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This article was published 4 year(s) and 2 month(s) ago
A judge denied a motion by appraiser Gregory Story to dismiss the City of Peabody's lawsuit against him, sending the case to trial in October. (Spenser Hasak) Purchase this photo

O’Shea Mansion project on the City Council agenda again

Alena Kuzub

September 6, 2021 by Alena Kuzub

PEABODY ― The O’Shea Mansion’s $7 million bed-and-breakfast project is going in front of the City Council again on Thursday, asking for a special permit for 10 hotel rooms and three apartments. Developers are hoping for no last-minute surprise special conditions this time.

“I think overall everyone is in support of the special permit we are applying for,” said Julie Daigle, who works for the developer Ed Greeley and manages his other project, Mills 58. “Everything we expressed in the Request for Proposal (RFP) pretty much matches up. I wouldn’t expect any additional special conditions.”

The City Council approved the sale of the property to Greeley in April and authorized Mayor of Peabody Edward A. Bettencourt Jr. to negotiate and sign a purchase and sale agreement with the developer for $751,000. The deal was then stalled by the Legal Affairs subcommittee, which appeared to have improperly attached new conditions made by Ward 2 Councilor Peter McGinn to the agreement beyond the scope of the RFP in a motion.

Daigle, who is a candidate for Ward 4 city councilor, said that Greely won’t close on the property until the council approves the special permit.

“I feel very strongly about this project. We have already spent a lot of time and money on plans, renderings, surveys and abatement. We are pretty invested for people who have a sale and purchase agreement but don’t own the property,” Daigle said.

This project is important not only for Peabody but for the North Shore, Daigle said. She was also hoping that if anybody had any objections they would have already expressed them prior to the meeting.

Daigle said the community has overall expressed a lot of support for the project. People have been reaching out, asking for jobs or looking forward to visiting the future amenities.

“The more we looked at it the more we fell in love with it. A lot of people kept telling us ‘this is not a money maker, you are crazy to take it on,’” said Daigle. “It is a huge challenge but if it all works out, everyone will be proud of it.”

Bettencourt has been a vocal supporter of the project, too, saying that Greeley and his partner, restaurateur Jeff Cala “have an amazing vision that is ideal for this property.” Bettencourt indicated Saturday that he will be making a presentation before the council on Thursday.

“This is an outstanding plan for a property we all know very well,” Bettencourt said. “Their plan has been simply stunning from the first time I saw it. But I’ve had the opportunity to see the latest visuals and it’s even more special than what I thought. Ed has taken this project beyond anything we could have ever expected. It’s going to be something special, so this is a very big meeting Thursday.”

Bettencourt said the project will help preserve the city’s history and a “stunningly beautiful building” and will serve as a gateway.

The whole project includes properties at 2, 12 and 16 Washington St. and envisions a bed-and-breakfast inn, a restaurant with indoor and outdoor seating for up to 100 patrons, a speakeasy-style bar and a health spa. Ample parking for patrons and staff members will also be provided.

The request for a special permit that is going in front of the council on Thursday night is only for 2 Washington St., where hotel rooms would be and a few apartments at the carriage house. Daigle said that everything else in the project is allowed by right, meaning that the use is permitted in the zoning district and does not require approval by a local government. The council might only decide to allow a smaller number of hotel rooms or fewer apartments (Greeley’s special permit plan requested 10 and three, respectively).

Events venue Olio, located at 43 Main St., is also on the agenda, seeking relief from several conditions attached to its special permit which mother-and-daughter owners Ellen Basch and Sarah Narcus say have hindered their ability to attract functions. Several local businesses and individuals have signed petitions or otherwise indicated their support for lifting the conditions, including Granite Coast Brewing, Minuteman Press, North Suburban JCC, Daigle and Greeley.

Ward 2 Councilor Peter McGinn and his wife Jeannette, whose property abuts Olio, sent a letter to the council objecting to Olio’s request.

  • Alena Kuzub
    Alena Kuzub

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