HomeMy WebLinkAbout1994-02-14 94-106 ORDERIK4=xF3;7_ $13
Date: $/14/94 Item No.: 46=10b.
Item/Subiect:
Approval of an option agreement between the City of Bangor and the
Elder Family Portland ASSOCiates Limited Partnership to lease a
parcel of land on Maine Avenue for the expansion of the Federal
Express building.
Responsible Department: COMMUNITY AND ECONOMIC DEVELOPMENT
Commentary•
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Introduced For
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_First Reading Page 1 of 3
Referral
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94-106
Aeaip�ed to Councilor Shubert February 14, 1994
CITY OF BANGOR
(TITLE) (Drbtr,......Uthoriging.. the .City.. Manager to...Execute an. Option.
Agreement with the Elder Family Portland Associates Limited
Partnership.
By the City Caused of Ow City of Bangor;
ORDERED,
THAT the City Manager is hereby authorized and directed,
on behalf of the City of Bangor, to execute an option Agreement
between the City of Bangor and the elder Family Portland Associates
Limited Partnership to lease Lot 22 on tax map E25.
IN CITY COOPCIL
February 14, 1994
Passed
qr CITY CLERK
94-106
O R OER
Title, Authorizing the City Mon
Option Agreement with the Eider
Associates Limited Partnership.
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Assigned to
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Councilman
Execute
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Portland
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25
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94-106
Q' :F'.11T. �, l
fro: Members of the Bangor City Council
Froin: Stephen A. Bolduc, Ecommic Development Officer
Date: February 14, 1994 '-S, G$s .
Subject: Approval of an option agreement between the City of
Bangor and the Elder Family Portland Associates Limited
Partnership to lease a parcel of land on Maine Avenue for
the expansion of the Federal Express building.
Issue
Elder Family Portland Associates Limited Partnership would like an
option to Lease a parcel of land on Maine Avenue for the expansion
of the Federal Express building.
Elder Family Portland Associates Limited Partnership leases land
from the City of Bangor and is the owner of a building which in
used by Federal- Express as their Bangor area terminal. TO
accommodate an expansion of Federal Express's operation, Elder
Family Portland Associates Limited Partnership would like an option
to lease a parcel adjacent to their current location at 203 Maine
Avenue. The additional land would be used for parking.
Elder Family Portland Associates Limited Partnership has accepted
the standard land lease rate end conditions:
Premises: A parcel of land adjacent to 203 Maine Avenue
Identified as int 22 on tax map R25, about 1.166 acres.
Te_rm� Forty (40( years.
Rate: Annual lease amount would be 10% of the fair market
value with adjustments every five (5( years.
Initial rate $9,039.73 annually. Based on a value of
$90,397.30 or $77,527.00 per acre.
Use: Additional parking to accommiodate an expansion of the
existing building.
Insurance: Provide comprehensive public and property damage
liability insurance to limits of $300,000 per each occurrence.
Page 2 of 3
94~106
The option period would be until Tune 30, 1994, for a fee of
$2,700.00 or 3% of the fair market value. The option fee is
non-refundable, but would be applied to the lease payments if the
option is exercised. Prior to exercising the option, the Elder
Family Portland Associates Limited Partnership must obtain Site
Plan approval anda Site Location of Development Permit
modification Permit. Elder Family Portland Associates Limited
Partnership has accepted the outlined option terms and conditions.
Recommendation
The option agreement and preliminary lease Lerma and conditions
meet the standard land lease policy guidelines. Therefore the
Ba,wir Corporation recommends approval of this option agreement
under the terms and conditions outlined above.
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