In response to speculation that Cenate may be buying a valuable piece of property cheaply, then selling it to a developer for a tidy profit, Reed Glawe, spokesman of the group, responds:
"No, they are not. Cenate will need to raise the money to purchase the property, get surveys and plats completed, hire someone to do the historic application, hire an attorney to do the organizational documents, pay utilities and pay real estate taxes," said Glawe
Cenate does not have a developer now. It has done projections, and the budget is very tight.
Reed Glawe explains the purchase agreement to the District 88 School Board on Thursday, March 27.
Glawe described the prospect of making money on the deal as " by no means certain. This is, plain and simple, risk capital. There is risk that money that goes in will not be returned. There are no guaranties at this point." he said.
The current board did not become involved to make money, Glawe said. "They got involved ... to preserve the auditorium and to repurpose the rest of the building. I don't think a 'load of money' is on the cards," he said.
"Do I hope that those who put money in get their money back with some level of return if and when a developer buys it? Yes. Is it a certainty they will at least get their money back? No."
"Money, period, is not driving this. How do you get across to people that this is a risky venture, but people are willing to get involved because they see the value in preserving the auditorium and repurposing the rest of the property, even if they see nothing directly in return? Is that not a philanthropic purpose and goal?" Glawe said.
Cenate is structured to limit the extent any one person, family or entity can become involved, and the minimum amount to become involved is kept low to make it accessible to more people. Glawe said. "This is an entity that is intentionally designed to be broadly owned by members in the community, not a few deep pockets."