Methuen Council approves $3.25 million purchase of Searls Estate, authorizes bond

The Methuen City Council voted unanimously on the second read to approve the city’s purchase of the Searls Estate for $3,250,000 and to authorize a bond to cover acquisition and short-term operating needs.

Councilors approved a motion to waive the council’s one‑year bar on reintroducing defeated measures and then unanimously voted to reconsider the Aug. 5 rejection of TR24‑51. On the reconsideration and final votes the tally was recorded as 8–0 in favor. The CAFO told the council acquisition plus immediate operating and security costs would total roughly $3,500,000; staff estimated principal and interest on a 20‑year bond at just under $4,800,000.

The council’s action followed about two hours of public comment from residents, historians and civic groups who urged purchase and long‑term preservation. “This is a once in a lifetime opportunity to own and preserve this unique, irreplaceable and historically significant property,” said Kenneth Doherty, a member of the Methuen Historical Commission. Supporters cited tourism and events as potential revenue sources.

Administration officials framed the purchase as a preservation-first strategy. Director Jack Wilson said the sisters who own much of the campus have negotiated the sale and the city’s offer includes artifacts the seller is conveying. Wilson said the estate’s assessed value is $10,000,000, that the sisters agreed to a $3,250,000 price that includes about $1,000,000 of artifacts, and that a private buyer previously discussed a sale in the $4.2 million range that would not have included the artifacts.

Maggie (the CAFO) presented the financial details: an immediate operating/startup estimate of about $250,000 for the remainder of fiscal 2025 (including some security), bringing near‑term total to about $3,500,000 that staff proposed to finance with a bond. The administration estimated FY26 debt service and operating impacts at about $656,000; over 20 years the principal and interest were estimated at just under $4.8 million.

On due diligence questions, staff said building condition assessments and inventories are underway but an appraisal and a full structural renovation estimate have not been completed and will follow the acquisition and planning process. “We have not completed every inspection before closing,” Wilson told councilors; he and staff argued site control is necessary to preserve the estate and unlock additional state, federal and nonprofit funding opportunities that, they said, lower the net taxpayer burden.

Councilors pressed for specific protections and governance. Some speakers requested written guarantees of preservation and strict limits on future uses (including calls to prohibit housing). Staff replied that ownership gives the city leverage via zoning and that preservation requirements and governing structures can be included in acquisition policy and in subsequent implementation documents. Director Wilson outlined a community‑centered, 18‑month reuse planning process led by consultant Weston & Sampson and funded in part by a $200,000 federal EPA allocation (staff said the EPA grant total was $500,000 and that $200,000 was assigned to planning), and that additional state and nonprofit partners were already in discussion.

Before the final votes, City Solicitor clarified procedural questions about waiving council rules and the mechanics of moving for reconsideration. The council first voted 6–2 to waive a one‑year bar in the council rules and then voted 8–0 to reconsider and to approve the acquisition resolution on the second read. A borrowing resolution authorizing issuance of debt to pay acquisition costs passed by roll call with the same unanimous count.

The council and administration said that after closing they will continue community outreach and that any future capital projects to restore buildings will come back to the council for specific approvals and funding. The administration and several councilors also pledged to return to the council with details on governance, oversight and reporting mechanisms for the estate.

Next steps listed by staff include completing the planned assessments, pursuing state and federal grants and convening a community advisory group to guide reuse planning. The council set the acquisition vote on the record and authorized the borrowing that will fund the transaction.

Ending: The purchase is expected to close under the terms of the signed purchase‑and‑sale agreement and staff said they will return to the council with implementation details, funding updates and specific preservation safeguards as those plans develop.