The Chapel Hill Town Council approved a financial plan for purchasing the 35-acre American Legion property at its March 6 meeting.
The $7.9 million land will be paid for by one $3.6 million payment followed by two annual installments of $2.15 million at one percent interest.
“Our terrific financial team came up with the financial plan,” said Chapel Hill Town Council member Nancy Oates. “We’ve got the money for a third of it, the first payment, and we’ve got that in our general fund because we had an overage from what we budgeted, and now we’ve got some options on how to make the final two payments.”
Oates said the town will be using seller financing, which means they will borrow two thirds of the purchasing price back from the seller.
“It’s an incredibly good rate that the Legion has given us — one percent — it is really awesome, and if we are able to plan and do a public-private partnership with some group for the rest of the parcel, we may be able to come up with that money,” said Chapel Hill Town Council member Maria Palmer.