Hanover Region agrees to $5 million 'bargain sale' to preserve new elementary school building - Wilkes-Barre Citizens' Voice

The Hanover Area School District is purchasing a 180,000-square-foot building for a consolidated elementary school in a bargain sale deal that will cost $5 million.

The Bargain Sale Agreement allows the seller, Mondelez International, to receive $5 million as part of the fair market value of a property and make a charitable donation equal to the difference between the fair market value and the sale amount. Developer Robert Mericle helped facilitate the transaction for the district, school board member Vic Kopko said.

Hanover Area plans to use the building at 50 New Commerce Blvd., Hanover Twp., to house 1,000 students in preschool through sixth grade and would like to complete the building renovation by the start of the 2026-27 school year, Superintendent Nathan Barrett said. Renovating the 30-year-old building is expected to cost about $25 million, Kopko said.

The new elementary school will allow the district to phase out the use of four aging, historic neighborhood schools — Hanover Green, Lee Park, Lyndwood and Memorial — as elementary schools after the 2025-26 school year. The district plans to sell Lee Park and Lyndwood and use Hanover Green for central registration, Barrett said.

Memorial will be an academy for 200 to 250 students studying STEM (science, technology, engineering and math) subjects in grades 7 to 12, Barrett said. The district’s football stadium is located on the Memorial grounds.

According to Kopko, the Hanover region will achieve significant cost savings with the Mondelez construction plan. The cost of renovating all four elementary schools was estimated at more than $47 million, and construction of a new, consolidated elementary school was estimated at more than $100 million.

Kopko said the new elementary school will also result in annual savings of about $2.5 million due to lower utility and transportation costs. The district plans to take out a temporary loan to purchase the Mondelez building for $5 million and roll that debt into a larger debt repayment plan for capital projects, Barrett said.

Officials are reviewing whether a building permit is required to use the Mondelez building as a school, Barret said. The school board approved the bargain sales agreement with Mondelez during a special meeting Monday night.

In February, district officials began searching for new space for elementary students, and the school board approved a contract with SiteLogIQ for construction manager services. But Hanover Region now plans to appoint another company as construction manager for the elementary school project, Kopko said.

The school board voted Monday to appoint CM3 Building Solutions as construction manager for its football stadium repair project. The stadium repair project is the result of lead dust from a grandstand painting project in mid-August entering a ventilation shaft to a storage area and locker rooms.

Mondelez did not respond to an email seeking information and comment.