Boise Cascade sells Salem plant to mixed-use developers 

Boise Cascade LLC has sold its former paper-converting facility in Salem, Ore., for $7.25 million. Dan Berry and Larry Tokarski purchased the 13-acre site on the Willamette River, the Salem Statesman-Journal reported (http://159.54.226.83/apps/pbcs.dll/article?AID=/20071228/NEWS/712280333/1001). They plan to build office and retail space, housing, plazas, public pathways. The project probably will be developed in four or five phases in five to 10 years.

The purchase followed a four-month review of environmental reports that a scientist conducted on behalf of the developers, the newspaper reported.

Boise Cascade LLC unit Boise Paper in January 2007 said it planned to close the facility in the third quarter, consolidate its operations into other facilities, and seek a buyer who would support Salem’s vision to promote more mixed-use development downtown.

The plant, a retrofitted former paper mill, employed about 100. It was no longer cost-competitive, and Boise Paper had excess sheeting capacity, the parent company said in early 2007.

Privately held Boise Cascade LLC in September said it entered a purchase-and-sale agreement with Aldabra 2 Acquisition Corp. for the sale of the Boise Cascade Paper, Packaging and Newsprint segments for cash and shares of Aldabra common stock equal to about $1.625 billion.  The transaction is expected to close is February, Boise Cascade spokeswoman Karen Punch said. Aldabra said it would change its name to Boise Paper Co. and apply for listing on the New York or Nasdaq stock exchange.

Boise Cascade LLC plans to maintain full ownership of its wood and building materials distribution businesses.

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