The Jefferson Local Development Corporation board voted in favor of buying the Roberts Building – located on the northwest corner of Whitehall’s interchange with Interstate 90 – for $850,000 during its Sept. 21 meeting.
The purchase will be funded, in part, by proceeds from the JLDC’s $1 million sale of the historic Borden Building in August, according to JLDC Executive Director Eric Seidensticker.
“By purchasing the building, the organization is showing the willingness to foster and incubate the Western Legacy Center as a start-up,” Seidensticker said. “We are also helping the businesses and entrepreneurs that will have their products featured in the WLC.”
The location of the legacy center — which will combine a visitor center, a retail space specifically for Montana-made products and the Montana Pro Rodeo Hall and Wall of Fame — has long been discussed by members of both the Boulder and Whitehall communities. When Whitehall became a more viable option WLC board members started discussions with JLDC to purchase the Roberts Building.
Such a purchase has been the subject of debate – largely regarding financial stipulations – within the JLDC board, leading to back-and-forth negotiations over the last several months. This escalated in June, when the JLDC board decided not to purchase the building, a decision that came shortly after JLDC failed to receive the Economic Development Administration grant it applied for in the fall of 2021.
After the June vote not to purchase the building, JLDC board members followed up on the potential purchase by hearing more from proponents of the center. Former JLDC project coordinator and current Western Legacy Director Tom Harrington was one of these advocates. He to the JLDC board in July.
Meanwhile, Seidensticker continued to discuss a possible purchase with the Roberts Building’s owner, John Cote. “We entered into a lease last year and during that time we started negotiating with the building owner an option to purchase as part of that lease,” said Seidensticker. “Through negotiation we got to the number of $850,000.”
It makes sense for JLDC to consider the purchase, Harrington said Sept. 21, emphasizing how supporting the legacy center this way ties directly into the JLDC’s mission by promoting economic development and providing a space for a non-profit to grow. This message, Harrington said, is in the JLDC’s bylaws: “assist business enterprises, enhance tax base, create employment opportunities…and assist in the development of projects, undertakings, studies and other activities…”
JLDC Board Vice President Drew Dawson said he agrees the purchase of the Roberts Building does fall in line with the JLDC mission
“We are purchasing the building as a long-term business proposition to lease it or eventually sell it to the Western Legacy Center,” he said.
Many in attendance at the Sept. 21 meeting spoke in favor of the JLDC purchasing the Roberts Building for use as the legacy center. Most who spoke were Whitehall residents, but there were also residents of Boulder who offered their support, including Jefferson County Commissioners Cory Kirsch and Bob Mullen. Kirsch said the benefits would outweigh any risks. Similarly, Mullen said, regarding the Roberts building, he sees “no risk essentially in establishing this great asset.”
“My support was based on the probable building value exceeding the purchase price and the excellent location,” Mullen told the Monitor after the meeting. “In the end, I have been a Jefferson County Commissioner for almost 9 years. During this time I have worked closely with Tom Harrington and [Jefferson County Commissioner] Leonard Wortman. I have learned to trust them impeccably to protect our citizens and present quality projects that exceed expectations.”
Wortman, who also serves as JLDC Commission director, has been passionate about the Western Legacy Center for the past five years and has considered the Roberts Building the ideal host, largely because of its proximity to the interstate. The JLDC board’s approval to purchase the building was very satisfying for him.
“It’s a major relief,” he said. “It’s been a long time going.”
The Western Legacy Center, however, isn’t about him, Wortman said.
“The big thing is what kind of impact this will have on the small business people of the county,” Wortman told The Monitor. “The center has been open the last five to six weeks and we already have close to 20 Vendors.” This includes artist Laurel Ovitt, photographer Erin Van Dyke and Rock Creek Soaps.
Wortman believes the Western Legacy Center can meet the financial needs, which at first requires paying rent to JLDC. The amount is still to be determined.
“Negotiations still need to take place after the building is purchased,” Seidensticker said.
Regarding the vote to purchase Sept. 21, six JLDC board members voted yes, two voted no and four abstained.
The “yes” votes belonged to Wortman, Board President (and Whitehall resident) Nick Hensleigh, Lee Good, Steve Goodson, Keith Foley and Clint Smith. Dawson and Adam Senechal voted “no.” Corri Barry, Erika Morris, Brad Culver and Gary Carlson abstained, the latter of whom previously declared a conflict, as his wife is on the Western Legacy Center Board of Directors.
“My vote ‘no’ is based upon my judiciary responsibility as a member of the board of directors of JLDC,” Dawson told The Monitor in a phone interview. “Based upon what I have seen in terms of the project and the numbers – while I certainly appreciate the enthusiasm and the planning and the work that has gone into this from the supporters – I am concerned about the financial viability of the project, the amount of money being invested in the project by JLDC and what that does to our overall financial situation. We are also investing other money into the area. At the same time I’m concerned about it as a business proposition.”
Dawson added that, considering the JLDC board is moving forward with the purchase, he will “enthusiastically support the Western Legacy Center as a member of the board of directors.”
Wortman said he received calls from both Dawson and Senechal after the meeting, offering their support moving forward. There were no hard feelings, Wortman said, adding that it didn’t surprise him that there was opposition
“A project of this magnitude with this much interest shouldn’t be a unanimous vote,” Wortman told The Monitor. “You’ve got 12 people on the board. Everyone has a different opinion on how things should work. The JLDC should never be a rubber stamp for anything. I appreciated their questions. And, yeah, it was frustrating at times, but I think it turned out the way it should.”
Where does the money come from?
Just like any building the JLDC has owned and operated in the past there will be revenue and expenses, Seidensticker said, and working with the tenants is part of that process.
Regarding the Roberts building, this involves working with the United States Department of Agriculture. This department has an office in the building, with a lease that is up in the summer of 2023. Seidensticker said it’s of high priority to ensure they remain in the building.
Seidensticker knows he has “quite a lot of work to do,” and he said he is ready to move forward with the process. First and foremost, Seidensticker said he’d like to work closer with the Western Legacy Center to lay out expectations.
“I will work with my staff and my board over the next few months to tackle the purchase of the building and fulfilling our plans at the Sunlight Business Park,” Seidensticker said. “Our work is not slowing down, so, from my standpoint it’s going to be a challenge, and a good challenge. We’ve had a lot going on in the real estate sector organizationally, and I’m prepared moving forward.”
