The Smith Furniture Building will soon be auctioned.
Tom Perkins | For AnnArbor.com
Downtown Ypsilanti’s Smith Furniture Building will soon be on the auction block.
The decision to sell the long-vacant building comes after consistent pressure from the city for its owner, James Pate, to renovate or sell the property.
Ann Arbor-based auction house Braun and Helmer Auction Services will hold the auction at the property at 15 S. Washington St. No date has been set, but Braun and Helmer owner Jerry Helmer said the target is sometime in the first week of September.
Helmer said the Smith Building will be sold as is with no minimum bid. An auction was chosen over putting it on the market because Pate wants to quickly move the property, Helmer said.
“The owner wants to sell it on that day, as is, with no contingencies,” he said. “He would rather take a little less money and get it sold then.”
The city has cited Pate for a range of issues at the site and placed the building on its dangerous buildings list, though all involved believe it can still be redeveloped.
The interior of the building is blanketed in mold that the auction house says will be cleaned out before the auction.
Tom Perkins | For AnnArbor.com
Among other issues are a leaking roof, mold growth, a lack of a working ventilation system, a crack in the outer wall and damage to the drywall in the interior.
But Helmer noted that the building’s foundation is strong, it has a steel frame and the two floors in the 25,000-square-foot structure are made of concrete. He said he plans to make repairs to the roof and is hiring workers to clean out the moldy carpets from inside the building.
"It’s rough and we're not trying to pretend it isn’t, but it doesn’t need to be torn down by any means,” Helmer said. “The roof has leaked for so long that it did a lot of damage, but we’re going to clean a lot of that up, make roof repairs, take everything out of the inside, get it presentable.”
City records show that the building has a taxable value of $266,000. Pate bought the building from the former owners for $300,000 in 1992.
Helmer said the building would be suited best for a local investor, and he added that it will likely go for a bargain for a building of its size and location.
The rear of the Smith Furniture Building
Tom Perkins | For AnnArbor.com
“It’s a wonderful buying opportunity for someone if they have the wherewithal,” Helmer said.
The building has rarely been used since Pate bought it, except serving briefly as an office for his wife.
The city has grown increasingly impatient to have the property redeveloped, though Pate has ignored all the city’s correspondences regarding the building. He failed to show for a hearing in front of the city’s dangerous building officer in June 2012.
Pate also ignored an order from the Ypsilanti City Council to bring it up to code, which is a misdemeanor punishable by up to a $500 fine and/or 90 days in jail. That case is in the 14A2 District Court.
City officials have repeatedly said that they simply want something done with the building.
"We’d be happy to see reuse in the facility," said City Planner Teresa Gillotti. "Previously we’ve had people inquire about using it as a club, office, retail and even second story residential. We’re open to a variety of reuses. Potential buyers can contact the city if they have questions about what uses would be allowed."
Gillotti said she was pleased that Helmer had contacted the city on Thursday about permits for roof work and mold remediation.
"We’re happy to hear that the property owner is working to repair the building and potentially sell it for reuse," she said.
Helmer said it isn't the first time his auction house has been called for an auction at the property. In 1975,the company was to hold a furniture auction for what was then the Walker Furniture Store, but the auction house was forced to cancel the auction because of a blizzard.