Credit union backs out of buying city hall

by Frank Lee

operations@thenewsleaders.com

The building that houses St. Joseph City Hall remains on the market after the purchase agreement with Collegeville Credit Union fell apart last week for the structure, which includes a drive-through.

“We gave them a really sweet deal,” Mayor Rick Schultz said at the July 18 city council meeting.

The building at 25 College Ave. N. was used as a bank before it housed offices for the city and the police department. St. Joseph has used the building for government offices since 2000.

Last month, the St. Joseph City Council authorized the issuance and the sale of bonds to build a new government center that could open near Colts Academy as early as February.

“We’re left now with a building to sell,” said St. Joseph City Administrator Judy Weyrens about Collegeville Credit Union, which gave no reason for backing out of the deal. “They just decided it was best if they not move forward.”

At its meeting, the city council authorized Weyrens to work exclusively with Collegeville Cos. for 60 days to help market and sell the building.

The city council discussed at its June 7 meeting the 2016 general-obligation capital-improvement-plan bonds and the sale of $4.28 million in bonds to pay for the new government center.

The 18,000-square-foot new government center will provide more space for the police department and city administration and may someday be connected to Colts Academy, which is slated to be converted into a community center.