The property at 80 Northwest Blvd., which Nongfu Spring purchased in February for $67 million. Telegraph photo by CHRISTOPHER ROBERSON

NASHUA – Mayor James Donchess recently responded to rumors being propagated by State Sen. Kevin Avard (R-Nashua) that the city approved the sale of Pennichuck Water Works to Chinese beverage giant Nongfu Spring.

In February, Nongfu purchased the land at 80 Northwest Blvd., which was owned by Stag Industrial, not Pennichuck. Nongfu also applied for a permit to build a water bottling facility; however, the application was withdrawn in May.

Donchess also dispelled Avard’s claims that the city granted a permit allowing Nongfu to sell bottled water.

“We do not issue water permits, he’s just making that up,” said Donchess, adding that the sale of water is governed by the state Public Utilities Commission. “If he thinks there’s something wrong with this then he should do something about it.”

Donchess also said the city, which has owned Pennichuck since 2012, had no part in the land transaction.

Mayor James Donchess recently spoke out against claims made by State Sen. Kevin Avard (R-Nashua) that the city approved the sale of Pennichuck Water Works to Chinese beverage giant Nongfu Spring. Courtesy photo/Kelli Wholey/Lumina Portraits

“We have no authority to block private real estate transactions,” he said.

In a statement on Pennichuck’s website, CEO John Boisvert reiterated that there has been no change in the company’s ownership.

“Pennichuck is not for sale and no property owned by Pennichuck is for sale or lease,” he said, adding that the company has only provided water service to 80 Northwest Blvd. “No water rights are for sale or being released by Pennichuck.”

If Nongfu were to reapply and be approved for a construction permit, Boisvert said Pennichuck would have the capacity to meet the demand drawing from Pennichuck Brook and the Merrimack River.

In addition, Donchess said it “seems strange” that Nongfu bought 80 Northwest Blvd. for $67 million when it was assessed at $15.6 million. However, he said such an investment would be required if Nongfu was participating in the federal EB-5 Immigrant Investor Program.

Established in 1990, the program “allows foreign national investors to qualify for lawful permanent resident status by investing a specified amount of capital in a U.S. enterprise and creating at least 10 U.S. jobs.”

“It’s in the realm of possibility,” said Donchess.