CONTRACT-LEASE
Motion/Request:
title
MOTION to set Special Town Meeting (Hybird Format - Video Conference and In-Person) on Wednesday, July 8, 2026 at 6:30 p.m. to be held in the Council Chambers, 741 Colonel Ledyard Highway, Ledyard, to consider, discus and vote upon the following:
“Shall the Town of Ledyard sell town-owned property located 480R Shewville Road, (fka) Loftus Wellfield, for $150,000 to Mr. Kevin Blacker, of Groton, Connecticut?.
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Background
TOWN CHARTER
CHAPTER VII
In accordance with Section 9 “Financial Powers”
Any resolution making a non-budgeted appropriation of more than one (1) percent of the current tax levy, but less than five (5) percent for any purpose, any resolution authorizing the issuance of bonds or notes or other borrowing of less than five (5) percent of the current tax levy, except notes in anticipation of taxes to be paid within the fiscal year in which issued, and any sale or purchase of real estate or interest therein shall become effective only after it has been approved by the Town Council and adopted at a Town meeting by a majority vote of the qualified voters present and voting at such meeting.
Department Comment/Recommendation:
In 1993, the Town sought a new well field location to supply water to the Highlands subdivision (700+ homes), as the existing supply was failing. An agreement was reached with William and Dorothy Loftus to acquire the 11.46 acre parcel with a ROW only for access (no deeded frontage), now known as 480R Shewville Road for $275,000. The wells were installed and ultimately supplied water to the Highlands as well as Lakeside Condominiums. In 2010, Groton Utilities and the Town reached an agreement to provide water in parts of town, including the areas served by the Loftus Well Field, thereby terminating the need for the well field. Once connections were made, the Loftus wells were filled in and officially closed, equipment removed from the structure. Recognizing this as surplus property, we sought ways to re-use the parcel but soon learned a restrictive covenant prohibited any use but as a municipal well water supply. With that use extinguished, we had effectively no use of the property. The Mayor contacted legal counsel to determine the validity of the highly restrictive covenant, which was legally determined to be enforceable.
In addition, the Mayor started the legal research on the Loftus restrictive covenant on 7/7/2021 and completed that work with our then new Torn Attorney, Shipman & Goodwin in April 2023. This was a time consuming process that was not knee-jerk.
Finance Director Comment/Recommendation:
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Mayor Comment/Recommendation:
I support the sale of the parcel to Mr. Blacker as he also has a contract with the Loftus family for the remaining farmlands that surround this parcel. Though the Town purchased the parcel for $125,000 more than the offer, the value in providing drinking water to residents in a time of need was the true value, so the residual value of $150,000 is fair to all parties.