BR port finalizes land deal

From The Adovcate:

The Port of Greater Baton Rouge got the final signature Thursday from a family selling the port a 135-acre piece of property on the Gulf Intracoastal Waterway.

The port agreed to pay $3.1 million for the land, which bundled with previously purchased parcels will be used for future development, ending a long-running dispute over how much the parcel purchased Thursday was worth.

The purchase price of $23,000 per acre for the so-called Mahaffey property roughly split the difference between the $14,000-per-acre port appraisal for the property and the $30,000-per-acre price of the Mahaffey family’s appraisal.

In a letter to the port commission, Executive Director Jay Hardman said both appraisals were fair but used different criteria in valuing the land.

Previous reports on the dispute noted that the higher value was taking into account the surrounding land, which had been accumulated by the port during the last decade.

The port’s contention was that the Mahaffey tract needed to be valued according to what any other purchaser would pay for a piece of landlocked property.

The deal gives the port about 400 acres of developable land between its Inland Rivers Marine Terminal and the Gulf Intracoastal Waterway.

The total amount for all parcels together comes to about $6.4 million, or just under $16,000 per acre.

Hardman noted that’s a fair price for that much land, noting in the letter that its lease rates for undeveloped land is between $4,500 and $6,500 per acre.

In other business, the port’s board of commissioners approved $2.1 million in work to rehabilitate the rail spur at the marine terminal, $1 million of which would come from the U.S. Economic Development Administration.

The board also approved 4 percent raises for the 26 port employees, five of them unclassified.

Hardman, who was included in the raises, said staff hadn’t gotten a raise since 2009, though some got raises in 2010.

Real Estate Recap: September 25, 2012

From the Baton Rouge Business Report, Real Estate Weekly:

Landmark deal: Columbus, Ohio-based hotel investment firm RockBridge Capital today announced Monday its acquisition of the 290-room Hilton Baton Rouge Capitol Center downtown, and says the property will undergo a $7.1 million renovation. Prism Hotels & Resorts, which took over management of the downtown property earlier this year, will continue to run the hotel in partnership with the new owner. It was acquired from Commercial Properties Realty Trust, the for-profit arm of the Baton Rouge Area Foundation, for an undisclosed price. Daily Report has the full story here.

Estate sale: Paula Pennington de la Bretonne’s estate at 11001 Highland Road will likely set a new benchmark for residential real estate sales in Baton Rouge when it officially goes on the market next week. According to local real estate sources, the asking price for the property, which includes a main house and multiple other structures, will exceed $20 million. De la Bretonne’s daughter, Shannon Smith, is handling the listing but would not confirm the asking price or discuss the specifics of the home, which was built at de la Bretonne’s behest in the early 2000s. Read the full story from Daily Report here.

Queuing up: Smokin Aces BBQ, which is planning an Oct. 1 opening at 2504 Government St., next to Garden District Nursery, will not be Memphis-style, or Kansas City-style, or Carolina-style, or Tennessee-style. Owner Brian Medlin says it will be a little bit of everything, with some home-style flavors thrown in. “Hopefully it will be called Louisiana-style barbecue,” says Medlin, who also owns All Star Catering and recently bought the former Sweets BBQ—and its old seasoned smoker with rotisserie (“the backbone of the place,” he says)—which will become Smokin Aces. Daily Report has all the details here.