MT. COMFORT — A judge has granted three companies’ joint request to dismiss a lawsuit over who has the right to buy a property in western Hancock County. Left undecided for now is what will happen to the parcel.
Carvana, an online car dealer, filed the complaint against Celadon Realty in Hancock Circuit Court. Carvana bought about 70 acres and a building of about 90,000 square feet from Celadon near Mt. Comfort Road and County Road 300N last May. Celadon, a trucking company, had canceled its plans to move its world headquarters there after falling into financial distress in 2017. Carvana now operates an inspection center there.
The purchase agreement between Celadon and Carvana allows Carvana to buy about 70 acres of adjoining land that Celadon also owns. According to the agreement, Celadon can offer that remaining parcel to another buyer, but if it does, Carvana has five business days to exercise a right of first refusal.
Carvana accused Celadon of breaching the agreement by intending to sell the parcel to Shear Property Group, an Indianapolis-based developer of industrial properties, without allowing Carvana to exercise its right of first refusal, according to the complaint.
Shear argued Carvana was properly notified and had ample opportunity to exercise its right of first refusal, according to lawsuit documents. Shear also accused Celadon of being in breach of the purchase agreement over the land.
The three companies filed a stipulation of dismissal in the case late last month. Hancock Circuit Court Judge Scott Sirk granted the stipulation earlier this week. The order also grants the parties’ request that each be responsible for their own court costs and that the lawsuit be dismissed with prejudice, meaning it can’t be brought back to court.
While the companies have agreed to drop the case, they have yet to give any indication as to the future of the formerly disputed 70 acres. A Carvana representative declined to comment. Celadon and Shear did not return requests for comment.
Shear had planned to develop four speculative buildings totaling over 850,000 square feet on the property. In February, however, the company withdrew its request for an approval necessary for the project from the Hancock County Area Plan Commission.
The Hancock County Council last year signaled its willingness to approve property tax abatements for the property as an inducement to build the spec structures.
The county’s economic development council has long argued in favor of establishing an inventory of such ready-made buildings.
