Published October 12, 2008 by

Village on the Cannon: A Petters Group Worldwide property

Since I’ve maintained the web site for Village on the Cannon (VOC) the past few years, I’ve gotten some questions from local citizens re: the status of VOC, given the statement on the VOC Our Story page:

In October 2007, Jon sold his real estate holding shares to his brother, Tom Petters of Petters Group Worldwide. Jon & Colleen Petters continue to own Collegeville Communities and Collegeville Companies.

Jon Petters, Lee Lansing, Colleen PettersVillage on the CannonWhen people ask what this means, I just tell them that the property/development, Village on the Cannon, is owned by Tom Petters/Petters Group Worldwide, and that Jon and Colleen just own the development companies. (That’s Jon and Colleen in the photo on the right, with Mayor Lee Lansing at the VOC grand opening in July, 2005.)

Tom Petters, if you’ve not been paying attention to the news, is in jail pending trial.

Current VOC homeowner’s association board president, Jerry Mohrig, released this statement yesterday, written by Susan Pedersen, concierge/property manager of Village on the Cannon:

The Village on the Cannon (301 7th Street W.) currently has a management contract for its Homeowners Association with Collegeville Communities LLC of St. Joseph, Minnesota.  Jon Petters is Chief Executive Officer of Collegeville Companies (the same entity as Collegeville Communities) and his wife Colleen Hollinger Petters is President of Collegeville Communities.

In October of 2007, Jon Petters, the original developer of Village on the Cannon and brother of Tom Petters, sold his real estate holding shares to the Petters Real Estate Group, which now owns 22 unsold units at Village on the Cannon.

At present, Village on the Cannon has 25 homeowners who own a majority of the property.  Therefore, there is no danger of seizure.  In addition, six condominium units are leased with an option to buy, bringing the total occupancy to 66%.

The Homeowners Association is actively working to ensure that the high standards of Village on the Cannon will be maintained.  Village on the Cannon continues to provide a vibrant living environment with its proximity to downtown and access to the cultural and academic stimulation of the Northfield community.

Griff Wigley

Griff Wigley

Businesses

3 Comments

  1. Susan Hvistendahl said:

    To be precise, Griff, currently the Petters Real Estate Group owns the 22 unsold units, not all of VIllage on the Cannon. As the statement says, VOC has 25 homeowners who own the majority of the property.

    October 12, 2008
  2. Griff Wigley said:

    In today’s Strib, Village on the Cannon is featured in a front-page piece titled Burned: The human toll of the Petters case:

    To illustrate the intricate connections of the Petters’ fallout web, consider Home Federal’s completely separate involvement in a housing development called Village on the Cannon in Northfield. The three-year-old upscale development, the brainchild of Petters’ brother Jon and his wife, Colleen, was aimed at senior citizens who might want to spend their golden years back near their alma maters, in this case, Carleton and St. Olaf colleges.

    Last October, Jon Petters sold his interest in the development to his brother, Tom Petters. Twenty-five of the condos have been sold, but one of Petters’ subsidiaries holds 22 unsold units. Those who bought condos worry that a fire sale of the unsold units could reduce the value of their properties. “How do we rationalize our budget not knowing what’s going to happen to the unsold units?” said Jerry Mohrig, a retired Carleton chemistry professor and president of the condo association. He said Home Federal is negotiating with another buyer and foreclosure seems unlikely because most of the units are sold. Still, it’s stressful for a 72-year-old chemist turned condo president.

    “I’ve learned more about finance in the last three weeks than I probably didn’t ever want to know,” Mohrig said. “I had to learn because I was the person responsible. We’re not victims, but we’re in an awkward situation.” Mohrig said the Village on the Cannon community has “really rallied around beautifully,” since news of Petters’ case broke. One condo owner even lent the association $100,000 — interest-free — to help get through the tough times.

    October 27, 2008
  3. Griff Wigley said:

    Foreclosure for Village on the Cannon is being recommended, according to this article in today’s Strib: Receiver seeks two Petters condo project foreclosures.

    The motion didn’t surprise Jerry Mohrig, president of the Village on the Cannon’s homeowners association and a retired Carleton College chemistry professor. About 16 of the project’s 46 units sit empty, he said. Nonetheless, residents are “making the best of it,” he said. “We’re going to survive,” Mohrig said. “We have great community spirit.”

    December 17, 2008

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