Allen County commissioners exercised options Tuesday morning with two property owners on land for construction of the new Allen County Hospital.
Don and Ella Mae Britt agreed to a purchase price of $142,000 for two of the nine parcels, while O’Brien Rock Co. accepted $65,000 for another.
Altogether, nearly 17 acres are involved with eight owners.
Britt’s land totals just over 3 acres, said County Counselor Alan Weber, and includes a 2,000-square-foot building with a full concrete floor.
An appraisal of all parcels put total value at $605,000, an average of $35,600 an acre. Allen County Hospital trustees used the appraisal to make offers.
The Britts were cordial from the start, Weber said, and held out because they thought the building increased the value of their land. He said Health Facilities Group (HFG) of Wichita, which will design the hospital, agreed it would be useful during the construction phase and perhaps beyond.
“It is well-built,” Weber said.
O’Brien’s tract is a little less than 2 acres.
What the options mean is that survey work and testing can be done on the land, but construction can’t start until full payment is made; option agreements will be accompanied by 5 percent down payments, $7,100 to the Britts and $3,250 to O’Brien. The options are good until Oct. 1.
Weber said two other landowners essentially had agreed to options. Weber said trustees expect only one landowner will hold out and force condemnatioßn, a process that will take about 60 days, Weber said.
Condemnation will entail the District Court appointing three appraisers. Once they reach a decision, the county will pay that amount and construction can start. Either party will have recourse for appeal. If an appeal leads to a higher cost, the county will pay more; a lower cost would mean a refund by the owner.
Also on Tuesday, commissioners signed documents solidifying HFG’s role as architect. The architect’s compensation will be 6.5 percent of construction cost. Based on projected construction cost of $16.5 million, HFG will be paid a little over $1 million.