A lease agreement was signed
by Mayor Riley on October 20, 2015 but was backdated to be effective
July 1, 2015 to rent a building now owned by the city of Wilmington's
sewer department..
The building, a part of the
property once owned by the Textron Company, was formerly leased by
Total Baking Solutions for $1 a year, in a failed effort to create
jobs.
The new lessee (renter) is
Runway Logistics a company connected to the Sewell Motor Express
Company.
The
area to be rented consists of 55,000 square
ft. of
floor space and various other attached buildings and
an
option to
rent
another 43,000 square ft. The term of the agreement is for three
years.
Rent
payment is $2 per square
ft.
annually. The same rate will be paid when and if the additional
option is taken.
My
understanding is
that
because
the purchase of the former Textron property was paid for by the waste
water (sewer) enterprise fund all payments from the agreement will be
made to that fund. A windfall for a fund that is debt free and with a
significant and growing carry over (surplus).
Paul
Hunter
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