A billionaire heiress took revenge on locals who questioned her plans for their sleepy Lake Superior neighborhood by rolling back plans to modernize their community.
Kathy Cargill, the wife of James R. Cargill II, the patriarch of the fourth richest family in the US, has sparked controversy among residents of Duluth, Minnesota, after buying up a number of homes in the area.
Cargill bulldozed them while refusing to reveal its plans – and not without offending locals, branding the houses “junk” to a local reporter.
But after locals raised the alarm and the new mayor demanded that Cargill make its intentions public, she fired back by canceling plans to build a sports complex and beautify the area in retaliation.
“I think a phrase that we all know — don’t pee in your Cheerios — well, (the mayor) peed in his Cheerios right there, and I’m certainly not going to do anything to benefit that community,” she says. told the Wall Street Journal.
‘Forget about the good plans I have there for beautifying, renewing and refurbishing the Park Point park or constructing that sports field. There is another community with more hospitable people than that small-minded community.”
Kathy Cargill has purchased 20 homes in Park Point, Minnesota, but has reversed plans to beautify and modernize the community in revenge for locals who questioned her real estate spending.
One of the homes purchased by Cargill, 4202 Minnesota Ave (pictured), was purchased for $2.5 million and is being renovated
Many homes have been sold well above market price. Cargill purchased 1223 Minnesota Av (photo) for $350,000 – over $100,000 over appraised value
Ten of the homes purchased by Cargill are seen close together in this image, with an average price of approximately $477,000
In total, Cargill reportedly purchased 20 homes and lots in the area, many of which sold for well above market value.
“It’s so sudden,” Dawn Buck, president of the Park Point Community Club, told the Wall Street Journal.
“What happens is the house closes, then immediately the investigative stakes go up and within a week the utilities are shut off, and then a bulldozer comes very quickly. Someone somewhere has a plan.’
In addition to her real estate spending, Cargill is also known for her love of McLaren supercars, which sell for more than $1 million each. Her husband’s inherited wealth is reportedly around $4.2 billion.
Rumors that quickly spread among the community were that Cargill planned to bulldoze the area to create a gated community for the very wealthy.
Many feared the arrival of a billionaire looking to part with her money, but for those who wanted to stay in their scenic Lake Superior homes, it threatened their taxes and the local housing supply, leading to a small uprising in the quiet town .
Led by the newly elected mayor of the city of 86,000, Roger Reinert, local residents demanded to know what Cargill planned to do next.
“The plan for these properties is unknown, and that concerns many, including myself,” Reinert said on social media as he urged voters not to proceed with the sale to Cargill.
That prompted Cargill to fire back with its “pee in your Cheerios” jibe while walking back promises to brighten up the community.
Many of the properties have already been demolished and locals are concerned about what will be built in their place. A vacant lot at 1314 Minnesota Ave, Duluth, seen above
1239 Minnesota Av was purchased for $500,000, although it was appraised at $239.5,000
Park Point residents have expressed concerns about rising property taxes and what exactly will be built on the site of the homes. Cargill purchased 1221 Minnesota Av for $300,000
She reportedly claimed she was still getting calls from locals looking to cash in on their homes, and has not ruled out more purchases.
But she told the community they can “forget” a cash injection for a sports complex or the like, while insisting she planned to keep a holiday home she bought in the area.
“We’re going to make it even more private than it is, and we’re still going to enjoy it,” she said.
‘Those people don’t chase me away. They can act any way they want, but I’m not going anywhere.”
In December, Cargill sparked anger among locals when a local reporter quoted her as saying: ‘The houses we bought were pieces of rubbish. I couldn’t imagine ever living there.’
Brooks Anderson, a 90-year-old retired minister, responded to the WSJ: “This is my piece of crap, and I love it.
“I hope she regrets saying that.”
However, Cargill’s feud with the community begs the question of why there was any controversy at all, and its newfound prominence in the area was a good thing.
Dan O’Neill, 71, who sold his $500,000 home to Cargill for $825,000, said: ‘I think Kathy Cargill is a well-meaning lady. I have faith they will do the right thing.”
2931 Lake Ave S, Duluth was purchased for $600,000
Cargill reacted angrily after the mayor of the city with only 86,000 inhabitants demanded to know its intentions with the real estate purchases.
Cargill is known for its love of McLarens, which can reach speeds of more than 200 miles per hour.
The Cargills are the fourth richest family in the US, with an estimated net worth of $47 million.
Their family now numbers fourteen billionaires, more than any other family in the world.
Cargill was founded in 1865 by William Wallace Cargill. Headquartered in Minnesota, it is the largest agricultural company in the world, producing and processing agricultural products, as well as offering a variety of financial services.
Most family members have extremely private lives and, according to Forbes, many live on ranches and farms throughout Montana.
Very few photographs of the family exist in the public domain. Duncan MacMillan’s 1998 book, “The American Grain Family,” described the family as “most stubbornly secretive.”
The company’s common stock has been owned by the descendants of William Cargill and his son-in-law John MacMillan for more than 140 years. There are six family members on the board, which consists of 17 people.
There are almost 100 family members who together own about 90 percent of the company. The remaining ten percent is owned by employees through stock ownership plans and shares owned by management.