Proposed sale of Sebastopol’s Barlow center called off, at least for now

The proposed sale of the 12½-acre Barlow marketplace in Sebastopol has been called off, at least for the moment, after the would-be buyers failed to close the deal by the appointed Friday deadline, according to founder Barney Aldridge.

Napa-based Zapolski Real Estate had been under contract to buy the artisanal food, beverage and retail center on Highway 12 but, after securing a one-week extension July 1, was unable to meet its new deadline, Aldridge said.

Aldridge, The Barlow’s managing partner, was not in favor of selling but said he entertained the offer in deference to his principal partner - his former wife.

Now that the sale contract has been terminated, “I’m very glad it’s over,” he said.

However, a spokesman for Zapolski Real Estate, acquisitions director Andrew Mazotti, said his firm was “still working hard” to put together a sale, though unresolved issues prevented them from finalizing a purchase Friday.

“We’re still committed to the deal,” Mazotti said. “We are still trying to salvage something here. So I think it would be premature to say it’s all done.”

The 3-year-old market, built on the site of a landmark apple canning factory run by the Barlow family, is now home to more than 50 boutiques, eateries, tasting rooms and art vendors that have transformed a former industrial zone into a tourist destination with echoes of its agricultural past.

Aldridge, who said he and his partner have sunk about $42 million into the property, also has aired proposals for a hotel and had solicited investors when Zapolski and its principle, Todd Zapolski, first expressed interest in buying the project about eight months ago.

Mazotti said the firm never entered into agreement but was seriously evaluating the property, finally entering into a contract to buy The Barlow this year.

He said The Barlow’s unique collection of local retail, art and production spaces would complement the upscale, “Napa-esque” retail properties it has or is developing in Napa, where Zapolski controls a large section of retail sites and is widely hailed for a vision that is helping to reshape downtown.

But the prospect of a Napa firm buying The Barlow had some in Sebastopol concerned about the area’s “Napafication,” in addition to creating uncertainty for those who do business in The Barlow, Aldridge said.

“I’m happy this distraction is over,” he said Friday. “I have a renewed appreciation for The Barlow project, and I’m looking forward to getting back to work on it.”