Thursday, January 1, 2009

Airport Land Lease Costs City More – MUCH MORE

The previous lease of Roanoke Airport Authority land used for Countryside Golf Club fairways cost the previous owners and now the City of Roanoke $4800 a year. This was attached to the 40 year lease that originated in 1967 when the golf course was built. It actually increased slightly from an original $1000.
As part of the deal to swap land with the airport to widen the Runway Protection Zone for runway 6 the Airport Commission agreed to a new 10-year lease AT THE COST OF $18,000 a year – a 375% increase!
According to Brian Townsend, Assistant City Manager, the land was assessed by a rental appraiser. This is more than the City gets from the Meadowbrook Golf lease of $17,500 a year. So not only are they paying on the $4 million debt and losing real estate tax they are now losing $500 a year in this poorly negotiated transaction.
Even at that Granger MacFarlane, Roanoke City’s representative on the Airport Commission voted “NO” on the 10-year lease. MacFarlane said “that he felt that the Commission would rue the day when the decision was made to go from a 5 year lease to a 10 year lease on the golf course property and that he thinks the Commission’s negotiation position was given up.” Taken from the ROA Commission minutes of November 11th.

Posted By Valerie Garner

Categories: Finance

Tags: ,

Comments (2)


January 1st, 2009 at 11:40 PM    


That’s an amazing revelation!


January 1st, 2009 at 11:54 PM    

There is something funny (not ha, ha funny) about this.

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