MeadWestvaco buying back Watson Hill

MeadWestvaco Corp. said Thursday it has a contract to buy back the 6,600-acre Watson Hill tract that it sold in 2004 in a deal that magnified the debate over development in the Ashley River historic district.

"We will work closely with the conservation community, local governments, and all interested parties to identify the best future for Watson Hill," said Ken Seeger, president of the company's Community Development and Land Management Group. "In fact, several leaders in the conservation community encouraged us to become involved in Watson Hill."

"Watson Hill is part of the Charleston region's historic district, characterized by large properties with low densities," Seeger added. "Our intention is to develop a plan that is respectful of that context and consistent with that use."

Terms of the purchase agreement were not disclosed.

Seeger said MeadWestvaco will hold a public meeting at 6 p.m. July 30 at Summerville High School, 1101 Boone Hill Road, to discuss the future of the property.

The land is near MeadWestvaco's East Edisto property, which the company plans to partially develop.

"As with the East Edisto planning process, we are committed to an open and transparent planning process for Watson Hill," he said.

MeadWestvaco sold Watson Hill the land in August 2004 and within several months, the property had changed hands twice. The tract is located along one of the state's oldest thoroughfares amid the Lowcountry historic plantation district.

The most recent owner, S.C. Property Holdings, was sued by its lender after the borrower missed a payment on a $28.6 million loan, according to court documents.

Last month, MeadWestvaco offered as much as $19.5 million for the undeveloped tract at a Dorchester County foreclosure auction. But the forest products giant ultimately was outdone by the mortgage holder, Principal Commercial Acceptance, which bid $20 million and is trying to recoup as much as $29 million it said it is owed by the current landowner.

The proposed sale back to MeadWestvaco was applauded by Jamie Feltner, Dorchester County Council chairman.

"It's a relief for Dorchester County," Feltner said. "We're very appreciate of MeadWestvaco being willing to step up and purchase this property. It's very important that whoever owns this land abides by the historic district zoning and I think MWV has every intention of abiding by the zoning."

For more details, see Friday's editions of The Post and Courier.