BHK puts properties up for sale
HOUGHTON – BHK has recently listed the properties it has for sale on its website. Those listed include the Moyer Clinic and a vacant lot on Sharon Avenue.
Associate executive director Bill Polkinghorne said there has been some interest in the properties but no sales have been finalized.
“We believe we’re close to a sale on the Moyer Clinic property,” Polkinghorne said. “… At least it appears that way right now.”
The Moyer Clinic is located in Baraga County.
The reason for the sale stems from the $1.2 million deficit BHK developed after it continued to employ people and run programs it did not have the grant revenue to support.
Despite selling the properties, Polkinghorne said the future of BHK does not rely on the sale of the properties.
“We could still continue to operate without selling these properties,” Polkinghorne said. “We’re selling these properties because we no longer need them. We’re not using them and it’s silly for us to hold on to these properties when we can convert them into cash.”
Polkinghorne said putting the properties up for sale is not only a practical move but something that should have been done prior to BHK’s recent financial difficulties.
“It’ll make the bottom-line a lot better,” he said.
While BHK might be able to sell its properties, there are currently no plans to use those profits to reinstate programs or hire back any teachers, mainly because those who were let go were supported by grants, which BHK no longer has.
“The point right now is just trying to get some money back to keep stability,” Polkinghorne said.
He also expects the sale of these properties to help put BHK into the black and believes it could potentially give BHK a surplus in its budget.
“It depends on how you want to interpret surplus,” Polkinghorne said. “We’re not planning on saying, ‘Okay, we’re going to take this and spend it.'”
One property that will not be for sale, though, is the recently closed Little Red Schoolhouse.
“The way it was being run, we were losing about eight to nine thousand dollars a month and you can’t run an operation like that,” he said. “We have plans to reopen when the numbers are there.”