FAIRMONT–The Fairmont Economic Development Authority (FEDA) on Monday heard an update concerning the purchase of the Meschke property located near Highway 39.

FEDA hopes to purchase the property and convert it into an industrial park but did not approve of a purchasing agreement offered by the property owner.

“The purchase price came back substantially higher than I had anticipated. It does fit within the purchase option but (we’re) not paying that much money,” said Economic Development Coordinator Ned Koppen.

Previously the board had planned to acquire the property at a rate of $19,250 per acre or two and a half times the appraised value so long as it did not exceed $25,000 per acre. The most recent appraisal almost doubled the property value to the point that it now exceeds FEDA’s allotted budget for the purchase. FEDA is in the process of developing a counter-proposal and still has the option to purchase the property until Sept. 30, but this price increase means the project will be delayed or possibly canceled altogether if an agreement isn’t reached by then.

“If we can get back closer to where we thought we were going to be and what city council approved then we’ll move forward, otherwise we’ll need to think of something else that would be really, really cool to do with that money,” said Koppen.

In his report to the board Koppen said he had recently attended two strategic planning sessions hosted by the city of Mankato, Greater Mankato Growth and other partners. Because the strategic plan outlined by these groups could impact a the south central Minnesota region as a whole, Koppen and other area economic figures were invited to participate.

“I just thought it was important to hear what the big city thinks about our reason … and sit in some of those discussions and breakout groups. A lot of it is Mankato leaning and I think it’s important if (they’re) going to talk regionally, don’t forget about Fairmont and numerous other communities that contribute greatly to your economy,” said Koppen.

FEDA also approved a $1,000 donation to Leadership Martin County. FEDA has been a longtime supporter of the program which helps participants learn more about Martin County and this donation is in line with previous contributions to the program. There have been no significant changes to the program curriculum since last year. On average around 15 people participate in the program each year with larger classes attracting around 20 individuals.

FEFA also finalized the sale of the incubator building located at 426 Winnebago Ave. The building will be transferred to Kingdom Builders Masonry.