Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SATURDAY, April 7, 1990 TAG: 9004070325
SECTION: NATIONAL/INTERNATIONAL PAGE: A1 EDITION: NEW RIVER VALLEY
SOURCE: MADELYN ROSENBERG NEW RIVER VALLEY BUREAU
DATELINE: FAIRLAWN LENGTH: Medium
Officials at AT&T announced the sale price of their Fairlawn facility Friday, almost three months after they announced the plant would be closing and work would be moved to Dallas.
"I'll sell you or anyone else the building and the property for $14,250,000," said Jay Walters, director of manufacturing.
Walters said the price set was the minimum it would cost to build a facility of the plant's size on the 743-acre layout.
"The price is set to be fair and aggressive," Walters said. "It's a signal to the buyer that we really are interested in selling. It's a fair market price."
AT&T bought the facility 10 years ago for $11 million from Avtex Fibers and has made extensive renovations since that time, said Tom Loner, the AT&T executive assigned to help the New River Valley with economic development and community support.
"There's really no comparison between what it was then and today," Loner said.
The facility, which has been used for the past decade for the manufacture of electronic components, can be used for almost any type of industry.
Hugh Keogh, executive director of the state Department of Economic Development, said he is optimistic about the sale of the plant.
"I think this is a very attractive facility," Keogh said. "It has many pluses. Given its size, there will be a relatively narrow market, but we can identify our sources and certainly get the information out to potential users."
Keogh said the Fairlawn facility is the second largest in the state's inventory of 369 industrial sites.
"There are very few buildings the quality of that building at that size," Keogh said. "It's special, if not unique."
Loner said AT&T officials hope to find a buyer who would provide a significant number of jobs for the community. As the plant shuts down over the next year, 1,000 employees will be put out of work.
Several companies have asked about the facility, but "none that I would say are really serious," Loner said. "Now that we have established a broker and a price, I expect activity to accelerate. We'll be getting a lot more publicity."
The Binswanger Co., headquartered in Philadelphia, has been selected to represent AT&T in the sale of the New River Valley Works.
Binswanger is a specialist in industrial real estate sales across the nation and internationally, Walters said. Its nearest office is in Charlotte, N.C.
Walters said Binswanger will work closely with the company and local and state economic development groups to market the site.
Keogh said his department has worked with the company on many occasions.
He said the price is "fair and reasonable for the size, scope and location of the plant."
Walters said marketing plans include a videotape, which will highlight the facility and the New River Valley.
Officials made the announcement of the sale price and broker to members of the New River Valley Economic Development Alliance on Friday afternoon.\
by CNB