Shatley Springs up for Sale
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jrscott295
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Posted 12:13 pm, 10/29/2019
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I know the health dept from Raleigh has sent a van load of people to inspect some properties in Ashe after they changed owners. They get lists and then get so much time to fix everything found. It's not a standard health code check, they literally check every nook and cranny and find about everything they can. Keep in mind that most businesses wouldn't want this to be public so they keep it quiet, but is one reason you usually see maintenance/remodeling after commercial properties change hands.
Fixing that depends largely on the property and how much maintenance has been kept up. Let's face it Lee's cut a lot of corners I'd expect it to take a lot, I think the cabins would be a lost cause but you could do the restaurant if you were willing.
For instance that place behind the Old Courthouse, it's never been used much since it was largely fixed years ago, it keeps changing hands but no one's ever been successful there. It was the dream of the lady who owned that home back in the 50s/60s that the property would be a restaurant, there might even be soemething in the deeds about that (she's dead now I believe). I'd be surprised if there was much wrong with it though the longer it sits the more there would be. Problem there is there is not enough parking and you couldn't get enough covers to really make it profitable.
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Lurker2
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Posted 12:05 pm, 10/29/2019
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I suspect that they operate under a variance given via Chapter 8 of the code - https://ehs.ncpublichealth....-FINAL.pdf
A new owner is not supposed to keep that variance, but you would have to ask for the permit info from the health department. It's all public record except for trade secrets. I shudder to think what the trade secrets were.
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aFicIoNadoS
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Posted 11:08 am, 10/29/2019
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I didn't think updates had to happen unless the operation shut down or changes were made. Look at how many restaurants don't have to be remodeled every time the tenant changes and the business changes.
Jr, a tiny home development wouldn't be for local housing. There's no profit in that.
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Crestonflash
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Posted 10:24 am, 10/29/2019
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Jack from what I understand if ownership changes hands the new owner has to apply for the health certificate. I know of one instance in a neighboring county that happened. Potential buyer was ready to drop the hammer when he found out that he would basically have to gut the existing kitchen (1960's vintage) and rebuild.
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jrscott295
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Posted 12:42 am, 10/29/2019
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I don't see the current operations continuing. On that I agree with FINS.
They would only have to bring up to code after the sale closed. But yes it would have to be up to code and frankly it would be cheaper to dismantle the cabins. The restaurant might stand in the way of future development.
As FINS says the land is what's important.
I like the idea of a tiny home park. The county needs more affordable housing. Sadly I doubt that's what will happen.
Given the history of Shatley Springs someone buying it is far more likely to make it a more modern destination, get it out of the 60s and 70s......
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jack rip her
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Posted 8:58 pm, 10/28/2019
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I would like to see the books before passing judgement on the restaurant business there.
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aFicIoNadoS
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Posted 7:21 pm, 10/28/2019
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According to their website, none of the cabins are available to rent this year. This says they are probably unsafe. Or, the septic system is shot. We know the restaurant is wore out and run down.
It would probably make more sense for a buyer to knock it all down and start over with a modern, viable plan. Use the land for a full campground, or maybe do something like a boutique inn. Or probably more likely, house sites. If they do it while the fad is still hot, a tiny home development might be a good idea.
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aFicIoNadoS
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Posted 7:14 pm, 10/28/2019
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I'd be surprised if a buyer kept the current operation. I see it being bought more for the real estate.
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jack rip her
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Posted 6:55 pm, 10/28/2019
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I thought it had to close for that to happen flash?
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Crestonflash
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Posted 4:34 pm, 10/28/2019
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Agree with Fins on the value. It is somewhere in the ballpark. Big downside I see is that once it changes hands, the kitchen and bathrooms will have to be brought up to current code.
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aFicIoNadoS
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Posted 9:20 am, 10/28/2019
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I said starting point. As we've already said, it doesn't seem that far off.
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jrscott295
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Posted 8:13 am, 10/28/2019
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I didn't say it was worth less than a million. But 1.9 million is to high considering the condition of the buildings.
How does it get a deferment, well there are a few ways.
I don't know about this specific property. The most common ways are agricultural, forest land and horticultural designations.
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Kehinnc
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Posted 7:41 pm, 10/27/2019
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How does this property qualify for a Deferred Value of $869.5 k?
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aFicIoNadoS
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Posted 10:57 am, 10/27/2019
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Jr, how many real estate projects have you been involved in? $1million is pretty much the minimum starting point now.
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jrscott295
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Posted 12:58 am, 10/27/2019
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One thing you'd have to factor in is 3 more years of Road Construction, I mean they've not even started Section E yet.
Family Style/Buffet restaurants have been failing throughout the USA for much of the last few years. Yes some still exist but younger people don't so much go for the buffet/family style of eating. So as a long term investment there would have to be changes to the menu etc. Would probably have to move away from Family Style, looking at reviews people are angry that it doesn't taste as it did years ago and that family style is served in individual bowls and you have to ask for more (I understand it from a business point of view its a way to cut down on waste....but it appears the staff is very unatentive these days)
The cabins weren't even fit to rent this year. (In fact they weren't renting them except the one that burned was one that someone that worked there was staying in).
So basically the cabins if you wanted to keep them would probably have to be torn down and rebuilt.
You know what it would make is a good site for maybe a boutique inn. The history of the springs there you could build a spa, have your restaurant, maybe build a small/medium inn and perhaps attract those looking for such accommodations, would make more sense than downtown WJ, but I'm not sure it would be viable. You could even possibly build your own distillery having your own product (though that would require changing the county laws I think).
Still I think 1.9 million is a bit much to pay. Though I suppose it depends on what sort of ROI you expect and how many years before you make a profit....
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aFicIoNadoS
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Posted 11:48 pm, 10/26/2019
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That's only if you intend to continue operating it in the same manner as it is currently. Someone could look at it for a different use and the financial history wouldn't matter.
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jrscott295
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Posted 9:28 pm, 10/26/2019
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I do agree though you'd want 5 years of financials before ever buying such a property.....
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jrscott295
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Posted 9:27 pm, 10/26/2019
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According to the gis website it is owned by Lee Q McMillan and Tracie L McMillan.
Land value: 1.2 million Building value: 142k other value: 365k Market Value: 1.7 million Deffered Value: 869.5 k Total assessed Value: 845.9k
1 of the cabins did burn in the last week or so.
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billythemountain
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Posted 5:11 pm, 10/26/2019
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Most of those cabins need to be razed. They're infested with rodents and fire hazards. You're paying more for the land than the infrastructure. Doesn't Jonathan Jordan's ex-wife's husband own it now?
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jack rip her
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Posted 2:54 pm, 10/26/2019
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Tax value of the property is 1.7 million.
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