Madras leaders approve deal for former Initiative Brewing property after closure

MADRAS, Ore. (KTVZ) -- The Madras Redevelopment Commission (MRC) and Madras City Council yesterday approved a Purchase and Sale Agreement for the former Initiative Brewing property.

According to online documents, this action addresses the business's closure and default on its funding agreements, allowing the city to protect its public investment.

The approved agreement enables the Madras Redevelopment Commission to obtain ownership of the site. Repayment of the remaining financial obligation will continue under a new agreement.

The initial investment had transformed a vacant public building into a renovated commercial property that served as a restaurant, brewery and community gathering place for several years.

Interim City Administrator David Clyne stated that economic development projects involve both opportunity and risk. "Urban Renewal exists to encourage investment and redevelopment that might not otherwise occur," Clyne said. "While not every project ultimately succeeds as planned, our responsibility is to protect public assets, maximize recovery whenever possible and position the community for future opportunities."

Clyne also noted the overall success of the commission's programs. "Since the Madras Redevelopment Commission began making redevelopment loans and grants, the overwhelming majority of projects have either been repaid or continue to perform as intended," Clyne said. "Situations like this have been rare, but when they occur, our responsibility is to recover as much value as possible for the community."