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Oct 5, 2011 11:43 AMPublication: The Southampton Press

East Hampton May Sell Its Half Of Poxabogue To Southampton

Oct 5, 2011 12:22 PM

In an effort to cut its expenses, financially strapped East Hampton Town is looking to sell its half of the Poxabogue Golf Center in Sagaponack to Southampton Town, it’s partner in the original joint-purchase of the facility.

The two towns have reached an agreement in principle for Southampton to pay East Hampton $2.2 million for its half of the 36-acre driving range, 9-hole golf course and pro-shop/restaurant, Southampton Town Supervisor Anna Throne-Holst said. She said the town is planning to use money from the Community Preservation Fund to make the purchase, as it did when the two towns bought the property for $6.5 million from private developers in 2004 to save it from being leveled for residential housing. Southampton’s original share of the sale price was $3.25 million.

There remain several issues that must be resolved before the purchase could be effected, the Southampton supervisor said, including whether the town can still use Community Preservation Fund money to buy a property that has both a private business operating on it and is a revenue source for the town.

She said the two towns have been discussing the transfer for about a year.

The two towns would also have to balance what East Hampton’s share would be of the approximately $500,000 in a reserve fund built from the course’s revenues over the last seven years.

On Tuesday, East Hampton Town Supervisor Bill Wilkinson told his board he expects East Hampton would receive approximately $200,000 from the reserve as its share of the payout.

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