Abandoned Generator Building Donation Needs More Time

By Pru Sowers

Konk Life Staff Writer

Key West City officials are “definitely interested” in accepting the donation of a 100-year-old abandoned diesel generator plant in Bahama Village but need more time to put the deal together.

Key West City Manager Jim Scholl told city commissioners recently that although the current owner of the generator plant, Keys Energy Services, asked that the city act quickly on its offer, there isn’t enough time to do the necessary due diligence, get cost estimates for renovation and draw up the legal wording for a ballot resolution before a Dec. 15 county election deadline. Although the former electric generator plant is being offered free, local residents must still vote to accept the donation because it is a transfer of property.

Keys Energy had hoped to have the property transfer resolution on the March 15 presidential primary ballot. But Scholl said city staffers are struggling to meet the same deadline for a possible purchase of Peary Court, which is taking precedence.

“At this particular time with the other projects we’ve been working on, specifically the Peary Court project, we just don’t have the background done to be ready for this coming election,” Scholl said.

However, there are two additional elections in 2016, including a county election in August where the generator plant resolution could be placed. Scholl said he intends to talk to Keys Energy officials to see if the delay is acceptable to them.

“That property has been there for quite awhile and it’s something that needs serious consideration if we’re going to go forward,” Scholl told commissioners.

The 100-plus-year-old plant, which is comprised of three brick buildings totaling almost 11,800 square feet, has been abandoned for the past 55 years. Located at the corner of Angela and Fort streets, the buildings have fallen into disrepair and there may be some environmental clean-up that would need to be done before they could be used again. A report on the buildings’ condition given to the city by Keys Energy estimates the city would need to spend approximately $278,000 to remove lead-based paint from the structure and another $49,000 to remove asbestos. Then there is the cost to remove the four, two-story generators that remain in the plant, although salvagers may be interested in the metal and help reduce that cost.

The property may be useful to the city because it backs up to the new Truman Waterfront Park, which is slated to begin construction at the end of the month. If the city backs out of the generator complex deal, Keys Energy said it will put the buildings up for sale. The company just had the property appraised at $1.79 million.

Commissioners gave Scholl the go-ahead to ask Keys Energy for the delay, with Commissioner Clayton Lopez and Mayor Craig Cates saying they supported Scholl’s plan.

[livemarket market_name="KONK Life LiveMarket" limit=3 category=“” show_signup=0 show_more=0]