A sketch of the proposed apartment complex on Lake Street in Richfield Springs. The sketch was provided by JGB Properties, the company presenting the project

A project proposing an apartment complex on Lake Street in Richfield Springs has been awarded a $500,000 grant through the state program, Restore New York’s Communities Initiative (Restore-NY).

“Restore-NY is a helpful tool for boosting local economic development, creating jobs and improving the quality of life in our communities,” said Sen. James Seward.

The project proposed by JGB Properties calls for the development of 32 apartments to be located on Lake Street, according to Marty Dowd, director of real estate.

“Without this Restore-NY assistance, a project of this type would not be financially feasible for us to consider,” said Dowd.

“We have already demolished two structures,” Dowd said in reference to the Schuyler House and 53 Lake St., two structures previously located on the site where the apartments have been proposed.

“The former Schuyler House facility had outlived its useful life, and because the aging building had serious structural issues, we believed it necessary to raze the building and to explore alternate uses for the site,” Dowd explained.

Considering its previous experience in the village as landlords (including the Gladstone apartments, the Park Inn building and adjacent house), Dowd said JGB Properties believes this location will be a good site for some sort of housing component.

The initial project calls for the construction of four buildings, with eight units each, totaling “roughly 32,000 square feet,” Dowd said. “We’re looking at each building being 8,000 square feet, with each unit about 1,000 square feet.”

There are a number of options to consider when offering these apartments to the public, according to Dowd. “We’re trying to determine by exploring the market whether we’re doing market rate apartments or subsidy apartments. We’re also looking at a senior housing complex,” he explained. There could possibly be a combination of housing options, he added.

By researching the local market in an effort to pinpoint the housing needs of the community, Dowd said they have seen “a strong desire for subsidized housing, as well as unassisted senior living. This development could possibly accommodate both of those needs, or we could simply offer ‘market rate’ housing – again, our research will indicate the direction for us.”

Although a site plan has not been filed with the village yet, Dowd credited village Clerk/Treasurer Jerry Buck as being instrumental in spearheading the project.

The village of Richfield Springs is serving as lead agency for the grant application and has been working with JGB Properties on the project, according to Buck. As lead agency, the grant money will flow through the village to JGB Properties, Buck explained.

Ground breaking is expected to begin in the spring.

Seward also announced the award of an additional $500,000 to Sharon Springs, Inc. for the rehabilitation of pavilion cottages at one of Sharon Springs’ spas, in an effort to create an international destination and resort.

Restore-NY is a three-year, $300 million program established by the state in 2006-07 and is administered by the Empire State Development Corp. (ESDC), Seward said.

Grants are awarded to municipalities to demolish or rehabilitate commercial or residential structures that qualify to the program’s guidelines.

In 2006-07, the program distributed $50 million, an additional $100 million in 2007-08. Another $150 million will be made available in 2008-09, according to Seward’s office.

An offer to purchase Baker's Beach was officially extended from JGB Properties, LLC, to the Richfield town board last week. Board members immediately tabled the offer, saying a referendum by the people would be required, since the beach is owned by the public.

The offer, presented by JGB Property Manager Cindy Talbot states a purchase price of $408,000 for the “property commonly referred to as ‘Baker's Beach' located on Route 28 on the westerly side of Canadarago Lake...”

Also, as part of the proposal, JGB's owner, Jay Bernhardt, has offered to exchange five parcels owned by JGB totaling 136 acres with the town. “There was talk about wanting something built (near) the industrial park,” Bernhardt said. “I thought I'd take their liability (the beach) and give them the opportunity to have an asset.”

The agreement describes the beach property as having approximately 1,145 feet of shore land and containing approximately four acres of land. It describes Bernhardt's five parcels, which are located adjacent to the property targeted by the Industrial Development Agency for an industrial park, as being located on “the same premises as conveyed to JGB Properties LLC by Donald K. Bruce and Melanie A. Bruce by deed dated January 21, 2003.”

Earlier this year, the public voiced outrage at Town Supervisor Larry Budro's decision to keep the beach closed for the summer season. Budro cited the possibility of lawsuits stemming from potential hazardous conditions due to a proliferation of zebra mussels.

Budro said closing the beach was a fiscal decision because it was too expensive to maintain.

In response to complaints, Budro then offered to lease the beach to anyone willing to pay $1 and provide insurance.

The town entertained consideration from Bernhardt at that time. However, negotiations between lawyers, the flooding that left the town and lake in a disaster state, and finally the end of the tourist season stilted any hopes of the beach opening this past summer.

When Budro and Talbot began talking about the proposal at last week's board meeting, residents in the audience already riled with Budro regarding the preliminary 2007 budget, loudly expressed discontent with the proposal, saying the beach belonged to the people, not the town.

Canadarago Lake Improvement Association President Rod Sluyter and Town Historian Marj Walters requested the board do something to preserve the beach. When others chimed in, informing Budro of their belief the beach should be opened for the coming season, Budro stated his $1 and insurance lease offer once more, to the audience's chagrin.

The board noted the proposal would have to be tabled and discussed further. One board member noted the proposal would probably have to be put to the public in the form of a referendum as the beach is publicly owned by the people.

More and more people seem to be drawing to the Northern Otsego County Village of Richfield Springs. Its wide open spaces and sense of community is attracting people from far and wide and not just for local real estate. Commercial property is also going very fast.

According to Leonard Butler, the mayor of Richfield Springs, a lot of people are finding the tiny village an attractive place to call home. "These people, a lot of them, are looking at retirement or already have retired. They want to come into a community that's kind of settled, low tone, kind of quiet, and enjoy themselves," he says.

Local home and property sales reflect the trend. An acre of land that was once going for $800 now costs $2,500. "A lot of it has to do with Catskill area being priced out. So much property has been bought down there that they're not looking to move northland," says Cindy Talbot, of JGB Properties LLC.

Commercial property is also very hot in the Richfield Springs area. Just a couple years ago, a McDonald's and Price Chopper were built. There's also word that a Kinney's Drug Store will be moving into the area, as well.

The mayor credits the success to aggressive local leaders and a community that focuses on the future.