South Avenue loses veteran tenant in exchange for condo development

The South Peer Antique Mall & Flea Market at 317 South Ave. – a mainstay for vendors of all things vintage – will close its doors Aug. 10, ending a nearly two-decade run.

And just to the south of the flea market, at the busy intersection of South Avenue and Walnut Street, Papagiorgio’s Pizza has been forced out of business after a legal dispute with landlord Wehr Properties.

There’s also talk of building a multistory condo tower at the southeast corner of South and McDaniel Street that could significantly alter downtown’s skyline. A group of investors mulling the project said the tower, if feasible, would have an “iconic” design. The group’s name – Glass LLC – hints at the façade design potential.

Investors announce plans

E.J. Luarca, who also owns and operates Tradewinds Furniture Co. at 315 South Ave., sold the former hardware store to a group of investors doing business as South Pier LLC. The investors are Jerry and Bo Hagerman, a father-son architect team who own Hagerman New Urbanism, Jason Harris and Keith Acuff. The sale closed July 13.

Bo Hagerman said the 25,000-square-foot, three-story building would be converted into a mixed-use development with nine high-end condos on the second and third floors and restaurant or office space on the ground level. Hagerman New Urbanism already has started engineering and design work for the $3 million project financed by Great Southern Bank, Hagerman said.

Hagerman and his partners will presell condos beginning Aug. 3 through listing agent Michelle Cantrell at Carol Jones, Realtors. The condos, which should be complete next summer, will include reserved parking in nearby lots and will range from $180,000 to $350,000, he said.

Hagerman said the condo development would target baby boomers who want to downsize and move to “downtown proper.”

The same investors also have purchased the parking lot at the southeast corner of South Avenue and McDaniel Street from Vandivort Center owner Aaron Buerge for $150,000.

Hagerman said robust condo sales in the South Peer building could justify a multistory condo tower at the site.

“I think we could get several units on the spot by going vertically,” he said, suggesting a design concept with as many as 12 stories. “We’d like it to be kind of an icon.”

Hagerman said work on the project – if warranted – wouldn’t begin until next year, after renovations at the South Peer building are complete. Construction on the first set of condos should begin soon after the flea market has moved out.

Two tenants ousted

South Peer vendors have an Aug. 10 deadline to move out, leaving many scrambling to set up shop elsewhere.

Jeff Duncan, who has managed South Peer’s day-to-day operations for the past two years, said some vendors are moving to Charley’s Place at 1315 E. Trafficway, while others are renting space at S.T.D. Flea Market’s central location, 505 E. Trafficway. Vendors were given 30 days’ notice to vacate the building, he said. Their wares included vintage clothing, retro furniture and hard-to-find records.

South Peer had about 18 vendors renting 30 booths, Duncan said, noting that the average monthly rent per booth was about $95. The flea market had enjoyed a successful run since opening in the late 1980s, Duncan said.

“It’s been here a lot longer than the vast majority of businesses down here,” he said.

One of those businesses was Papagiorgio’s Pizza, which has been forced out of its leased space at the southeast corner of South Avenue and Walnut Street. The restaurant – known for its pizzas and calzones – was a little more than a year old.

Owner Todd Thurston has been involved in litigation with landlord Wehr Properties LLC since late September, according to Greene County Circuit Court records. On July 13, Circuit Judge Mark Powell authorized Wehr Properties to repossess the space leased by Papagiorgio’s, records show.

Property manager Teri Cobb was reluctant to provide details about the strained relationship between Wehr Properties and Papagiorgio’s.

“They are not leaving on their own accord,” she said. “I don’t know what the future holds.”

Papagiorgio’s employees began removing equipment and furniture from the restaurant late July 16 and hauling it off in moving trucks. Thurston opened the pizzeria and sandwich shop in April 2006.

Attempts to reach Thurston were unsuccessful. Cobb said Wehr Properties is talking to prospective tenants, but that nothing has been “set in stone.”