Watertown GC Purchase Documents May Be Reviewed by New York Attorney General’s Office

Mayor Jeff Smith says he thinks the documents are troubling and deserve a review by the Attorney General’s Office. The draft agreement between developers Mike Lundy and P.J. Simao says Simao would get $1.7 million for a deed restriction on Ives Hill Country Club, more than the $850,000 previously disclosed. Smith also doesn’t believe the deed restriction should have any value, pointing to the appraisal that was done on the park property in February. Council Member Lisa Ruggiero disagreed with Smith. “To say that it had no value, I have to disagree… All you have to do is look at Ives Country Club golf course and that sold for $2 million,” she says. Smith also says he thinks the city paid too much.

The contents of a draft document from the Watertown Golf Club purchase may make its way to the Office of the New York State Attorney General, WWNY reported. That’s what Mayor Jeff Smith plans to do. But, those in favor of the purchase aren’t worried.

Despite it being unsigned, Smith says the documents are troubling and deserve a review by the Attorney General’s Office, WWNY reported.

Club + Resort Business has shared other stories about this ongoing issue during the past year.

The draft agreement between developers Mike Lundy and P.J. Simao says Simao would get $1.7 million for a deed restriction on Ives Hill Country Club, more than the $850,000 previously disclosed, WWNY reported. It also includes a non-compete agreement and settles any current or future litigation between Simao and Lundy and the city.

Another thing the document does, Smith says, is show the golf course and property’s believed value, WWNY reported. Smith says that of the $3.4 million, if $1.7 million went to Simao, that leaves $1.7 million for the property. He again says the city paid too much.

“I have concerns on a couple issues whether a price was artificially inflated,” he said.

Smith also doesn’t believe the deed restriction should have any value, pointing to the appraisal that was done on the park property in February, which states the deed restriction does not enhance the course’s value, WWNY reported.

“If anything, it could have had a negative value because you were giving your competitor money to open a golf course against you, or fix up a golf course to operate against you,” he said.

Council Member Lisa Ruggiero disagreed with Smith.

“To say that it had no value, I have to disagree with the mayor… All you have to do is look at Ives Country Club golf course and that sold for $2 million,” she said.

Council Member Cliff Olney agrees with Smith that “Golf Gate” should be looked into by the Attorney General’s Office but believes it should go back to when the city was offering a cheap lease to the Watertown Golf Course when it was owned by shareholders, WWNY reported.

“I said the whole thing should be looked at, then sorted out, and it can be explained to the public. Rather than bits and pieces where people don’t understand,” he said.

Smith plans to ask the state to take a deeper look into the transaction in a couple of weeks.