Od Graphite Mill update

Boro May Repossess Old Bloomsbury Mill
by Curtis Leeds/Hunterdon County Democrat
Sunday February 15, 2009, 11:33 AM
CLOUDY FUTURE -- Bloomsbury's green mill is officially called the Black Mill, a likely reference to a past use processing graphite powder. The developer who acquired the historic mill last year may be unable to refurbish the site, leaving borough officials wondering what will happen next.
BLOOMSBURY -- If the owner of the old mill on Church Street doesn't act soon to protect it from decay, Mayor Mark Peck said officials will act to take ownership of the historic property -- again.

"We really don't want to do that," said Mr. Peck, who remains hopeful it won't be necessary. "I'm not out to punish the guy for running out of money. But there has to be some action. Right now, it's stalled in the water."

It's the latest twist in the mill's long history. A grist mill was first built on the site around 1760 and was rebuilt more than once in the 1800s. It was converted for grinding lumps of graphite into powder late in the century and stopped operating in 1968.

The building has stood vacant and deteriorating for years. The borough took ownership of the mill after a tax foreclosure in 2000. At the end of 2005, Borough Council approved a deal for it to be restored by Alexandria-based Wood, Stone & Steel. But the borough rescinded the deal a few months later and selected Lukas Louw of Bethlehem Township to redevelop the property. Last year, the deed was transferred to Mr. Louw for $1, but includes a requirement "that it must be refurbished" to plans already approved by the borough, Mr. Peck said.
Mr. Louw tried to sell the mill on eBay. It was offered at $305,000 and bidding ended in December with no takers. It is now listed with Max Spann Real Estate at an asking price of $239,000, "ready to renovate, then rent," according to a brochure about the property.
But time is running out for Mr. Louw. He recently moved with his family to Costa Rica and his local phone numbers have been disconnected.
The approved plans are ambitious. The 6,000-square-foot building would be converted to 1,632 square feet of commercial space, a 1,600-square-foot three-bedroom apartment and a 2,400-square-foot four-bedroom apartment. Borough zoning would allow a wide range of uses for the commercial space, including retail and service businesses.
Building permits, state DEP permits and septic approvals are all in place, Mr. Peck said. Mr. Louw "has sunk a lot of money into this, and a lot of effort." So Mr. Peck doesn't want to see Mr. Louw lose his investment, which he guesses is around $80,000 in costs associated with getting the permits.
The agreement with Mr. Louw provides for the borough to take ownership of the property if Mr. Louw doesn't act, but Mr. Peck, who is a lawyer, said that would still probably involve some legal action. "We've tried selling it before. There was no interest," he said, which adds to his reluctance to reacquire the property.
If Mr. Louw does lose the mill, Mr. Peck said, "We will talk to anybody, so long as the building gets refurbished." That includes returning to Wood, Stone and Steel and finding out if that company is still interested. Mr. Peck doesn't think the borough can do the job itself. "It's beyond our capabilities," he said. If the mill doesn't get refurbished, "It becomes an attractive nuisance," Mr. Peck said. That might mean that officials would have to raze the mill. "That will still cost money," he said. "And we don't like to spend money in Bloomsbury."
For now, Mr. Peck remains hopeful. "I have the quaint idea that people will do what they said they would do," he said, and Mr. Louw's time hasn't run out quite yet.
Mr. Louw declined an interview for this article.
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