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Berlin council votes to try again with Gillis on redevelopment of Heron Park

The Berlin Mayor and Council unanimously voted this week to enter extended negotiations with Palmer and Sandy Gillis of Coastal Ventures Properties to purchase and redevelop Heron Park’s parcel 57.

Heron Park demo

Demolition progress of the former poultry plant at Heron Park in Berlin is pictured.
File photo

By Tara Fischer, Staff Writer

The Berlin Mayor and Council unanimously voted to enter extended negotiations with Palmer and Sandy Gillis of Coastal Ventures Properties regarding purchasing and redeveloping Heron Park’s parcel 57.

Councilmembers Steve Green, Jack Orris, and Jay Knerr voted to move forward with the Gillises at the July 22 meeting of the Mayor and Council. Vice President Dean Burrell and Councilmember Shaneka Nichols were absent from the meeting. Though he does not have a vote, Mayor Zack Tyndall said he supported the direction. 

A year’s worth of negotiating with Coastal Venture Properties (CVP) ended last summer in a 3-2 vote with Knerr, Burrell and Nichols in favor of moving away from the Gillis direction and Green and Orris in favor of continuing with CVP. 

On Monday, the Mayor and Council heard casual presentations from the Gillises and local developer Jack Burbage on each party’s intention to re-engineer the former Tyson Foods processing plant on parcel 57 at Heron Park, which is currently undergoing demolition. The venture comes as the town hopes to improve the site’s aesthetic and usability. A minimum price of $1.2 million was set for the space to include 15 sewer EDUs.

At the July 8 meeting, the group discussed potential uses for the area. Initially, they determined that businesses that would compete with downtown Berlin, such as retail and restaurants, were off the table. However, upon further conversation, the body agreed to open the scope of possibilities. The only “hard nos” were storage facilities, chicken plants and chain operations.

“I want something that we are excited about,” Tyndall said at the previous meeting. “I want something that is going to fit Berlin, that has some energy around it, it fits our needs …”

The consensus of the dialogue was that anyone who wished could come forward with their plans at the July 22 session. However, the survivability of downtown Berlin should still be somewhat considered.

The group chose the Gillises for further solo conversations because their portfolio includes the redevelopment of structures such as the ones found on parcel 57.

“I am leaning towards Gillis due to his history with reusing these industrial buildings,” Green said. “I also trust he and his team knows how important it is for us not to hurt downtown.”

Green’s motion carried with Knerr and Orris in agreement. 

Palmer and Sandy Gillis’ rough plan considers using the space for potential fitness, retail, professional offices, food services, and other commercial operations.

Conversations on July 8 maintained that mixed-use facilities with commercial space on the ground floor and apartments and offices above are a priority. The Mayor and Council noted on July 22 that this intention remains their preference.

“If there is a way to incorporate a housing component, that will strengthen the plan with our colleagues that are not here,” Tyndall said, addressing the Gillises.

Palmer Gillis argued that finding people to rent apartments on two-story buildings with a long walkup is impractical.

“It is not like walking up three or four steps; it is three flights,” he said. “It sounds simple, but it does not function well.”

Still, the developer agreed to consider incorporating residences and is open to further discussions.

“The consensus at our last meeting was for a mixed-use project so housing is important and was cited as important by our colleagues who are not here tonight,” Knerr said. 

Palmer Gillis maintained that during negotiations, he and the town must understand the site’s uses, when rezoning will occur, the arrangement of a traffic study with the Maryland State Highway Administration, the scope of the ongoing demolition, and the entry and exit points.

Gillis’s plan emphasizes the need to conduct a traffic study with the Maryland State Highway Administration to accommodate access to Heron Park and the future skate park and public works facility planned for the surrounding areas. Palmer Gillis said that this task must be completed during school to account for the increased congestion. A comprehensive plan will be submitted to the SHA for comments and approval.

Additionally, Palmer Gillis hopes to understand, through further negotiation, the scope of the ongoing demolition of the old food processing plant. He noted that knowing the timeline and ongoing work at the site, which will determine redevelopment parameters, is vital to drafting a plan. He stressed the town and his company must work cohesively together through the hurdles in the future but stopped short of committing to the $1.2 million price tag the town has outlined. 

In related news, the council voted at the July 22 meeting to approve change orders for the ongoing demo project to account for additional areas to be addressed and torn down that were discovered during the current work. The contractor, JNT Enterprises, proposed an extra 45 days, extending the project to Sept. 17. The governing body agreed to the add-ons, granting that the extension be decreased to 30 days.

“I want to see the 45-day extension reduced,” Green said. “I noticed at the project that they are on-site, doing a lot of work, and then there are windows of time where not much is happening. I think sometimes it’s a considerable amount of time.”

The change order motion increases the contract amount by $27,995 for a total contract sum of $375,054. Knerr motioned to approve the change order with the 30-day timeline with a second by Orris and support by Green.

While the town chose the Gillises for further negotiations, local developer Jack Burbage submitted a letter asking to be considered. His associate, Samantha Pielstick, read the letter.

“May I suggest that you listen to the interested parties and what they have to offer before you decide what you do not want in the park,” his written statement reads. “I am referring to storage.”

The developer argued that a competing retail space would jeopardize downtown Berlin, as businesses “work hard to make ends meet” when it is not summer or the Christmas season.

Burbage also asked that the council pause the sale of parcel 57 until the demolition of the processing plant is complete. He said it would be difficult for architects to design a plan without clear parameters.

However, the town favored the Gillises as potential developers.

“Burbage’s letter did not fall on deaf ears,” the mayor assured. “We will use it as guidance as we progress with the project.”

Palmer and Sandy Gillis are scheduled to meet with the Berlin Mayor and Council again on Aug. 26 at 5:30 p.m.

This story appears in the July 25, 2024, print edition of the Bayside Gazette.