2 of 6 parcels sold

BAXTER - Only two of six parcels of the nearly 80-acre Baxter Town Center development were auctioned Tuesday, with the remaining parcels not being offered during the sale at the Lodge at Brainerd Lakes in Baxter.

Parcel A, a 16.57-acre tract was sold for $316,000 to Stuart R. Simek, president of Meridian Management. Simek said he had no specific plans but that the property could be a good long-term investment for age 55-plus housing. The investment and development firm official described the purchase as an opportunistic buy.

"Yes and no," he responded when asked if he was surprised at the selling price. He noted that land sale prices have been low lately.

The Baxter Town Center development was formerly Pine Meadows Golf Course. It was purchased by Denali in late 2004 for $5 million.

Simek said the price for Parcel A was about 40 cents per square foot or 44 cents per square foot when the 10 percent buyer's premium was assessed.

Parcels A and B, the northernmost parcels located near Target and Office Max, were billed as absolute, meaning they would be sold to the highest bidder regardless of price. They're designed for multi-family residential and office. Parcel A has frontage on Cypress and Clearwater. Parcel B has frontage on Golf Course Drive and Clearwater.

Joe Nolan, an attorney for Higgenbotham Auctioneers, declined to identify either the buyer or the price for 5.41-acre Parcel B. He said the auction company did not normally disclose that information until the contract for the transaction was completed. He said the buyer of Parcel B was not Simek.

Craig Fink, principal owner of Baxter-based Denali Companies, the property's owner, could not be reached to explain why the remaining parcels were not auctioned but observers at the event speculated the owners were not hopeful of getting an acceptable price.

Responding to phone inquiries by e-mail Fink said Parcel B was sold for $1 per square foot to a buyer from South Dakota. The auctioneer listed the square footage at 239,580 square feet.

Earlier this summer Fink said the original plans for Baxter Town Center called for a mix of homes, offices and retail businesses. A purchase agreement with a big box retailer fell apart when the economy worsened.

MIKE O'ROURKE may be reached at mike.orourke@brainerddispatch.com or 855-5860.