Suspicions arise in Mat Maid property sale

PALMER -- Just off of East Dahlia Street in Palmer is a small sign that many residents have seen so many times that it is often simply tuned out of their vision. It bears the image of Anuska, the ice skater who serves as the logo for the Matanuska Maid Dairy. The sign itself is an informative placard telling the history of Matanuska Maid and the Farmer's Cooperating Association. "This historical district around you," it informs the inquisitive reader, "includes the greatest structural remnants of the Matanuska Colony project."

It would be difficult to glean the same information simply by scrutinizing the building that serves as a backdrop to the sign. This is the Matanuska Maid warehouse building, showing the weight of the years with its weather-beaten facade and roof. The building also bears fire scars from February 2003, when the entire adjoining farmer's co-op building was destroyed by arson. The building has recently been thrown into relief in the public eye by both the aftermath of the co-op fire and the recent decision by Heritage Properties LLC, to sell the plot. Allegations are arising that the corporation did not properly maintain the buildings, and is now attempting to make money off of a property that it acquired for a comparatively minimal fee.

The property in question was shown to bidders in late 1997 in preparation for an auction.

"There were a number of architectural companies represented [at the showing]," said Fran Seager-Boss of the Palmer Historical Society. However, according to records filed with the Department of Agriculture, Heritage was given the property free of charge in a Request for Proposal agreement. This agreement stipulated that Heritage alleviate the back taxes (roughly $70,000) on the property and maintain the historic covenants associated with the buildings, which specifically state that the owner must "keep said property in good condition and repair."

These covenants, according to Seager-Boss, also require the buildings to "continue to contribute to the historic district." The unspoken but implied terms of the covenants state that the buildings be used for a historic purpose, and maintain their original appearance and atmosphere. Both the now-destroyed co-op building and the existing warehouse are listed on the state's architectural register as contributing structures in Palmer's historic district.

Dennis Wheeler, assistant district attorney for the state, is currently investigating whether or not Heritage fulfilled these covenants.

"The buildings were expected to be remodeled by this time," Wheeler said Wednesday. Wheeler is working with the branch of the Division of Agriculture that deals with granting and repossessing historical lands.

Several weeks prior to the fire, Heritage had made preliminary plans to turn the buildings into a historic hotel. This decision was made roughly four years after the corporation acquired the property.

This lassitude has caused many Valley residents to allege that Heritage failed to maintain or, indeed, pay any attention to the property whatsoever.

"We lost a beautiful old historic building, and someone's making money off of it," said Mark Loomis of Palmer. "They boarded up the windows and locked the doors … they never did a darn thing to remodel the building." Loomis acts to preserve historic Valley buildings in his spare time, and had put in his own bid for the Dahlia property in 1997, before Heritage gained the RFP.

"Doing business is fine, but taking advantage of taxpayers is another thing entirely," said Gary Wolf, a Palmer architect. Wolf followed the sale of the property from its initial stages in 1997, and was suspicious about the transaction from the beginning. "They didn't even try to do anything with that property," he asserted. "They just got it for basically nothing and then sat on it."

Heritage is now retailing the property through

Lee Realty in Palmer for more than $600,000. The site

is valued at about $1

million by the Division of Agriculture.

Heritage Properties offered no comment at

press time.

"We want these buildings returned to economic use. We envision a Colony Museum, historical exhibits, retail shops and businesses -- a place for people to go," continues the sign in front of the vacant lot at 325 E. Dahlia St.