Fall River Diocese Sells Six Acres Of Undeveloped Land On Nantucket To Church Supporter

The Diocese of Fall River recently sold six acres of undeveloped land off Milestone Road to a supporter of the Catholic church and an island summer resident for $4 million.

The two properties at 46 and 50 Milestone Road are located just east of Milestone Road's intersection with Polpis Road, and have been owned by the Catholic church since the mid-1980s.

The Diocese of Fall River, which owns and operates St. Mary's Our Lady of the Isle in downtown Nantucket, sold the properties last month to Cappo Real Estate Holdings, LLC, a company registered to Jeff Cappo, of Michigan. Cappo is the owner of Victory Automotive Group, which operates more than 50 dealerships across the country, and a Nantucket summer resident who owns properties on Gardner Road and Sheep Commons Lane. Cappo has been a donor and supporter of the Diocese of Fall River both through his business and personally, and has also supported several other charities and non-profits on Nantucket.

The two properties off Milestone Road that were sold by the church to Cappo on Feb. 14, 2025 were never publicly listed for sale by the Diocese. A church spokesman stated Cappo had "no inside information or any special treatment" that allowed him to acquire the properties ahead of other potential buyers.

"The intent had been to put the properties on the market for sale," said John Kearns, the director of communications for the Diocese, in a statement emailed to the Current. "Prior to their listing, however, the Diocese of Fall River was approached by the interested buyer who made a competitive offer for the parcels. Negotiations began, and an agreement was reached for the sale of the land. Not having to list the property or utilize the services of a broker realized savings for the Diocese and the parish. The buyer received no inside information or any special treatment throughout the process, and no other would-be buyer reached out to the Diocese with interest in the property."

Cappo did not return several messages seeking comment.

Kearns stated St. Mary's would receive "the bulk of the proceeds" from the $4 million sale, and it is anticipated that it will be used for improvements to parish properties, including Father Griffin Hall on Cherry Street.

"Those decisions will be made by Father John Murray, who is pastor of the parish, in consultation with parish advisory groups and the Diocese of Fall River," Kearns said.

Father Murray referred all questions about the sale of the properties to the Diocese.

An undisclosed portion of the $4 million will remain with the Diocese, Kearns said, because it assisted St. Mary's with some of the funding for the purchase of the properties back in 1986.

"Acting in a fiduciary capacity for St. Mary-Our Lady of the Isle Parish, Nantucket, the Diocese of Fall River acquired the vacant land properties on Milestone Road on the island in 1986," Kearns said. "Presumably, at that time it was thought that the parish may have need for the land in the future, although there was never a definitive plan for its use. Now, almost 40 years later, diocesan officials in consultation with the parish pastor determined that the Milestone properties are surplus."

While the church has previously sold some of its surplus properties to municipalities for mission-driven purposes, such as affordable housing, Kearns said a portion of one of the Milestone Road properties - which are currently in the LUG-3 zoning district - was subject to a conservation restriction.

"Consideration was given to how the land might be used to help address the island’s housing crisis; however, it was learned that a good portion of the land is not buildable as part of one parcel is protected under conservation restrictions," Kearns said.

While Cappo's Victory Automotive Group has been lauded for donating vehicles to worthy causes, including to Catholic Social Services on Cape Cod and to victims of the California wildfires, the company also recently agreed to pay $9 million to resolve allegations that it violated the False Claims Act (FCA) by knowingly providing false information in support of a Paycheck Protection Program (PPP) loan forgiveness application it submitted.

One month before the sale of the properties to Cappo, a plan to develop the lot at 46 Milestone Road with a new house and guest house was submitted to the Historic District Commission. While the properties were still owned by the Diocese at that time, the plans were labeled "Cappo residence."

Those plans were "submitted in January 2025 - before the sale was finalized - by a representative of the prospective buyer," Kearns said. "It is standard for a prospective buyer to file plans and an application for approval prior to closing on the property, especially if a local historical commission would be involved in any approval process."