreed last month to the lower price, but said they didn’t want to see that figure further reduced. They struck a proposed provision from the purchase agreement stating that the parties could negotiate on price if significant roof repairs were needed. Trustees said the offer should be as-is. Shortly thereafter, Acme Township trustees met and rejected the school district’s terms. Township Trustee Jean Aukerman told TCAPS board members Monday that was because with repairs factored in, Acme’s upfront costs could total $1.3 million.

“Our purse isn’t that big,” she said. “I’m not saying there aren’t creative ways...(but) we’re not prepared to pay $1.3 million at the door.” Aukerman said township leaders were still “energized” about the project and wanted to continue negotiations with TCAPS, but had to secure a deal that reflected Acme’s budgetary constraints. “We just have to find a way to afford it,” she said.

Several TCAPS trustees said they supported Acme’s vision for the property, which would serve as a new community township hall. Grand Traverse County has expressed interest in using space to offer a new Senior Center extension, while GT Metro Fire is envisioning using a portion of the building for a new fire station. Northwestern Michigan College’s Extended Education Services and Traverse Area District Library have also discussed programming uses, with all four organizations submitting letters of support for the project. Childcare, after-school activities, and community events are also envisioned for the property.

“I like the vision,” said TCAPS Board President Scott Newman-Bale, with Board Treasurer Andrew Raymond agreeing it was a “win-win for the community all around.” Newman-Bale suggested that TCAPS might be able to offer financing concessions to Acme, such as allowing a longer pay-back period on the property, in order to reach a deal. Board members voted unanimously – with Trustee Josey Ballenger absent – to authorize staff to continue negotiations with Acme with the goal of producing a revised purchase agreement that would return to the TCAPS and Acme boards for approval.

TCAPS trustees also voted unanimously Monday to authorize staff to enter negotiations for the purchase of the Administration Building on Webster Street. Will Bartlett and Tom O'Hare of Keel Capital have offered to purchase the property for $1 million, with the goal of demolishing the building and constructing a 20-unit housing development with 14 townhomes and six cottage homes. The developers included the smaller cottage homes – each estimated to be up to 1,000 square feet in size – in an attempt “to provide attainable housing for TCAPS employees and other essential workers that power our community,” according to their proposal.

“We understand the importance of attracting and retaining talented educators in the community, and we firmly believe that providing attainable housing options will contribute to their well-being and overall satisfaction,” the developers wrote. “Our aim is to deliver quality housing that is accessible to those who play a vital role in shaping the future of our community...we are confident in our ability to execute our proposed plan while respecting the neighborhood's character.”

TCAPS staff and legal counsel said Monday that it would be cost-prohibitive for developers to salvage or repurpose the existing building, saying the most realistic option for the property is for the building to be demolished and a new development constructed. However, both developers and staff said they understood the importance of the property to the surrounding neighborhood. TCAPS Superintendent Dr. John VanWagoner said the district plans to host a public input session so that developers and neighbors can discuss the proposal in more detail.

Finalizing a deal for the Administration Building is still contingent on multiple factors. First, developers are waiting on an upcoming Traverse City commission vote on a series of proposed housing zoning changes, including loosening the rules for cluster housing. Developers called the zoning changes “key to our ability to execute our plan.” Commissioners could vote on the changes – which have already cleared the city planning commission – this or next month.

TCAPS Assistant Superintendent of Finance and Operations Christine Thomas-Hill also laid out a complex process for relocating the district’s print shop – currently located in the Administration Building – and dozens of on-site staff to different locations. If a purchase agreement is approved for the building, TCAPS would next need to engage an architect to create plans for moving the print shop to the Sabin Data Center on Cass Road and staff to the former Glenn Loomis school on Oak Street. Architecture and moving costs would likely approach $1.2 million, making it “almost cost neutral” with the sale of the Administration Building, Thomas-Hill said.

From there, TCAPS has a planned August 2024 bond vote that will likely include further renovations to Sabin. Staff would remain at Glenn Loomis for two years – from 2024 to 2026 – while Sabin was being renovated. It’s then envisioned that staff would move over to the updated Sabin building, and Central Grade School students and staff would take over Glenn Loomis for two years – from 2026 to 2028 – while Central Grade is being reconstructed. After that, TCAPS trustees would have to decide whether staff would stay at Sabin or move back to Glenn Loomis permanently. That decision would depend in part on whether TCAPS wants to explore other uses for Glenn Loomis, like a childcare facility, VanWagoner said.

Trustees are likely to revisit negotiations on both properties in August. If the sale of the Administration Building proceeds, Thomas-Hill said the district has enough room built into its schedule to tackle each step of the relocation process in order to vacate the property. “It’s a domino effect, but we have plenty of time in each scenario to do the appropriate moves,” she said.