HomeMy WebLinkAbout1998-10-14 98-412 ORDERCODNCIL ACTION
Item No. yp_y2 _
Item/Subject: Authorization to Enter an Purchase Option Agreement - Maine
Rural Cellular Corporation, Inc.
Responsible Department: Community and Economic Development
Commentary:
Maine Rural Cellular Corporation, Inc. (MRCC), d/b/a DNICEL, intends to build
a 35,644 square foot corporate headquarters building on Lot 12B in the BIA
Commercial / Industrial Park on TELCOM Drive. The terms of the proposed
Purchase Option Agreement provide for the following:
1. The sale price would be $220,000.
2. If desired by MRCC, the City would agree to finance the purchase of the
property, at an interest rate of ]t over a 20 year term.
3. The City will build the TELCOM drive access way from Onion Street, with
utilities to Lot 12B, and will remove an existing foundation located on
Lot 12B,at no coat to MRCC.
4. MRCC will build a quality cm ial / office building of not lase than
22,000 sq. ft. of masonry and glass construction, or similar quality
construction agreed to by the City, with an approximate cost of $BO per
square foot or higher.
5. The City will reimburse MRCC # of 14 of all real estate taxes paid to the
City, up to a maximum of 50% of all real estate taxes paid, each year for
twenty years, foreach new full time employee hired by MRCC and employed
in the new facility to be constructed on Lot 12B. in the BIA Commercial
/ Industrial Park. The number of new employees shall be the number
calculated by subtracting the number of full time employees employed by
MRCC in Bangor at the time MRCC enters into an agreement with the City,
from the number of employees employed by MRCC at the new Bangor location
on April 1 of each year for the 20 year reimbursement period.
6. MRCC will agree to locate its corporate headquarters at its new building
location on Lot 12B, and will maintain its corporate headquarters at this
location to retain its eligibility to receive the reimbursement referred
to in 5 above.
p partmentjL4ad
manager's Comments
1 of 2
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City Manager
Associated Information:
Budget Approval:
Finance Dire c or
Legal Approval:
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city solicitor
Introduced For Passage 0 First Reading 0 Referral
ca-£own
Page 2 of 2
Awignedto Emmegor Baldacci October 14, 1998
CITY OF BANGOR
(TITLE.) MTDCY Authorizing, Eaumudion of Purchase Opdon Agreement
with vc Rural Cellular CorporaM1oo, Inc. dWa Unicel
By cIe a'tn cwnefl of as Cfty of8nnaere
ORDERED,
TMT
the City Manager is hereby authorized, on behalf of the City of Bangor, m execute a
Indention of Lease and a Purchase Option Agreement wiN Maine Rural Cellular
Coryorstion, Inc, providing for Ne sale end development of Lot 12B in the BIA
Commercial /Industrial Park, said Purchase Option Agreement to be sabsmntully as
athiched hereto, and in a final fonn approved by the City Solicitor or Assistant City
Solicitor; and
BE IT FURTHER ORDERED, THAT this auNorization shall remain in Olivet for a
period of ninety (90) days from the date of passage of Nis Order.
IN CITY COUNCIL 98-412
October 14, 1998 0 R 0 E R
Passed
Councilor Roffman abstained from
discussion and vote due to conflict Title,AUthorizing Execution of Purchase
Option Agreement with Maine Rural Cellu-
lar Corporation. Inc, d/b/a/ Unicel
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