Purchase agreement falls through for Product’s site

According to Patrick Hoffman, Realtor at Howard Hanna Real Estate Services, the former Tecumseh Products property is back on the market after a prospective buyer and signed purchase agreement fell through. Hoffman said that after some inspections had taken place, the prospective buyer felt the cost to repair some damages and renovate the facility to do what they wanted was too high. The Realtor added that the current owner wants out and is motivated to sell the property, reducing the price to $510,000, down from the original $750,000. The prospective buyer wanted to turn the property into an airsoft and law enforcement training facility, which would have been one of the largest in the country, according to Hoffman.“We’ll just keep plugging away for a better project,” said Tecumseh City Manager Kevin Welch, adding that he hopes demolition can begin again at the property. There is a performance bond on part of the building to ensure demolition is completed. An insurance company or bank, to guarantee satisfactory completion of a project by a contractor, issues a performance bond. If a contractor fails to complete the work, the client is guaranteed compensation for any monetary loss up to the amount of the performance bond.“There’s a lot of hurdles,” Welch said. “It’s a pretty significant project.”Hoffman added that the city has been great to work with throughout the process. Welch said the city does receive calls about the property and he thinks the Orbitech building could be viable for manufacturing, and a much more attractive piece of property, once demolition is complete.

Tecumseh Herald

 

110 E. Logan St.
P.O. Box 218
Tecumseh, MI 49286
517-423-2174
800-832-6443

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