Investor buys big OC buildings

Two more purchases – the former Isaly’s building at 217 Seneca St. and a multi-office building that had housed the Rosen-Varsek-Rosen law office at 106 Center St. – are pending. Reports also indicate he is eyeing the former Latonia Theater as a possible buy.

There has been a persistent public wariness on such property deals as a result of unsuccessful past ventures such as the Brody Block, the former Lincoln School and the empty former Oil City High School building. None of the purchases and touted rehabilitation/reuse plans materialized for those three buildings, and all three were eventually demolished at considerable costs.

Adamovsky showed up in Oil City in October 2020 and met with Kathy Bailey, manager of the city’s Main Street Program.

“He said he had heard about Oil City and was interested in the art and cultural opportunities we have here,” said Bailey, who showed the visitor around the downtown business district. “That interest is not unusual because we receive inquiries from investors who appreciate our scenic views, our arts program, the recreation and our homes.”

What was unusual, said Bailey, was Adamovsky’s acquisition of multiple properties.

“Typically, it is one building at a time,” she said. “This is the first time we had someone buy three properties and look at buying more. We look forward to hearing more about his plans.”

The Venango County register and recorder’s office shows Adamovsky bought the former National Fuel Gas buildings, later known as the Greenmont Building, for $159,000. The buyer is listed as Oil City Development LLC, a company formed by Adamovsky.

The IOOF Building was sold for a nominal $1 to Keystone Downtown Development LLC, another company created by Adamovsky. The Grandview Estates building was transferred, again for a nominal $1, to Adamovsky’s Oil City LLC company.

Deeds often carry a “nominal consideration” of $1 to keep the sale price private. The actual amount appears on accompanying documents.

How did he find Oil City?

In a lengthy telephone interview with the newspaper, Adamovsky said he was exploring options on how and where to invest his money with the caveat that there be an underlying “purpose” aside from making money.

“I was getting sick and tired of where the world was going in the metro areas,” he said. “My home base was New York City and I suddenly said, ‘this is it – I am moving my investments somewhere else’. I always had the mindset that I wanted to invest for the sake of investing and making a return on it but I decided that I wanted it to have more of a purpose.”

Adamovsky, who said he owns investment properties in New Jersey – two restaurants, a bed-and-breakfast business, an apartment building and “another building with a bar in it,” – as well as overseas in Prague, looked at some properties in Scranton in eastern Pennsylvania and then began traveling elsewhere in the state.

The investor, son of an immigrant family from Europe, was keen on finding locations that featured “pictorially interesting buildings” as well as settings that offered “the fabric of a European community, a place with friendly, neighborly people.”

His trek, enhanced by frequent online scrolls about available property listings in Pennsylvania, took him to Indiana, Pa.

“I found this beautiful Victorian mansion there and bought it,” said Adamovsky. “Then I went online looking to see what was in the area and found a listing for 308 Seneca St. in Oil City. When I saw the price was $159,000, I wanted it.”

Touring and then buying

He traveled to Oil City, checked out the property which is the site of a two attached building that formerly housed the United Natural Gas, later National Fuel Gas Co., offices. Working with a local realty company, he also checked out 220 Seneca St. (IOOF Building) and the former Grandview Estates building at 106 Center St.

Helping him along the way was Kathy Bailey, manager of the city’s Main Street program, whom he enlisted for a brief walking tour of the North Side business district.

Adamovsky said he was pleased with the reception he got from the building sellers.

“I am proud of them and impressed by them for giving me a chance and listening to my vision and buying into it,” he said. “They were skeptical at first but when I got done walking through their buildings with them, they got excited about it and began to share my excitement. I loved that,” he said.

Once having toured the buildings, Adamovsky didn’t hesitate in working the deals to buy the properties.

“I wanted things to go quickly because I felt I was bringing in a lot of energy,” he said. “Kathy helped me connect with those owners and also got me in touch with the local arts program. All this happened within just a few weeks in December.”

Each purchase was made by a new limited liability company launched by Adamovsky.

The goal: rebuild Oil City

“I lose interest if a building is all fixed up because there is nothing for me to do there,” he said. “My goal is to build them out into new businesses because I want to encourage foot traffic down those streets. I am going to be putting in some businesses, some mine and some not, because I want to control the quality and I have some specific ideas.”

Continuing, he said, “In Oil City, I want to focus on food places. I love to cook and mix cocktails so I want to influence the variety of places that could be available in my buildings. … My goal is to rebuild the community, the excitement. As long as I can have businesses that pay for themselves, I am happy. I don’t need to make a profit on them., I just want to help local communities to be self-sustaining.”

Adamovsky said he has tapped into loans as well as his own bank account to buy the buildings.

“It’s all my money, even the money I borrowed has to be paid back so it is out of my pocket, too,” he said. “I have my day job and I was doing well for myself. But I was lacking a purpose.”

Looking for money and workers

Admitting his ventures may operate “at a loss for a while,” Adamovsky insisted he is “not going to sit” on his properties for very long. He has tapped into loans as well as his own money to make the purchases And while the property buyer emphasizes he will be an independent developer, he is looking for financial resources.

“I’m not looking for partners, just maybe some financial help that I will pay back with interest,” he said. “I really haven’t gotten any financial support from the banks because they look at ‘does the property make any money’ and I say ‘no’, that’s why I am here to turn it around. Because if it all rests on my shoulders, then we can only go so fast. I know it’s a risky business but I believe in this and putting everything on the line.”

Adamovsky also wants to hire local residents to upgrade his newly acquired buildings.

“I am looking to hire because I want to give opportunities to students and people who are having hard times. If they are willing to work, I will give them opportunities. I am not looking to hire companies but individuals because I’m financing this on a shoestring,” he said. “Once I get some of that work done, I’ll be working to get businesses in there.”

The new Oil City property owner said he would arrange tours of properties for prospective tenants. He said he will also entertain offers from others who are interested in selling their properties to him.

“Reach out to me, especially if the building is historically or architecturally interesting,” said Adamovsky. “I want to be in control of the real estate so when I do economic strategy, I can do it without consensus because that’s how ideas die. I want to drive this.”

Bailey, who helped Adamovsky early in his buying surge, said her Main Street agency provides resources to downtown business owners and that offer has been made to the New Jersey resident.

“We will remain a resource and we are committed to being here as a support for investors in our community,” she said. “…We will keep working with him and we always remain optimistic.”

Adamovsky said he can be reached at P.O. Box 226, Newton, N.J., 07860, or by email at milan.adamovsky@gmail.com.