Duluth's historic Board of Trade building has been sold to an Illinois company for $800,000.
Public records show Dubin Does Duluth I LLC bought the building at Third Avenue West and First Street last month following a short legal spat in federal court.
In March, Dubin Does Duluth sued former owner Allegra French Dengler, a New York woman who owned the building for at least 20 years. The company - related to Chicago-area developer Dubin Does the Town - was pressing Dengler to close the sale after she attempted to back out in February.
"Despite her agreement to sell the property and assign the insurance proceeds ... (Dengler) refuses to honor her promise and close the transaction," stated a complaint filed in U.S. District Court in Minneapolis.
The insurance proceeds stem from the July 21 storm last summer that damaged the building, including a chimney that needed immediate repair. Less-pressing damage was estimated at about $858,000. Dengler sought some of that money, sparking the lawsuit, according to court documents.
ADVERTISEMENT
By the end of March the suit had fizzled out and the sale was allowed to close. It is unclear whether the new owners used the insurance proceeds to buy the building or if they intend to use it toward repairs.
A representative of Dubin Does Duluth did not return an email Monday.
According to a posting on the website of certified public accountants Novogradac & Co. , the Board of Trade's new owners are seeking $10 million from the federal New Markets Tax Credit program. The post says the building is half empty and only one of three elevators works, though restoration could help attract more tenants.
Built in 1895, the Board of Trade housed grain and commodity trading until 1972. It is home today to several businesses from the retail-facing ground floor on up, including The Exchange deli and bakery and the Minnesota Ballet.
