TITLE: Title
Public Hearing on lease of town owned property located at 110 East Main Street
PURPOSE: The purpose of this agenda item is for the Board to take public comment on a proposed lease for town property located at 110 East Main Street.
body
DEPARTMENT: Economic and Community Development
CONTACT INFORMATION: Annette D. Stone, AICP Economic and Community Development Director
INFORMATION: Betsy Elbogen, owner of the co-working studio known as Perch. Mrs. Elbogen is interested in leasing town owned property located at 110 East Main Street. The space is a 3300 square foot condo above ACME Restaurant. The proposed lease is a 5 year term with a graduated annual rent averaging $37,320.00 per year. NCGS#160A-272 requires the local governments to hold public hearings on any proposed leases for more than 1 year.
FISCAL & STAFF IMPACT:
Proposed Perch Lease of Town-Owned Offices |
|
Year 1 Annual Rental Income |
$ 21,600 |
Year 1 Rental Rate per Square Foot |
$ 6.80 |
Year 2 Annual Rental Income |
$ 39,000 |
Year 2 Rental Rate per Square Foot |
$ 12.27 |
Years 3-5 Annual Rental Income(Plus CPI) |
$ 42,000 |
Years 3-5 Rental Rate per Square Foot (Plus CPI) |
$ 13.22 |
|
|
|
|
Town Income if Sold to Private Party |
|
Interest Income ($600,000 x .075%) |
$ 4,500 |
Estimated Town Property Taxes |
$ 3,540 |
Total Annual Town Income |
$ 8,040 |
RECOMMENDATION:r Staff recommends the Board hold the public hearing and consider the proposed lease agreement.