Old Drovers Inn sold for $325,000

DOVER PLAINS — Old Drovers Inn, the celebrated hostelry where celebrities found privacy and charm and local patrons enjoyed stiff drinks and cheddar cheese soup, was sold at auction at the Dutchess County courthouse on June 25. There were two bids, the highest $325,000. TD Bank, which holds the mortgage on the property, opened the bidding at $300,000.  

“Do I hear another bid?� asked bankruptcy referee Gerard Pisanelli. “Three-hundred and twenty-five thousand dollars,� said the representative of Structure Works.

There were no other bids. Old Drovers Inn had a new owner, its fifth since it opened in 1750.

The small group witnessing the auction, most of whom knew each other, included Ryan Courtien, Dover town supervisor, and Chris Calayda, deputy town supervisor. Commenting on the winning bid, Calayda said he was “ninety-nine percent sure that the building will shine.â€�  

He said that he was pleased that ownership of the Old Drovers Inn had passed into local hands that care about the community.

The Preston family opened the inn as a stop over for drovers herding animals to markets in 1750. It remained in the family for more than 150 years when the Potter family took it over, refurbished it and built its reputation as the 21 Club of the country. Kemper Peacock (see letter to the editor this week) acquired it in 1988 and obtained the exclusive luxury Relais & Chateaux designation for the property by 1992.

As a result of a long legal dispute between Peacock and Alice Pitcher, the inn’s manager, the property was sold in 2005 to Boaz Gilad, a Brooklyn-based real estate developer.

Under Gilad, who did not respond to phone calls from this newspaper, the inn fell into disrepair and long-time employees were fired. The recent economic slump did it in and the owners abandoned the inn. Water pipes burst and covered the first two floors with mold. The bank stepped in, cleaned the premises, and put it up for sale.

The auction was held as part of a foreclosure proceeding by TD Bank, which held a mortgage on the building and 10-plus acres for almost $900,000. According to TD Bank’s local attorney, Michael Gartland, Hudson United provided the mortgage when Gilad purchased the inn in 2005. Shortly after the loan was made, Hudson United was acquired by TD Bank, along with the mortgage.

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